Claro Development has a clear picture of the Charlotte market

Claro Development has a clear picture of the Charlotte market

By: Felipe Rivas

2 min read October 2020 — While the national real estate and development sector continues to adjust to the ever-changing pandemic landscape, this period is also a time to strategize and think about future opportunities and expansions. To that end, Charlotte often tops the list for developers and service providers looking to expand their operations across the Southeast. 

Factors such as the Queen City’s robust banking sector, access to capital, growing population, educated workforce and sound public transit infrastructure are driving the region’s development activity and owner representatives like Claro Development, a South Florida-based development services firm, are taking notice. Claro Development has its eyes set on the Queen City as it seeks to expand its expertise in commercial, residential and hospitality development across the Southeast.

“Charlotte has a tremendous foundation in finance and banking and the city is growing in so many sectors. With our experience in project and construction management we feel this is an excellent opportunity to be a part of that growth,” Sandor Scher, owner of Claro Development, told Invest: Charlotte.

With a strong focus on client relationships, having a client request representation cemented the decision to expand into the Queen City, Scher said. “The most important thing to Claro Development is our client relationships and so when the opportunity arises to go where clients need us, we welcome that relationship of trust and confidence. As with our expansions, it happened organically. A client asked for our help and here we are, looking forward to bringing our knowledge, experience and expertise to this historical city.”

The firm’s previous experience working with projects in the North Carolina and Atlanta metro market made the expansion into Charlotte the natural next step. Claro Development recently completed the Even Hotel in Alpharetta, Georgia. The IHG-branded hotel has 16 locations and Claro Development is providing project management services on the 150-room Even Hotel in Akers Mills, Georgia. In South Florida, the firm has managed over $1 billion in hospitality and commercial developments with notable engagements at Soho House, Faena, The Raleigh and The Standard. 

“We look at Charlotte as being a great place to invest, with access to capital, excellent population growth and the fact that it is pro-business. We also greatly admire how the city has held onto its heritage and its historic structures,” Scher told Invest:Charlotte.

Hospitality and historic restorations is where Claro Development thrives, as evidenced by the firm’s work in Miami Beach. In fact, historical preservation is a major part of the company’s expertise and has been its bread and butter for the last 15 years. “Miami Beach itself is the largest historic district in the country and because of that, and because of our expertise with these historic buildings, we’ve carved out quite a niche for ourselves,” Scher said. It’s a niche that could serve Charlotte’s historic restoration needs. “No other firm comes close to the number of high-quality, historic renovations that we’ve accomplished in the last decade.”

The company is also looking forward to bringing its knowledge and experience to the hospitality, office, retail and multifamily segments in the Charlotte market. Although the COVID-19 pandemic is a concern, planning for the expansion in the current landscape was not terribly difficult, Scher said. “We have excellent talent that is local and we have a very strong financial base to leverage off of with our existing clients. (The pandemic) certainly changes our expectations in terms of growth but this is a long-term commitment, so it is built on the same foundation regardless,” he said. 

 

To learn more, visit: https://www.clarocorp.com/

City of Westlake is on an upward trajectory.

City of Westlake is on an upward trajectory.

By: Felipe Rivas

2 min read October 2020 — Located in western Palm Beach County, the city of Westlake continues to attract new homeowners, even in the midst of a pandemic.Minto Communities USA, the master developer and lead home builder, is overseeing the growth of the county’s newest city as Westlake, established in 2016, matures into an affordable, family-focused community. 

 

“There are roughly 3,790 acres of land within the city limits,” City Manager Kenneth Cassel told Invest: Palm Beach. “Since the inception to date, there are now some 500-plus homes occupied, a sales center constructed, an amenity center, a stand-alone emergency surgical center and a 400-acre solar power site within the city limits. All the respective infrastructure for the current development pods has been constructed. The city continues to develop at a rapid pace.” 

Following the success of its first two neighborhoods, Minto Communities this July began the selling process for its newest neighborhood, The Groves of Westlake. The neighborhood immediately sold out its first 17 lots, and Minto Communities sold 24 homes overall throughout the first weekend on sale, the developer reported. The overwhelming interest from customers prompted Minto Communities to release an additional 19 home sites.

“We were extremely pleased with the success of our first two neighborhoods, The Hammocks, which is sold out, and The Meadows, which is over 80% sold out,” President Mike Belmont said in a press release. “With the increased demand for living in more wide open spaces, we anticipate this incredible momentum to continue with The Groves.” 

Home sales in Westlake continue to beat projections as Minto Communities has sold more than 640 single-family homes since opening in October 2017, the developer reported. A census report in July 2019 showed that the city of Westlake is the fastest-growing city in Florida. 

“We have a good mix of elderly couples, young families and single individuals buying property and moving to Westlake,” Cassel said. “There is an elementary, middle and high school in the city to support young families; additionally, another school site has just been conveyed to the school board for another elementary school.” 

Major companies like Florida Power & Light and Wellington Medical Center are settling in the area. In 2018, Florida Power & Light announced plans to construct 400 acres of solar panels set to produce 74.5 megawatts of power, Cassel said. “The company also constructed the solar farm and a substation in the city that feeds Westlake and other nearby communities on the grid,” he said. Last year, Wellington Regional Medical Center opened a new stand-alone emergency department and last December, it acquired the adjoining 35 acres for a future medical campus.

All in all, Westlake is quickly moving past its infancy and maturing into a city to rival other great Palm Beach County municipalities. “If interest rates remain steady, we are forecasting the same growth pattern over the next several years,” Cassel said. “The developers are delivering an affordable product and people will continue to relocate to the city. The city of Westlake offers competitive living costs and a great lifestyle for current and future residents.”

For more information, visit:

 www.WestlakeFL.com

https://www.minto.com/usa/new-homes/projects.html

 

What Phase 3 of reopening means for Broward County

What Phase 3 of reopening means for Broward County

By: Beatrice Silva

2 min read October 2020 — Gov. Ron DeSantis’ decision to move Florida into Phase 3 has led to a scramble among local government officials to make sense of which public health regulations remained in place. In the aftermath of the announcement, confusion has quickly swept across Broward County to the point where Fort Lauderdale Mayor Dean Trantalis issued a New Declaration of Emergency Regulations that clarifies the rules and regulations for businesses and individuals during this phase of economic reopening. 

 DeSantis announced his plans on Sept. 25, just three weeks after Broward and Miami-Dade County entered Phase 2 of reopening. Phase 3 is outlined within the Safe. Smart. Step-by-Step plan. It has minimum recommended health protocols and lifts the majority of restrictions on restaurants, bars and other businesses. Moving forward, such establishments will be allowed to operate at full capacity with limited social distancing protocols. Local governments were given the permission to limit some bars to 50% of capacity. However, the new bill prevents cities and counties from ordering them to close or penalizing them for not following the rules. “I think we need to get away from trying to penalize people for not social distancing and work with people constructively,” DeSantis said in a statement. 

Fort Lauderdale’s Trantailis responded to the Phase 3 reopening plan in a letter to the public. His message highlighted the importance of opening business but under regulated guidelines. “As I have long said, we have needed to begin reopening our businesses and amenities but that we also must do so in a way that continues to protect public health. Given the broad nature of the governor’s order, I am attempting to maintain a measure of protection that an urban area like ours needs since the virus can easily spread. For the month of September, the daily infection rate in our area has remained consistently under 5 percent. We want to continue to keep it there and avoid another spike in COVID-19 infections…My new order conforms with the governor’s expansion, but still maintains our old local rules of six feet of separation between tables and between people who are standing or waiting in line. Employees must wear masks as must customers except when they are eating,” said Tranalis. 

Gyms, fitness centers, state parks, public beaches and other large venues were also permitted to open at full capacity with limited social disconnecting protocols. The Safe. Smart. Step-by-Step plan is promoted to help get small businesses up and working again. During the height of the pandemic, Broward County’s unemployment rate leaped to 14.5% in March. 

“The re-opening of our economy has not been easy, but it is being done right in most states. Of course, things change, but as we gather more knowledge on this virus, I believe we can combat it and not have to close our economy. Florida Gov. Ron DeSantis’ approach of Safe. Smart. Step by Step is proving to be the right way to re-open the economy,” Alex Sanchez, president and CEO of Florida Bankers Association wrote in an opinion piece. 

Just two days after Florida entered Phase 3 of reopening, Florida’s COVID-19 Data and Surveillance Dashboard reported 1,868 new cases. Some public officials are questioning if Gov. DeSantis overstepped his power while others are adamant about reopening to full capacity.

 

Best practices for sustainable business growth in a post-pandemic world

Best practices for sustainable business growth in a post-pandemic world

By: Beatrice Silva

3 min read September 2020 — Coming off a record economic year for the Philadelphia region, no one could have ever predicted the hurricane that is COVID-19. Crawling through the muddied trenches of lost revenue, businesses are having to find a way out. To promote sustainable business growth in a post-pandemic world, companies across all sectors are making tough decisions and developing innovative strategies.

In the second quarter of 2019, South Jersey’s unemployment rate was at an all-time low, according to The Federal Reserve Bank of Philadelphia’s quarterly South Jersey Business Survey. Just one year later, the Second Quarter 2020 Survey of Professionals reported job losses at a rate of 7,647,800 per month. In the midst of uncertainty, hundreds of businesses decided to furlough employees in an effort to manage the effects of the new coronavirus. Rather than simply laying off a staff member, furloughs allow employees to keep their employment benefits and hopes of returning to work while also helping to reduce labor costs. Keeping top talent in the company is vital to an organization’s growth. 

Inspira Health, a South Jersey nonprofit healthcare organization, was one of the many health systems in the region that had to furlough employees, impacting around 200 workers, because of reduced revenues during the height of the pandemic. “As a first response to the resulting changes in staffing needs, some employees were redeployed to areas where additional staff were needed,” Inspira said in a statement. “With the expanded suspension and reduction in services over the past month, we have had to make the difficult decision to temporarily eliminate regularly scheduled work hours for some employees.”

Reducing staff is one way to save money during a flash recession. However, to survive in a post-pandemic landscape, businesses must also develop strategies that allow them to pivot when necessary and leverage competitive advantages. Heading into 2021, new business models that offer more sustainable options are expected to emerge. “In terms of embedding sustainability into long-term plans, this is best done, at least initially, by putting sustainability on every meeting agenda. If business leaders continually ask, ‘What is the environmental effect of this and is there a better option?’ then sustainability becomes institutionally embedded very quickly,” Ben Stansfield, partner of Gowling WlG, told Financier WorldWide.

COVID-19 shook the core of the economy and altered almost every aspect of life around the world. As society finds new ways to adapt so will the businesses that shape local communities. In the midst of uncertainty, the one thing that is clear is that a post-pandemic future will be fundamentally unlike anything that came before. “The post-COVID-19 world will no doubt look different in many ways – more remote work, less flying and the namaste possibly replacing the handshake forever … My hope is that there will be a great rise in employee and consumer activism and companies that continue their old ways of profit maximization at all costs, without regard for people and planet, are shamed and starved and ultimately booted out,” CB Bhattacharya, chair of sustainability and ethics at the University of Pittsburgh’s Katz Graduate School of Business, told Financier Worldwide. 

During this period of evolution, sound insights and collaboration between business leaders will be pivotal across all sectors. To learn more about best practices to promote business growth in South Jersey, register now for the Invest: South Jersey 2020 Virtual Launch Conference. The conference takes place on Oct. 8 at 11:30 a.m. The virtual business conference will feature two robust panels, including, “Best practices to promote sustainable business growth in a post-pandemic landscape,” moderated by Christina Renna, president and CEO of South New Jersey’s Chamber of Commerce, and featuring insights from Albert Fox, senior vice president and executive director of Fox, Penberthy & Dehn at Morgan Stanley, Vincent D’Alessandro, southern region president of OceanFirst Bank, Robert Curley, South Jersey/Coastal market president of TD Bank and Reynold Cicalese, managing shareholder of Alloy Silverstein. 

To learn more, visit:

https://zoom.us/webinar/register/WN_z34pLBUwQlSCObV80dyE7w

Register for event
Miami Heat are on fire in their playoff run

Miami Heat are on fire in their playoff run

By: Max Crampton-Thomas

2 Min read September 2020 — After missing the chance to qualify for the playoffs last year and a sound beating in the first round of the playoffs the year prior, the Miami Heat were viewed as a team that was in the middle of what looked to be a long-term rebuild. This would have most likely been true had it not been for the masterminds working behind the scenes for the franchise, namely President Pat Riley and long-time Head Coach Erik Spolstra, and their emphasis on finding players that truly fit the well-known and regarded Heat Culture. Now only one win away from being declared the Eastern Conference Champions in 2020, the Miami Heat are on a mission to continue to shock the National Basketball Association. 

While this sudden success may come as a surprise to the casual fan, those well-versed in the game could see that Miami wasn’t making the moves of a franchise looking to enter into a complete rebuild. Starting with the offseason acquisition of NBA superstar Jimmy Butler in July 2019, the Heat began to find pieces to compliment both their newly acquired star and solidified role players like Goran Dragic, Bam Adebayo and Duncan Robinson. After putting together what was well-regarded as one of the best rookie classes of 2020, with players like Tyler Herro, Kendrick Nunn and Chris Silvia quickly becoming a true embodiment of Heat Culture, the in-season acquisitions of veterans Andre Iguadola and Jae Crowder only added fuel to the fire of what was already shaping up to be a scorching hot regular season for the Heat. 

An unexpected pause of the regular season due to the COVID-19 pandemic, saw the NBA make the announcement that they would be finishing out the remaining games in a “bubble” setting in Orlando, which would also host the playoffs and finals immediately following. The slightly shortened season and significant additions to the team resulted in the Heat finishing at fifth overall in the Eastern Conference with a record of 44 wins and 29 losses. 

The Heat have since flourished inside the bubble, with a quick 4-0 routing of the Indiana Pacers in the first round of the playoffs and a slightly tougher 4-1 series win over the No. 1 seated Milwaukee Bucks in the second round. The Heat, who are currently up 3-1 against the Boston Celtics in the Eastern Conference Finals, will look to close out the series tonight and advance to their first Finals appearance since 2014. 

But what does the team’s success this year mean for Miami-Dade? Unlike playoff runs from years past, these games are not being played in the host city for each team and ultimately the economic impact for Miami-Dade County will not be the same. That being said, the positive effects of this historic run come by way of providing some much-needed visitation of local residents to restaurants in the county, who were only recently allowed to once again have indoor dining at 50% capacity. Miami restaurants, namely sports bars, can rejoice at the Heat’s playoff run as fans congregate once again in their establishments to collectively share in the enjoyment of watching their team play and, most importantly, continue to win. 

For more, please visit: 

https://www.nba.com/heat/. 

Florida is in the midst of an aviation renaissance

Florida is in the midst of an aviation renaissance

By: Beatrice Silva 

2 min read September 2020 — Despite a dismal year for the aviation industry, Orlando Melbourne International Airport is experiencing a period of exponential growth. Companies such as Made in Space and Aerion Supersonic have announced plans to relocate their headquarters to central Florida, which will help bring hundreds of jobs to the region. 

Aerion Supersonic plans to relocate its headquarters from Reno, Nevada, to Melbourne, Florida. The American aircraft manufacturer received a substantial investment from Space Florida that will help bring an estimated 675 jobs to the region over the next six years. Aerion Supersonic and Space Florida also have plans to build a $300-million state-of-the-art campus at Melbourne International Airport. Located on 60 acres of undeveloped property at the northwest corner of the airport, Aerion Park will boast a center for research along with facilities for manufacturing, design and production. 

The AS2, a supersonic business jet, will be the first aircraft manufactured at Aerion Park. Production of this ultrafast fleet is scheduled to begin in 2023. “Our engineers call it science, but we call it time travel,” Aerion said in a tweet. “Why? At the speed of 1,000 MPH, we’re taking you from JFK to Sydney in 13 hours and 43 minutes instead of 18 hours and 6 minutes. Use those hours with your family instead.” 

Florida is in the midst of an aviation renaissance. Despite an unsettling year, the industry has remained resilient. Space Florida has high hopes that the creation of Aerion Park will help captivate other aviation and aerospace corporations to the area, which will only bring more exploration and innovation to the region. 

“This is a truly transformational project for Florida that changes the game for high-speed air transportation as well as for advanced aerospace manufacturing in the state,” Frank DiBello, president and CEO of Space Florida, told AINonline. “The decision to locate design, engineering, and manufacturing of this technologically advanced supersonic flight vehicle here in Florida is a testament to the growing strength and global recognition of the importance of Florida as a world-leading aerospace state.”

Aerion Supersonic isn’t the only corporation that has received investments from Space Florida to help relocate its operations to the Sunshine State. Earlier this year, Made In Space, announced its decision to move its headquarters from Mountain View California to Jacksonville. The engineering company specializes in the manufacturing of three-dimensional printers for use in microgravity.

“Relocating our headquarters to Jacksonville is a strategic step to position the company for long-term growth,” Andrew Rush, Made In Space president and CEO, said in a statement. “By expanding our presence in Florida, we can leverage a skilled aerospace workforce, large-scale infrastructure to support our growth, and key strategic partners like Space Florida that will accelerate our momentum as we continue to develop world-class space technology.”

Mixed-use developments are replacing big-box retailers

Mixed-use developments are replacing big-box retailers

By: Beatrice Silva

2 min read September 2020  — Retail real estate is influenced by the state of the economy, occupancy levels and consumer trends. This past year, digital shoppers spent an estimated $601.75 billion online, which is up 14.9% from the previous year, according to the U.S. Department of Commerce. The popularity of e-commerce has led to hundreds of retail bankruptcies and an influx of vacant retail buildings. Developers like Walsh Properties and Terra Group have come up with clever ideas to use some of these obsolete establishments in South Florida.

The BrandsMart-anchored shopping center located in Davie is just one of the potential redevelopment projects in Broward County. Adache Group Architects are attached to the project, a 1.27-million-square-foot plot of land to be transformed into a mixed-use residential and commercial development, according to the Town of Davie’s planning report. Along with boasting 735 residential units, the blueprint calls for 23,00 square feet of commercial/retail space and 21,884 square feet of amenities, such as two outdoor pools, a clubhouse and a work area. On Sept. 8, the Town of Davie approved Walsh Properties’ rezoning application for the proposed project, which is anticipated to have a positive effect on surrounding property values. 

Although large chain retailers like JCPenny and Steinmart are faltering, having the perfect ratio of residential and commercial space could be the way forward. “I think you’ll see less retail development and more of a focus on entertainment and life experiences,” Dave Dickerson, president of Midwest business operations for Miller-Valentine Group, told Dayton Business Journal. “They will be a place where consumers go, not just to shop, but to have lunch and have more of an amusement experience.” 

For David Martin, real estate developer and CEO of Terra Group, his focus is on building strong fundamentals by diversifying South Florida’s economy away from its reliance on tourism. His firm currently has 8.9 million square feet of residential, commercial and retail development throughout Broward and Miami-Dade. 

Block 55 is just one of Terra Group’s ambitious projects. In partnership with Swerdlow Group, the two firms are proposing around 402 apartments, 54 affordable senior housing units and around 350,000 square feet of retail space anchored by a Target store, according to The Real Deal. 

“Miami Beach and Coconut Grove will continue to attract an immense amount of investment. We believe in the political leadership and the zoning regulations that will promote sustainable development. We are finding that there is an increasing scarcity of land so this is creating more competition for properties and land. We are trying to focus and invest in the neighborhoods we believe in as well as creating assets that are really meeting the behavioral patterns related to people’s lifestyles. We are continuing to see mixed-use as a strong bet but we are sensitive to what is happening in retail today, as well as the implications of working from home. We are trying to design our residential buildings to adapt to the changes and differentiate ours from the other products available on the market,” Martin told Invest: Miami. 

Enter Phase 2: Palm Beach County ready for further opening of economy

Enter Phase 2: Palm Beach County ready for further opening of economy

By: Felipe Rivas

5 min read September 2020 — After reflecting on the social and economic achievements of American workers, Palm Beach County is ready to allow more workers to get back to work. For the first time since March, the majority of Palm Beach County industries will be allowed to reopen Tuesday after Gov. Ron DeSantis agreed to the easing of coronavirus-related business restrictions.The county now sits in Phase 2 of its multistep reopening plan, which will allow movie theaters, bowling alleys, playhouses and other entertainment venues to reopen following Labor Day weekend. 

Businesses will still limit the number of customers served at one time and will continue to enforce social distancing guidelines. Palm Beach County Mayor Dave Kerner said that 95% of businesses will be operational in some fashion, according to the Patch. 

Unemployment rates remained under 4% in the county for all of 2019 and the start of 2020, consistently dipping to under 3% in that time span, according to the U.S. Bureau of Statistics. From March to April, unemployment shot up from 4% to almost 15% as shelter-in-place measures were implemented locally and throughout the state and nation. Since April, unemployment rates have dipped, hitting about 10% in July as the economy began to carefully open up. The rate is currently at 11.6%.    

“We remain focused on preserving a healthy community and a vibrant way of life for our hometown,” Kerner told Invest: Palm Beach. “Our outlook is ensuring we remind this community every day that it takes a village to get through this. It is not going to happen without continued cooperation, passion and civic duty on behalf of our constituents, our neighbors and our friends. If we achieve that, the outlook will be excellent,” he said. 

As the county enters Phase 2, lessons learned from the pandemic may help drive future economic development in the region. “We all want to safely get back to doing the everyday tasks but this will take a slow and steady approach,” Boca Raton Economic Development Manager Jessica Del Vecchio told Invest: Palm Beach, echoing the mayor’s sentiments. “Today, with technology, we’ve learned we can work from anywhere. This will allow us to continue to attract new companies from out of state, especially now that we’ve been forced to test the work from home concept for many months,” she said.

Continuing to observe health and social distancing guidelines will be key as the economy continues to open up. “It’s important that we make sure we are ready and comfortable for the upcoming reopening of businesses, schools and local community events,” Del Vecchio said. “We should bear in mind that everyone has different boundaries and comfort levels, so the recovery could vary drastically from one person or location to another. Over the next six months, it will be interesting to see what changes occur as we start getting back to everyday happenings. I hope the simpler joys that we rediscovered during the shelter in place order will remain.”

For more information, visit:

https://discover.pbcgov.org/

https://myboca.us/470/Economic-Development

An influx of affordable housing is coming to Orlando

An influx of affordable housing is coming to Orlando

By: Beatrice Silva 

2 min read September 2020  — Affordable housing has been a major cause for concern in Florida for decades. Homes in the sunshine state are overpriced by almost 20%, the highest level in eight years, according to a study done by Florida Atlantic University. The pandemic has served as a reminder of just how fragile the line between having a place to live and experiencing homelessness is for families. This past year, Central Florida added seven affordable rental options for low-income households, which has raised the total count to 20, in an effort to subdue this crisis.  

On Dec. 17, 2019, Orange County commissioners signed off on a 10-year plan to create new affordable housing projects, injecting $160 million into a fund with a goal to build 30,300 units by 2029. Among other grants and strategies, developers and nonprofits can seek financial help to build or upgrade low-income properties. “In the end, all those things are going to help, but they are going to have to have dedicated resources,” Shannon Nazworth, CEO of Jacksonville-based Ability Housing, previously told Orlando Business Journal. “There have been communities like Los Angeles that have gotten permission from their populous to do a bond issue to develop affordable housing and meet the need, and if Orange County were to do that, I think the return on investment would be demonstrative.”

Residential Communities LLC and New South Residential LLC are the most recent developments to undertake an affordable apartment complex. Construction on the 77,473-square-foot senior housing facility is set to begin in early September at 5800 S. Rio Grande Ave, according to Orlando Business Journal. This project is one of the many that are needed to help bring more affordable housing options to the region. Families are struggling, perhaps now more than ever, to simply pay rent. To put things into perspective, a minimum-wage worker in Florida makes around $445 per month while the average one bedroom apartment costs around $1,027 per month, according to the National Low Income Housing Coalition. Rent at that price point is simply out of reach even for median-waged workers like nursing assistants, janitors and cashiers. 

While paying rent is difficult, for some people owning a home may seem unfathomable. However, renting a single-family home provides the experience of owning without the costly fees and obligations associated with purchasing a property. As a result, the single-family rental sector is booming in Orlando. “If you can find single-family housing that you can rent that’s within close proximity of multifamily housing, the single-family housing is going to beat it out every time,”  Brad Hunter, managing director of real estate consulting firm RCLCO, told Orlando Business Journal. 

The rise of rentals could be another form of relief for low-income families. The increase in occupancy will eventually lead to more single-family rental communities being built that then provide more affordable housing options. However, when it comes down to it, the majority of the responsibility to help reduce the burdens of housing costs and minimum wages falls on elected officials. Without the support of the local and state government, deploying a plan to promote affordable housing is left in the hands of developers and the community. 

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