Recently, a company called Watson Investigations purchased a small restaurant building located at 842 Southeast First Ave for the price of $7 million. Interestingly, the property is near the site of a 34,000 square-foot building that the company also recently bought, although they purchased that building through bankruptcy court in July of last year. The current business occupant of the restaurant they recently bought is Chicken Kitchen, a popular local eatery.
Ambassa Holdings sold the 8,000 square-foot property to Watson for the $7 million price tag, which was far higher than what they paid for it just ten years ago. When Ambassa originally bought the property, they paid $1.9 million for it. This most recent transaction closed on the 30th of April and the county recorded it on May 2. Watson has ties to CMC Group, run by Ugo Colombo. While much of this is speculation right now, many feel that Vladimir Doronin and Ugo will be using the land that they bought to eventually develop and start building another condominium tower.
Can the Area Sustain a New Tower?
One of the questions that some people will ultimately have if they do reveal plans for a new tower is whether the South Florida area can really sustain another one right now. Already, the area is rife with these towers, and more go up each year. One would be forgiven to think that it might be reaching the saturation point. However, it’s important to look beyond that and to look at the actual numbers.
People go gaga over Brickell condos (click here to view all Brickell condos for sale), as well as the other nearby areas that offer close proximity to the beach and everything else that Miami has to offer (click here to view all Miami Beach condos for sale). People are always looking for properties here, and more than just U.S. buyers have an interest. Many foreign buyers, including those from Canada, China, and Russia all love the idea of having a property in the area. Consider also that just because people own a unit at one of the towers, it does not mean they live there year round. Some use the properties as a vacation spot. Others choose to use the property for investment, and they rent it out to vacationers during the peak months.
Given the popularity of the area, it is quite likely that the area will certainly be able to handle more towers. There does not appear to be a slowdown in interest at all. The crash of 2007 still leaves a bad taste in the mouths of many, but times are different today, and people are actively watching for similar situations to arise so they can sound an alert. The chance of the same thing happening again is slim.
If they do go ahead and start planning another tower, you can also be sure that it will not be approved or go under construct for a number of years. There is no reason to start worrying that there are too many towers in South Florida. Instead, embrace it and start looking for your own condo.