Posts tagged "Construction"

These have been difficult times for commercial real estate developers in Florida. The economic slowdown has hit this state hard, and new projects have been rare. But a new multi-family development planned for downtown Boca Raton is bucking this trend.

According to a feature story in the Palm Beach Post, apartment operator Archstone is ready to buy nearly 6 acres of commercial real estate situated downtown in the normally sleepy city of Boca Raton. The company plans to build a total of 390 units consisting of rental apartments and townhouses in three fairly large buildings. The project even has its name, Archstone Palmetto Park.

In previous posts, our Boca Raton real estate blog discussed the growing interest of foreigners wanting to purchase property in Florida. South Florida's location and prices have been attracting many who want to invest in real estate or who want to purchase a vacation home. As a result, real estate sales are up this year, and now developers are beginning to resume construction projects with greater confidence that individuals and international buyers are ready to purchase.

Although developers are feeling more confident that newly constructed properties will sell, they are still wary about how they approach construction projects so that they do not take the financial risks that destroyed many developers after the recession hit.

When a firm purchases commercial real estate in Florida, the firm must consider many complex issues such as how to develop and build on the property and how to finance the initial purchase and planned construction projects. The history of a property is also a factor that should be considered before a transaction takes place.

A firm always takes a financial risk when purchasing commercial real estate, but with the right guidance, a firm can be reassured that their transaction is legally sound while also optimizing future opportunities regarding the development of the property. Unfortunately, not all transactions are thoroughly planned out and mistakes are made that can completely destroy the success of commercial property.

North Miami has been struggling with a commercial property transaction gone sour since 2002. Now the property is costing taxpayers nearly $100,000 a month to maintain and North Miami is still searching for proposals from builders on how to develop the land.

We have previously mentioned on our Boca Raton real estate lawyer blog that the decrease in residential and commercial real estate prices in Florida have begun to attract more investors and home buyers in the past few months.

As more homeowners and businesses invest in real estate property, they may also be considering major remodeling or construction projects in efforts to potentially gain more from their investments in the future. The new owners and managers of Holiday Isle Resorts and Marina located in Islamorada, Florida, are hoping to do just that. This week, the resort will begin a $10.5 million construction project to renovate the rundown property.

Earlier this week we discussed how the two owners of MyddeltonParker Builders LLC filed for Chapter 7 in November 2010 after claiming that their home-building business could no longer survive in Florida's tough economy. Many Florida businesses and owners of businesses have had to file bankruptcy due to the poor state of Florida's real estate construction market, but the decision to file bankruptcy can affect others. In this case, more than 100 local businesses and homeowners have been affected by the bankruptcies, and some are questioning if the builders were truthful about where their payments were going.

One homeowner who hired MyddeltonParker said that he began to notice that some of the jobs during the construction of his house were of poor quality. He questioned if subcontractors were being paid for their work and the builders assured the man that they were. However, in April 2010, the builders approached the homeowner to let him know that the business had run out of money. They volunteered to finish the construction on the home but were fired.

Since then, the homeowner has had a difficult time trying to hire other tradespeople to finish the work on his house. The invoices from the subcontractors' work with MyddeltonParker have shown up to be unpaid and the new workers are hesitant to accept a job with the risk of not getting paid. The homeowner commented that it has been three years since construction began on the house and his family has yet to move in.

Despite the rise in foreclosures and bankruptcies during 2010, there are signs that point toward an economic recovery. Earlier this week, we discussed how the commercial real estate market has shown signs of improvement. Today we will discuss how consumer spending habits suggest that more individuals are interested in remodeling their homes and willing to spend money on home improvements.

According to reports, home remodeling is finally on the rise after one of the worst economic downturns. Foreclosed properties that have been purchased need some care from homeowners after sitting on the market, and other individuals have resigned to the fact that they may not be able to sell their home due to a loss in property value. Retailers and home remodelers in Florida have also noticed an increased interest in residents wanting to remodel their homes. The president of Allied Kitchen & Bath in Fort Lauderdale said, "My showroom has been nonstop busy. We're getting big orders on a consistent basis." Why are homeowners suddenly interested in remodeling?

A Florida family featured on the hit television show "Extreme Makeover" in March 2005 is now losing their newly constructed home to foreclosure. The show features families across the U.S. whose homes need some major repairs or remodeling in order for the family to live comfortably. Families seek out help from "Extreme Makeover" because they often cannot afford the costs associated with the repairs or remodeling.

The Hastings family was featured in 2005 because their 1930s home was infested with termites. "Extreme Makeover" sent the family on a trip to Niagara Falls while the 1930s home was demolished and construction on the new home began. Builders Care group, a nonprofit construction company with the Northeast Florida Builders Association, recruited plumbers, electricians and other construction workers to build a dream home for the Hastings family.

The family returned from vacation to the biggest home on their street. Originally, the family's home was 1,300 square feet. Their new home was built at 4,300 square feet. However, the "Extreme Makeover" home became too expensive for the family to live in.