PCB Update

[flyguy]

A cold week at the beach but had some great sunsets and lots of good food and drink.

Condo market is still in a word, dismal.

It was surreal. We have some buildings we like and the prices in several of them fell to new lows the week of our stay.

Worst story I heard (and there is no shortage of horror storys all down the strip). A fellow bought a couple of condos as an investment in 2004. He had made over $100,000 (on paper) by 2005 and thought he had found a sure fire way to make money. He bought 13 condos in 2005. He is of course hoplessly underwater and all 15 condos are on the market. I got all this from the realtor listing all his condos.

I looked at one he bought for $635,000 in 2005 and is now listed for $325,000. The last two sales in his building for the same unit were for $275,000. Ouch!

Unfortunately for PCB, there is still a large number of new condos in the pipline coming online later this year. They have got a HUGE inventory already.

JMHO,
Flyguy

 

[SHELLY]

A cold week at the beach but had some great sunsets and lots of good food and drink.

Condo market is still in a word, dismal.

It was surreal. We have some buildings we like and the prices in several of them fell to new lows the week of our stay.

Worst story I heard (and there is no shortage of horror storys all down the strip). A fellow bought a couple of condos as an investment in 2004. He had made over $100,000 (on paper) by 2005 and thought he had found a sure fire way to make money. He bought 13 condos in 2005. He is of course hoplessly underwater and all 15 condos are on the market. I got all this from the realtor listing all his condos.

I looked at one he bought for $635,000 in 2005 and is now listed for $325,000. The last two sales in his building for the same unit were for $275,000. Ouch!

Unfortunately for PCB, there is still a large number of new condos in the pipline coming online later this year. They have got a HUGE inventory already.

JMHO,
Flyguy

Is this guy paying mortgages, taxes, insurance & condo fees on all 15 condos?

Surely his "on paper $100,000 profit" vaporized about 2 years ago.


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[Smiling JOe]

other PCB updates, Pier Park is moving along quickly. The County Pier, located to Pier Park's south, has been ordered removed, by the DEP, and a new one will be built in its place. FEMA is picking up most of the tab, $7+million, and the new pier is expected to open in Spring '09.

 

[TooFarTampa]

Flyguy why PCB? That market IMHO is entirely different from SoWal.

 

[chrisv]

Flyguy why PCB? That market IMHO is entirely different from SoWal.

But too close to ignore.

 

[TooFarTampa]

But too close to ignore.

Very true. I wouldn't say there is no correlation. But PCB is like many coastal areas all over Florida; SoWal is not.

 

[SHELLY]

Flyguy why PCB? That market IMHO is entirely different from SoWal.

From a pure "investment" standpoint, once those PCB condos start hitting the markets at 40-cents and lower on the dollar, I think they'll provide a better return than anything on 30A.


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[TooFarTampa]

From a pure "investment" standpoint, once those PCB condos start hitting the markets at 40-cents and lower on the dollar, I think they'll provide a better return than anything on 30A.

Possibly ... if you are just about investment. But don't you also think that it's going to take longer for things to shake out in PCB, simply because of the masive inventory?

 

[SHELLY]

Possibly ... if you are just about investment. But don't you also think that it's going to take longer for things to shake out in PCB, simply because of the masive inventory?

Oh yeah, it's gonna take at least a couple of years. Now is NOT the time to buy.


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[Matt J]

Oh yeah, it's gonna take at least a couple of years. Now is NOT the time to buy.


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Amen to that, I know there is another thread for it, but the bottom is no where near.