Miami's Fisher Island Enjoying an Uptick in Uber-Lux Condo Sales

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(MIAMI, FL) -- According to several local real estate professionals, the ultra-wealthy residential island community of Fisher Island is experiencing a strong increase in sales activity in the latter half of 2009, amidst a tough real estate economy for most.

Phyllis Winick, on-island broker of Fisher Island Real Estate stated, "Sales are up over 30% this year over 2008 and numerous European buyers are planning to purchase residences here in Miami during this winter season. This will have a major added impact on the real estate market here on Fisher Island and South Florida."

Several other off-island luxury condo brokers in South Beach also stated they are seeing a stronger increase in showings, offers made and closings in the latter half of 2009 for Fisher Island properties.

Recorded real estate sales data on the island confirms these statements.

According to Fisher Island sales stats from the Realtor Association of Greater Miami and the Beaches, there were 31 sales in 2009 compared to only 24 sales in 2008.

Even though there were stronger sales activity in 2009, pricing pressures still persisted.

The average final selling price across all 31 transactions in 2009 was achieved at a 26% discount off of the original asking price. In 2008 the average final selling price was at a 24% discount to original asking prices.

Fisher Island is a 214 acre island located just off the southernmost tip of South Miami Beach that is a haven of approximately 700 ultra-luxury 1920's styled Mediterranean condos, ranging in price from $500,000 to over $30 million. Fisher Island amenities include 14 pools, a 9 hole golf course, 16 tennis courts, a private yacht marina, a day spa, 7 restaurants, private beach and a newly renovated $6M beach club.

Fisher Island's 9-hole golf course has also been the host to pro golf tournaments like the Merrill Lynch Shootout.

Fisher Island has long been a tropical playground for many of the world's wealthy and famous that includes past and current owners such as the Vanderbilt family, Oprah Winfrey, Mel Brooks and Boris Becker. Most of the current owners on Fisher Island are second vacation home owners, of which 65% come from International origins outside the U.S.

The island was originally created in 1905 from the dredging activities in and around Miami Beach. In 1919 Carl Fisher purchased the dredge-made property and started construction of Fisher Island.

In 1925 William Kissam Vanderbilt II approached and successfully traded a luxury yacht to Fisher for ownership of the island. Since then, it has seen several owner changes through today.

The current owner and sole developer of Fisher Island is an entity called Fisher Island Holdings, which is headed by Joseph Kay, a Russian business man who has business and investment interests around the globe.

Fisher Island Holdings took control of the island in December 2004 by purchasing the remaining land rights, equity golf memberships and existing inventory of approximately 12 'decorator ready' units from the 2001-02 buildings. He entered the community full of promises to infuse capital into the community and club to return Fisher Island to the top echelon of elegance and luxury.

At that time, The developer reportedly announced that all reservations for the future built Palazzo de Mare would have an increase of 30% and reservation holders would be released if they desired. All but one reservation holder accepted the price increase and quickly went to contract.

The existing inventory of developer units were also sold within 60 days, at a matched 30% price increase. The real estate market responded with an unprecedented bounce of 30-40% increase for resale units.

At the zenith of the South Florida real estate boom, "designer ready" ocean-side condos on Fisher Island were selling for between $1,200 to $1,800 per square foot. Today's selling prices are off by as much as 50% from the 2005-2006 peak market values.

In early 2008, sales activity dropped off dramatically, like most luxury real estate communities worldwide, due to a deteriorating global economy. In past years, the island's sales volume hovered around 75-80 resales annually.

Given the recent brisk uptick in sales activity, it seems that Fisher Island may be getting back on track to its former glory days.


2009 Y-T-D Sales Stats (Broker sales only, does not include private sales transactions)




2008 Sales Stats (Broker sales only, does not include private sales transactions)



Source : Realtor Association of Greater Miami and the Beaches

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