Tuesday, October 10, 2006

A few days ago we reported on the number of owners taking the homestead exemption in two of the new condos recently opened in downtown Sarasota (data from property records). The interest is in considering how many of these new condos will actually have an owner living there as opposed to being seasonally occupied or simple an investment with the expection of flipping for a profit.

Below are data on other downtown condos - listed is the percentage of units that take the homestead exemption:

5 Points Plaza - 28%
100 Central - 25%
Beau Ciel - 41%
Dolphin Tower - 51%
Encore - 27%
Library Mews - 64%
Marina Tower - 72%
Renaissance - 35%
Ritz-hotel - 33%
Ritz-condos - 35%

It is apparent that during the recent building boom a lot of speculation/investment was taking place. The newest buildings have the lowest owner/occupy rate. Many of these will likely show up on the market again. Few will contribute to year round people living in downtown Sartasota, people that would support businesses and give us the lively downtown the community envisioned.


Anonymous said...

What is really shocking is that after all these years the Renaissance has only 35% "full-time
residents." That was to be the poster child for affordable condos and the beginning of the renaissance of our downtown...the reason the developers were given so many concessions, including the problematic view corridor. Certainly is yet another cautionary tale.

I would be interested in how many of those condo units have been flipped. Bet a lot.

Anonymous said...

On the flip side of this is the fact that seasonal, or non-homesteaded, residents pay the higher tax rate and use the fewest of services. That could be a good thing.