Miami Condo Developer Jorge Perez of the Related Group has confirmed the long-discussed rumor on the street that his opportunity fund will have at least $1 billion to scoop up units from distressed towers in Miami and across the country.
Perez's official entry into the distressed condo market game should only be perceived that the time for bulk buying is near.
''I strongly believe that Miami real estate is undervalued,'' Perez told the Miami Herald. ``Three years from now, people will look back and be amazed. Nevertheless, right now there are some people stuck in the middle of a loan who don't have any cash and need to get rid of some inventory. We are going to try and take advantage of that situation."
The possibility exists that the time to buy may have already passed for some of the smaller private equity funds that have been circling the Florida market.
Consider Perez's emergence with $1 billion of buying power coupled with an influx of international buyers with foreign currencies, and the question becomes can a U.S. private equity fund with less than $25 million even get a reasonable chance at buying a quality product on the cheap in Florida.
Peter Zalewski is a principal with the consulting company Condo Vultures® LLC and a licensed real estate broker with Condo Vultures® Realty LLC. Peter can be reached at 305-865-5629 or by email at peter@condovultures.com. Be sure to sign up for Peter’s weekly Market Intelligence Report.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment