Home prices in Palm Beach, Broward down 30 percent
Posted by Paul Owers on April 28, 2009 01:37 PM
A widely respected index released today shows -- brace yourself, sellers -- more broad price declines of single-family homes nationwide.
But there is at least this: the rate of decline is easing.
Standard & Poor's Case-Shiller Home Price Index, a measure of prices in 20 major cities, fell 18.6 percent in February from February 2008. Prices now are what they were in 2003.
But for the first time in 16 months, the drop didn't set a record.
In metropolitan Miami, which includes Broward and Palm Beach counties, year-over-year prices fell 29.5 percent. South Florida prices have fallen 45 percent from their peak in December 2006.
The index is considered a strong measure of home prices because it examines price changes of the same property over time, instead of calculating a median price of homes sold during the month, as the Florida Association of Realtors does.
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Wednesday, April 29, 2009
Palm Beach COACH Store Closes !
Coach store on Worth Avenue closes after two years in Palm Beach
By ROBERT JANJIGIAN
Daily News Fashion Editor
Tuesday, April 28, 2009
Coach, the New York City-headquartered leathergoods purveyor, has closed its 2-year-old Worth Avenue store.
The store, 255 Worth Ave., was shuttered for good Friday evening, with windows papered over by Saturday morning, an adjacent retail tenant reported.
A sign in the door announces the closure and invites shoppers to visit Coach locations at Town Center in Boca Raton and The Gardens mall in Palm Beach Gardens.
"We've decided to close our Worth Avenue location as the returns we were achieving were not up to Coach standards of excellence," a company spokesperson said.
In addition to closing its Worth Avenue location, Coach also shuttered its stores in Greenwich, Conn.; Green Valley Ranch, Nev.; and Embarcadero Center in San Francisco.
"There are always changes on the Avenue, especially at this time of year," said Sherry Frankel, president of the Worth Avenue Association. "It is surprising that they (Coach) decided to close after such a brief time here."
"We are always sad to see any business leave but look forward to welcoming a 'fresh' tenant for this prime retail space," Frankel said.
By ROBERT JANJIGIAN
Daily News Fashion Editor
Tuesday, April 28, 2009
Coach, the New York City-headquartered leathergoods purveyor, has closed its 2-year-old Worth Avenue store.
The store, 255 Worth Ave., was shuttered for good Friday evening, with windows papered over by Saturday morning, an adjacent retail tenant reported.
A sign in the door announces the closure and invites shoppers to visit Coach locations at Town Center in Boca Raton and The Gardens mall in Palm Beach Gardens.
"We've decided to close our Worth Avenue location as the returns we were achieving were not up to Coach standards of excellence," a company spokesperson said.
In addition to closing its Worth Avenue location, Coach also shuttered its stores in Greenwich, Conn.; Green Valley Ranch, Nev.; and Embarcadero Center in San Francisco.
"There are always changes on the Avenue, especially at this time of year," said Sherry Frankel, president of the Worth Avenue Association. "It is surprising that they (Coach) decided to close after such a brief time here."
"We are always sad to see any business leave but look forward to welcoming a 'fresh' tenant for this prime retail space," Frankel said.
Economy falls more than expected
Economy falls more than expected
The nation's gross domestic product fell 6.1% in the first quarter -- nearly the same pace as the end of 2008, and a much sharper drop than expected.
By Chris Isidore, CNN
April 29, 2009
NEW YORK (CNNMoney.com) -- The U.S. economy shrank at a pace of 6.1% in the first quarter -- almost as much as it did in the fourth quarter of 2008, according to a government report Wednesday.
The drop was much worse than expected. According to economists surveyed by Briefing.com, expectations were for a drop of 4.7% in gross domestic product, the broadest measure of the nation's economic activity, from a year ago.
The first quarter decline was the second biggest drop recorded in 26 years, behind only the fourth quarter reading. GDP fell 6.3% in the last three months of last year.
Still, investors didn't appear to be too upset by the news. Stocks rose modestly after the opening bell Wednesday.
While the overall GDP figure was disappointing, there were some signs of improvement in the report's other readings.
Purchases by individuals rose at an annual 2.2% rate, the first time personal spending rose since the second quarter of 2008. A smaller trade gap also limited the rate of economic decline.
But businesses pulled back on spending a great deal in the first quarter, as purchases of equipment and software declined at a 34% annual rate, the sharpest decline in 50 years. This drop accounted for 2.6 percentage points of the overall decline in GDP.
Businesses also slashed their inventories by more than $100 billion during the quarter, the biggest drop on record. That contributed another 2.8 percentage points to the drop in GDP. State and local governments also cut back on spending.
Robert Brusca of FAO Economics said the huge drop in inventories is good news for the economy going forward, because it will force businesses to start ramping up production again quickly once there are more signs of increased demand from consumers.
So even though the declines in GDP reported in the fourth and first quarter were similar, Brusca thinks this latest report is far more positive.
"This is the best minus 6% reading we've ever had," he said.
Wachovia economist Adam York said the sharp plunge in inventories needed to take place in order for the economy to be able to turn around.
Now that businesses have made that adjustment, York said there could be growth in the overall economy as soon as the second quarter. But he cautioned that growth was more likely to resume in the second half of this year.
"We're in the light at the end of the tunnel camp," he said. "This sets us up for a traditional business cycle recovery."
The nation's gross domestic product fell 6.1% in the first quarter -- nearly the same pace as the end of 2008, and a much sharper drop than expected.
By Chris Isidore, CNN
April 29, 2009
NEW YORK (CNNMoney.com) -- The U.S. economy shrank at a pace of 6.1% in the first quarter -- almost as much as it did in the fourth quarter of 2008, according to a government report Wednesday.
The drop was much worse than expected. According to economists surveyed by Briefing.com, expectations were for a drop of 4.7% in gross domestic product, the broadest measure of the nation's economic activity, from a year ago.
The first quarter decline was the second biggest drop recorded in 26 years, behind only the fourth quarter reading. GDP fell 6.3% in the last three months of last year.
Still, investors didn't appear to be too upset by the news. Stocks rose modestly after the opening bell Wednesday.
While the overall GDP figure was disappointing, there were some signs of improvement in the report's other readings.
Purchases by individuals rose at an annual 2.2% rate, the first time personal spending rose since the second quarter of 2008. A smaller trade gap also limited the rate of economic decline.
But businesses pulled back on spending a great deal in the first quarter, as purchases of equipment and software declined at a 34% annual rate, the sharpest decline in 50 years. This drop accounted for 2.6 percentage points of the overall decline in GDP.
Businesses also slashed their inventories by more than $100 billion during the quarter, the biggest drop on record. That contributed another 2.8 percentage points to the drop in GDP. State and local governments also cut back on spending.
Robert Brusca of FAO Economics said the huge drop in inventories is good news for the economy going forward, because it will force businesses to start ramping up production again quickly once there are more signs of increased demand from consumers.
So even though the declines in GDP reported in the fourth and first quarter were similar, Brusca thinks this latest report is far more positive.
"This is the best minus 6% reading we've ever had," he said.
Wachovia economist Adam York said the sharp plunge in inventories needed to take place in order for the economy to be able to turn around.
Now that businesses have made that adjustment, York said there could be growth in the overall economy as soon as the second quarter. But he cautioned that growth was more likely to resume in the second half of this year.
"We're in the light at the end of the tunnel camp," he said. "This sets us up for a traditional business cycle recovery."
Thursday, April 16, 2009
The Great Recession
The Great Recession: America Becomes Thrift Nation
By NANCY GIBBS, TIME, Wednesday, Apr. 15, 2009
... sometimes we change because we have no choice...
Now we're stripping down and starting over.
Nearly half say their economic status declined this year, and 57% now think the American Dream is harder to achieve.
Unlike any other downturn since the 1930s, this one has affected everyone, either the fact of it or the fear of it. Even when prosperity returns, 61% predict, they'll continue to spend less than they did before.
Among people earning less than $50,000 a year — roughly half of U.S. households — 34% have not gone to the doctor because of the cost, 31% have been out of work at some point, and 13% have been hungry.
At the same time, 4 in 10 people earning more than $100,000 say they are buying more store brands, 36% are using coupons more, and 39% have postponed or canceled a vacation to save money. Forty percent of people at all income levels say they feel anxious, 32% have trouble sleeping, and 20% are depressed. After a season of big news, of war and storms and swindlers, pirates and poison peanut butter, 43% are watching the news even more, taking the medicine even if it tastes bad because skipping it could be risky.
By NANCY GIBBS, TIME, Wednesday, Apr. 15, 2009
... sometimes we change because we have no choice...
Now we're stripping down and starting over.
Nearly half say their economic status declined this year, and 57% now think the American Dream is harder to achieve.
Unlike any other downturn since the 1930s, this one has affected everyone, either the fact of it or the fear of it. Even when prosperity returns, 61% predict, they'll continue to spend less than they did before.
Among people earning less than $50,000 a year — roughly half of U.S. households — 34% have not gone to the doctor because of the cost, 31% have been out of work at some point, and 13% have been hungry.
At the same time, 4 in 10 people earning more than $100,000 say they are buying more store brands, 36% are using coupons more, and 39% have postponed or canceled a vacation to save money. Forty percent of people at all income levels say they feel anxious, 32% have trouble sleeping, and 20% are depressed. After a season of big news, of war and storms and swindlers, pirates and poison peanut butter, 43% are watching the news even more, taking the medicine even if it tastes bad because skipping it could be risky.
Foreclosures, U.S.
Foreclosure filings jump 24%
March and first-quarter total filings were the highest monthly and quarterly totals on record. Repossessions fall 3%.
By Julianne Pepitone, CNN
April 16, 2009
NEW YORK (CNNMoney.com) -- Foreclosures skyrocketed in March and the first quarter of 2008 to their highest levels on record as banks lifted moratoria on filings.
Foreclosure filings - which include default papers, auction sale notices and repossessions - reached 803,489 in the first quarter, according to a report released Thursday by RealtyTrac, on online marketer of foreclosed properties. That is a 24% jump over a year earlier and a 9% increase compared to the previous quarter.
The March and first quarter were the highest monthly and quarterly totals since RealtyTrac began reporting in January 2005.
"In the month of March we saw a record level of foreclosure activity - the number of households that received a foreclosure filing was more than 12% higher than the next highest month on record," said James J. Saccacio, chief executive officer of RealtyTrac, in a prepared statement.
Foreclosures have hit the economy hard. Housing prices have plummeted and some homeowners are severely underwater - meaning they owe more than their homes are worth. That can remove the incentive to keep up with mortgage payments.
Amid mass layoffs and pay cuts, soaring unemployment is a bigger reason for missed mortgage payments than high interest rates, according to a study from the Federal Reserve Bank of Boston.
Worst-hit states
Five states accounted for nearly 60% of the total foreclosure activity in the first quarter: In California, Florida, Arizona, Nevada and Illinois, 479,516 properties received foreclosure filings.
California alone, with 230,915 filings in the first quarter, accounted for nearly 29% of the total. The number of foreclosure filings in the state increased 35% from the fourth quarter and 36% from the year-ago period.
In March, California had 107,785 total filings - a jump of 33% from February and almost 67% from a year ago.
Florida's total filings in the first quarter fell 12% from the fourth quarter, but the state's 119,220 were still the second-highest in the country.
March and first-quarter total filings were the highest monthly and quarterly totals on record. Repossessions fall 3%.
By Julianne Pepitone, CNN
April 16, 2009
NEW YORK (CNNMoney.com) -- Foreclosures skyrocketed in March and the first quarter of 2008 to their highest levels on record as banks lifted moratoria on filings.
Foreclosure filings - which include default papers, auction sale notices and repossessions - reached 803,489 in the first quarter, according to a report released Thursday by RealtyTrac, on online marketer of foreclosed properties. That is a 24% jump over a year earlier and a 9% increase compared to the previous quarter.
The March and first quarter were the highest monthly and quarterly totals since RealtyTrac began reporting in January 2005.
"In the month of March we saw a record level of foreclosure activity - the number of households that received a foreclosure filing was more than 12% higher than the next highest month on record," said James J. Saccacio, chief executive officer of RealtyTrac, in a prepared statement.
Foreclosures have hit the economy hard. Housing prices have plummeted and some homeowners are severely underwater - meaning they owe more than their homes are worth. That can remove the incentive to keep up with mortgage payments.
Amid mass layoffs and pay cuts, soaring unemployment is a bigger reason for missed mortgage payments than high interest rates, according to a study from the Federal Reserve Bank of Boston.
Worst-hit states
Five states accounted for nearly 60% of the total foreclosure activity in the first quarter: In California, Florida, Arizona, Nevada and Illinois, 479,516 properties received foreclosure filings.
California alone, with 230,915 filings in the first quarter, accounted for nearly 29% of the total. The number of foreclosure filings in the state increased 35% from the fourth quarter and 36% from the year-ago period.
In March, California had 107,785 total filings - a jump of 33% from February and almost 67% from a year ago.
Florida's total filings in the first quarter fell 12% from the fourth quarter, but the state's 119,220 were still the second-highest in the country.
Monday, April 13, 2009
Latest Palm Beach Home Sales
Latest Palm Beach Home Sales
250 Pendleton - March 2009 - $3,000,000 at $599 per sq. ft. (Sold in Feb 2005 for $3,500,000)
209 Seaspray - March 2009 - $3,900,000 (Asking $4,750,000) Historic House ($780 per sq. ft.)
269 Pendleton - February 2009 - $3,550,000 Foreclosure - SALE at $617 per sq. ft.
402 Primavera - February 2009 - $2,000,000 - SALE at $333 per sq.ft.
250 Pendleton - March 2009 - $3,000,000 at $599 per sq. ft. (Sold in Feb 2005 for $3,500,000)
209 Seaspray - March 2009 - $3,900,000 (Asking $4,750,000) Historic House ($780 per sq. ft.)
269 Pendleton - February 2009 - $3,550,000 Foreclosure - SALE at $617 per sq. ft.
402 Primavera - February 2009 - $2,000,000 - SALE at $333 per sq.ft.
Monday, April 6, 2009
Madoff mansion faces decline in estimated value, from $9.4M to $7.45M
Madoff mansion faces decline in estimated value, from $9.4M to $7.45M
By MEGAN V. WINSLOW, Daily News
Sunday, April 05, 2009
Just like most everywhere else, 410 N. Lake Way is worth less this year than it was last year.
A property appraisal obtained by the U.S. Marshals Service last month revealed that Bernard Madoff's waterfront Palm Beach mansion is now valued at $7.45 million compared to $9.4 million last year, according to prosecutors' application for the warrant used to seize the home last week.
The decline in estimated value failed to surprise Roger Plevin, an agent with local Leibowitz Realty Group.
"That's not unusual for this market," Plevin said.
The Madoffs purchased 410 N. Lake Way, a five-bedroom, seven-bathroom home, for $3.8 million in March 1994 from owner Michael Burrows, who renovated it.
By MEGAN V. WINSLOW, Daily News
Sunday, April 05, 2009
Just like most everywhere else, 410 N. Lake Way is worth less this year than it was last year.
A property appraisal obtained by the U.S. Marshals Service last month revealed that Bernard Madoff's waterfront Palm Beach mansion is now valued at $7.45 million compared to $9.4 million last year, according to prosecutors' application for the warrant used to seize the home last week.
The decline in estimated value failed to surprise Roger Plevin, an agent with local Leibowitz Realty Group.
"That's not unusual for this market," Plevin said.
The Madoffs purchased 410 N. Lake Way, a five-bedroom, seven-bathroom home, for $3.8 million in March 1994 from owner Michael Burrows, who renovated it.
Sunday, April 5, 2009
Struggling Palm Beach - Trying to SURVIVE
Struggling Palm Beach retailers eye lower rents from landlords
By MEGAN V. WINSLOW, Daily News
April 04, 2009
Concerned the economic downturn could eat away more of Palm Beach's retail landscape, some small business owners are seeking to band together behind a unified front.
"We were a town built upon extravagance, so when the extravagance has to stop while the world regroups, we don't have a slow trickle-down. We are at a dead stop in this town," Clarfeld said.
"In times like this, we look at other communities and see what they're doing," he said.
"I don't think there's a miraculous solution for any of us," Mirroir said. "If the landlords would be a little lenient and prepared to work with people, that would be one of the best solutions."
"It's difficult right now," Torres said. "Some tenants are hanging in there. Some are making a go of it and some are not."
Some of the struggling tenants have requested concessions, and Torres' Tricony Via Corp. is working with them as much as it can, he said.
"It's difficult right now," Torres said. "Some tenants are hanging in there. Some are making a go of it and some are not."
Some of the struggling tenants have requested concessions, and Torres' Tricony Via Corp. is working with them as much as it can, he said.
"Anything that anyone can come up with I'm behind," she said. "I'm just looking for a solution to be able to survive."
By MEGAN V. WINSLOW, Daily News
April 04, 2009
Concerned the economic downturn could eat away more of Palm Beach's retail landscape, some small business owners are seeking to band together behind a unified front.
"We were a town built upon extravagance, so when the extravagance has to stop while the world regroups, we don't have a slow trickle-down. We are at a dead stop in this town," Clarfeld said.
"In times like this, we look at other communities and see what they're doing," he said.
"I don't think there's a miraculous solution for any of us," Mirroir said. "If the landlords would be a little lenient and prepared to work with people, that would be one of the best solutions."
"It's difficult right now," Torres said. "Some tenants are hanging in there. Some are making a go of it and some are not."
Some of the struggling tenants have requested concessions, and Torres' Tricony Via Corp. is working with them as much as it can, he said.
"It's difficult right now," Torres said. "Some tenants are hanging in there. Some are making a go of it and some are not."
Some of the struggling tenants have requested concessions, and Torres' Tricony Via Corp. is working with them as much as it can, he said.
"Anything that anyone can come up with I'm behind," she said. "I'm just looking for a solution to be able to survive."
REPOSSESSION BUSINESS heats up
Repo business heats up as the economy cools down
By Jim Stratton | Orlando Sentinel
April 5, 2009
Times are good for the repo man.
When the bubble bursts, the market sinks and the jobs vanish, he's there to pick up the pieces — and haul them away on a flatbed.
The evidence sits outside Ron Hulbert's office, where six motor homes are squeezed onto his lot. It's parked at Orlando Executive Airport, where a $6 million Gulfstream jet sulks after being repossessed from a development company that fell behind on its payments.
When the economy cools down, repo heats up.
By Jim Stratton | Orlando Sentinel
April 5, 2009
Times are good for the repo man.
When the bubble bursts, the market sinks and the jobs vanish, he's there to pick up the pieces — and haul them away on a flatbed.
The evidence sits outside Ron Hulbert's office, where six motor homes are squeezed onto his lot. It's parked at Orlando Executive Airport, where a $6 million Gulfstream jet sulks after being repossessed from a development company that fell behind on its payments.
When the economy cools down, repo heats up.
ROUGH SAILING - FLORIDA
Tough economy means big business for Fort Lauderdale boat repossession company
National Liquidators had orders to reel in 3,066 vessels in 2008,
the most in 21 years handling boat repossessions and auctions.
By Arlene Satchell | South Florida Sun-Sentinel
April 2, 2009
Rough sailing for South Florida boat dealers means big business for a Fort Lauderdale company that takes boats from cash-strapped owners.
National Liquidators had orders to reel in 3,066 vessels in 2008, the most in 21 years handling boat repossessions and auctions.
The company's highest profile catch came Wednesday when it hooked the jailed financier Bernard Madoff's 55-foot luxury fishing boat for federal authorities. National Maritime Services, its subsidiary that handles boat seizures for the government, impounded the custom-built 1969 Rybovich vessel valued at $2.2 million. It'll be sold at auction to help repay investors Madoff defrauded as part of his $65 billion Ponzi scheme.
"We repo four to five boats a day in South Florida," President Robert 'Bob' Toney said.
This year, about 380 boats on average are being repossessed monthly and that could jump to more than 400, he said.
National also operates recovery sites in California and Ohio and is considered the nation's largest boat recovery and auction company.
While repo boats are selling, which is a bright spot for the marine industry, some worry about negative effects.
"We might be bringing some new people into boating, but in the long term it's [repo sales] not helping the local marine economy that much," said Frank Herhold, executive director of the Marine Industries Association of South Florida in Fort Lauderdale. "It's not a story with a happy ending."
National Liquidators had orders to reel in 3,066 vessels in 2008,
the most in 21 years handling boat repossessions and auctions.
By Arlene Satchell | South Florida Sun-Sentinel
April 2, 2009
Rough sailing for South Florida boat dealers means big business for a Fort Lauderdale company that takes boats from cash-strapped owners.
National Liquidators had orders to reel in 3,066 vessels in 2008, the most in 21 years handling boat repossessions and auctions.
The company's highest profile catch came Wednesday when it hooked the jailed financier Bernard Madoff's 55-foot luxury fishing boat for federal authorities. National Maritime Services, its subsidiary that handles boat seizures for the government, impounded the custom-built 1969 Rybovich vessel valued at $2.2 million. It'll be sold at auction to help repay investors Madoff defrauded as part of his $65 billion Ponzi scheme.
"We repo four to five boats a day in South Florida," President Robert 'Bob' Toney said.
This year, about 380 boats on average are being repossessed monthly and that could jump to more than 400, he said.
National also operates recovery sites in California and Ohio and is considered the nation's largest boat recovery and auction company.
While repo boats are selling, which is a bright spot for the marine industry, some worry about negative effects.
"We might be bringing some new people into boating, but in the long term it's [repo sales] not helping the local marine economy that much," said Frank Herhold, executive director of the Marine Industries Association of South Florida in Fort Lauderdale. "It's not a story with a happy ending."
Falling Prices Draw First-Time Home Buyers
Falling Prices Draw First-Time Home Buyers
NY Times, April 3, 2009
Figures released last week by the National Association of Realtors show that sales of existing homes across the country rose 5.1 percent in February, with much of the increase concentrated in foreclosed homes bought for less than $300,000. Even with tighter borrowing restrictions, many families used to renting are discovering that they can afford to own.
“They are the most active participants right now because they don’t have the burden of having to sell their old homes,” said James Diffley, a managing director at IHS Global Insight, a research firm. “You have a bunch of young people who were forced to sit on the sidelines because houses were so darn expensive, and now they’re starting to come in.”
Real estate agents in Arizona, Florida, Nevada and other states hit hard by the bust say they began to notice rising interest among first-time buyers a few months ago, as prices dropped by more than a third.
Ms. Goldman - Asked if she felt vindicated — rewarded for saving when so many others spent — she said no. “It’s sad that for me to buy a house, the economy had to be like it is,” she said.
Sitting on her couch, overlooking the pool, Ms. Goldman said she feared that the drop in prices would draw back the same investors who created the housing bubble in the first place. Real estate agents said this was already happening, even as the wave of foreclosures and evicted families would most likely continue.
“It’s not worth it in the end,” Ms. Goldman said, adding, “It’s unfortunate that I have to build my happiness on top of tears.”
NY Times, April 3, 2009
Figures released last week by the National Association of Realtors show that sales of existing homes across the country rose 5.1 percent in February, with much of the increase concentrated in foreclosed homes bought for less than $300,000. Even with tighter borrowing restrictions, many families used to renting are discovering that they can afford to own.
“They are the most active participants right now because they don’t have the burden of having to sell their old homes,” said James Diffley, a managing director at IHS Global Insight, a research firm. “You have a bunch of young people who were forced to sit on the sidelines because houses were so darn expensive, and now they’re starting to come in.”
Real estate agents in Arizona, Florida, Nevada and other states hit hard by the bust say they began to notice rising interest among first-time buyers a few months ago, as prices dropped by more than a third.
Ms. Goldman - Asked if she felt vindicated — rewarded for saving when so many others spent — she said no. “It’s sad that for me to buy a house, the economy had to be like it is,” she said.
Sitting on her couch, overlooking the pool, Ms. Goldman said she feared that the drop in prices would draw back the same investors who created the housing bubble in the first place. Real estate agents said this was already happening, even as the wave of foreclosures and evicted families would most likely continue.
“It’s not worth it in the end,” Ms. Goldman said, adding, “It’s unfortunate that I have to build my happiness on top of tears.”
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