Editor’s note

A huge question mark hangs over the South Florida real estate market. Is there enough gas left in the tank to complete another round of luxury condominium towers and giant mixed-use complexes? Or will developers be thwarted by global factors beyond their control, from a tightening loan market, to buyer restraint, to the ongoing Zika scare? And looming up ahead, the moving vans are careening toward the White House. Will they be filled with pantsuits or plated-gold fixtures?

With so many uncertainties, it’s understandable that some big real estate investors have sidled over to the sidelines to avoid being sideswiped.

In this issue’s cover story, reporter Sean Stewart-Muniz takes a deep dive into the pressing global challenges, especially those that are putting the brakes on the South Florida condominium market. Concerns stemming from the combination of the dollar’s rise, sputtering Latin American economies and a wobbly CMBS market have convinced some major condo developers to postpone or cancel previously announced projects. They’re waiting to see whether Latin American buyers, who’ve been scarce the past year, return pronto. Check out Sean’s article, which examines the cracks in the condo market, on page 28.

In other slowdown news, many major lenders have begun tightening the purse strings, forcing developers to seek alternative financing — including condo inventory loans — in order to supplement the shrinking pool of capital available for construction. Get the lowdown on the latest finance trends on pages 50, 54 and 56. These financial conditions also mean builders and small business owners are increasingly turning toward the EB-5 visa program to attract new investors to their projects, as reporter Katherine Kallergis explains in her article on page 10.

The slower pace of condo development has had trickle-down effects. Lower demand for air rights, once coveted by developers, has put downward pressure on pricing. Get the latest news on that, as well as some of the history behind air rights, on page 20.

Naturally, despite all these obstacles, developers will keep finding ways to build shiny new buildings. Some are acting on the idea that beautiful things can come in small packages, as South Florida Managing Editor Ina Cordle describes in her story about the rationale behind smaller condo projects on page 24.

Vladislav Doronin, the Russian billionaire developer profiled in this issue, certainly isn’t calling it quits. He plans to forge ahead with his first South Florida condo tower, Missoni Baia. Get to know Doronin and his Miami moves on page 14.

As you might expect, even in a slowdown there are pockets of the tri-county area that just keep rolling along. Home prices and commercial rents are still in the ascent in Palm Beach County, where market pros say that demand remains high, as the area has resonance with the money managers from New York and Connecticut more so than with the overseas investors  who were formerly the mainstay of the Miami-Dade market. Billionaire real estate investor Jeff Greene, who has grand plans for West Palm Beach, elaborates on his utopian visions for the area on page 16.

Several planned mixed-use communities are rising up in Doral, a once-sleepy neighborhood near the airport that only incorporated as a city in 2003. The story on page 76 will open your eyes to this developing trend in Doral. And, now that the threat of Zika in Wynwood has more or less passed, numerous projects are breaking ground in the artsy Miami enclave where artists, students, creative professionals and trendy retailers rub shoulders. Read our block-by-block neighborhood guide on page 36.

Finally, on the lighter side, check out the latest celebrity home wheelings and dealings, on page 94.

Enjoy the issue.