Miami Condo Index – Brickell Key – June 2007

June 28, 2007

This week I decided to compile a condo index for Brickell Key. The data wasn’t quite as shocking as the condo index for Brickell but it did provide a few surprises. Overall, condo units in Brickell Key are listed at an average price per square foot of $519.97, or $16.31 per square foot less than condos in Brickell. The average price per square foot is $513.19 for listed units when using a weighted average. The latter is a bit lower due to a higher percentage of the units in Brickell Key residing in older buildings that have a lower price per square foot.

The average price per square foot for condos sold in the past six months in Brickell Key is $445.59, or $441.05 when weight adjusted. This is $26.17 per square foot less than condo units sold in Brickell over the last six months, or $54.08 per square foot less when comparing their weight-adjusted averages. These figures in themselves are a bit shocking because most would think that units sold in Brickell Key would bring higher prices as it has the reputation of being a more exclusive area. A few of the older buildings in Brickell Key did bring down the overall average but I feel that the difference is more attributable to the mortgage fraud that has occurred in a few large buildings in Brickell. I think we’ll see prices in Brickell Key surpassing Brickell as prices in Brickell readjust to account for the mortgage fraud. Many of those buildings already have a high percentage of foreclosures and those will bring down the overall average in Brickell as other units will need to adjust their prices downwards.

While the price per square foot for listed and sold condos in Brickell Key might be less, the average condo is mispriced by a greater percentage than units in Brickell. The average Brickell Key condo is listed 19.20% higher than what condos have actually sold for in the past six months, or 25.01% when weighted. This is well above the 13.98%, and 10.48% weight adjusted, numbers for Brickell.

I used a total of 10 buildings in Brickell Key to derive the condo index for that neighborhood. Those 10 buildings are found below, along with the statistics that were calculated. The first set of numbers are for condo units that are currently listed in those buildings.

• Brickell Key I – 520 Brickell Key Drive | 33131 | $393.04
• Brickell Key II – 540 Brickell Key Drive | 33131 | $487.14
• Carbonell – 901 Brickell Key Drive | 33131 | $592.56
• Courts Brickell Key – 801 Brickell Key Drive | 33131 | $488.61
• Courvoisier Courts – 701 Brickell Key Drive | 33131 | $490.13
• Isola – 770 Claughton Island Drive | 33131 | $549.03
• One Tequesta Point – 888 Brickell Key Drive | 33131 | $493.80
• St. Louis – 800 Claughton Island Drive | 33131 | $542.87
• Three Tequesta Point – 848 Brickell Key Drive | 33131 | $575.32
• Two Tequesta Point – 808 Brickell Key Drive | 33131 | $587.18

The following numbers represent the average price per square foot of the closed sales within the past 6 months in each building. It is important to note that there was only one closed sale in Courvoisier Courts over the past six months. I feel that the particular unit that did close had a price per square foot that was well above the price per square foot of units that will close in the upcoming months. Prices should, and will most likely, end up more in line with condo units at the building called Courts Brickell Key.

• Brickell Key I – 520 Brickell Key Drive | 33131 | $372.15
• Brickell Key II – 540 Brickell Key Drive | 33131 | $421.27
• Carbonell – 901 Brickell Key Drive | 33131 | $473.04
• Courts Brickell Key – 801 Brickell Key Drive | 33131 | $393.79
• Courvoisier Courts – 701 Brickell Key Drive | 33131 | $434.58
• Isola – 770 Claughton Island Drive | 33131 | $477.28
• One Tequesta Point – 888 Brickell Key Drive | 33131 | $449.42
• St. Louis – 800 Claughton Island Drive | 33131 | $ 466.15
• Three Tequesta Point – 848 Brickell Key Drive | 33131 | $520.86
• Two Tequesta Point – 808 Brickell Key Drive | 33131 | $447.32

As mentioned earlier, the average condo in Brickell Key is overpriced by 16.65%, or 22.15% when weight-adjusted. The break-down for each building is below.

• Brickell Key I – 520 Brickell Key Drive | 33131 | 5.61%
• Brickell Key II – 540 Brickell Key Drive | 33131 | 15.64%
• Carbonell – 901 Brickell Key Drive | 33131 | 25.27%
• Courts Brickell Key – 801 Brickell Key Drive | 33131 | 24.08%
• Courvoisier Courts – 701 Brickell Key Drive | 33131 | 12.78%
• Isola – 770 Claughton Island Drive | 33131 | 15.03%
• One Tequesta Point – 888 Brickell Key Drive | 33131 | 9.87%
• St. Louis – 800 Claughton Island Drive | 33131 | 16.46%
• Three Tequesta Point – 848 Brickell Key Drive | 33131 | 10.46%
• Two Tequesta Point – 808 Brickell Key Drive | 33131 | 31.27%

I’d love to hear some feedback regarding these numbers. Were they revealing to you or were they as expected? Next, I’ll hit South Beach.