As Featured in Forbes, Contributed by Peter Lane Taylor.
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Contrary to various public misconceptions, Mar-a-Lago—the exclusive Atlantic oceanfront resort that frequently served as former President Donald Trump’s “Winter White House”—didn’t make Palm Beach, Florida’s lavish real estate and lifestyle famous for the first time around.
The Sunshine State’s “Playground for the Wealthy” long has been uber-posh, dating back to the late 1880s when oil tycoon Henry Flagler first built The Breakers and The Royal Poinciana Hotel which eventually became the centerpieces of his luxury, southern hospitality empire catering to northern old money and spawning the now infamous “Billionaire’s Row”.
So it shouldn’t come as a surprise either that even after Trump’s 2020 Oval Office departure, Palm Beach’s luxury real estate market isn’t showing any signs of decelerating even if Air Force One isn’t landing in town anymore.
Writ large, part of the froth is because South Florida in general has been on a bull market run since even before the pandemic.
Low taxes, warm weather, business friendly regulations, and burgeoning innovation ecosystems were already luring finance firms, tech start-ups, and executives to Miami, Fort Lauderdale, Palm Beach, Tampa, and Orlando before 2020 as fast as California and New York could shed them. COVID-19 just widened the highways and threw away the speed limits.
The compounding in-migration over past few years, however, has resulted in one of the most unsubtle real estate ironies here in decades: after years of booms, busts, and frequently tumbling prices, South Florida now has a big-time housing and inflation crisis that few people were anticipating.
At the highest ends in places like Palm Beach—a.k.a. “Wall Street South”—where billionaires, CEOs, sports stars, and celebrities like Tiger Woods, Sylvester Stallone, Michael Jordan, Bill Gates, Larry Ellison, Steve Wynn, Jon Bon Jovi, and Ken Griffin have been digging in for years, the supply crunch is even more acute.
Since the beginning of the pandemic, Palm Beach County’s luxury, single-family homes sales—including Palm Beach, Palm Beach Gardens, West Palm Beach, and Palm Beach Islands—have increased by 53.5% year-over-year while the average time on market has plummeted to 58 days in the first quarter of 2022, a 57.2% year-over-year drop. In North Palm Beach and Palm Beach Gardens specifically, where only 89 active single-family listings are currently active, home sales are up 68% year-over-year with total volume jumping from $678 million to $1.34 billion.
Similarly eye-popping, the numbers for Palm Beach County’s mid- and high-rise condo sub-market aren’t far behind: average days on market decreased by 41% in 2021 over the same period in 2020, while first quarter 2022 luxury condo closings are up 54% from 2020.
Developers and real estate investors are rightly trying to keep up.
Related Group recently announced plans to bring a new Ritz-Carlton Residences high rise to West Palm Beach, while South Flagler House, a $400 million luxury condominium, is on track to become one of the most expensive residential developments in the U.S.
Meanwhile, multi-million dollar condo projects that have been under construction for years are well-timed to start absorbing buyers starting in the next few months, like Amrit Ocean Resort & Residences, SeaGlass, Nautilus 220, Icon, La Clara, Forte, and Alba.
Notwithstanding all of this new inventory, however, a lot of the long-term drivers behind Palm Beach’s supply crisis aren’t easily tractable—which other similarly tight and tony zip codes in Silicon Valley, Long Island, and Los Angeles could learn from. Many of the buildings about open up were sold out months ago or pre-sold pre-pandemic so they’re not even putting a dent in existing or future demand.
Land is also scarce, sprawling, multi-generational estates are common, and most residents who have lived here for years whether full or part-time roundly agree that if you already own one of the few waterfront properties available why not hold onto it, especially when price appreciation is outpacing the bull stock market?
Each of these factors individually is an incentive for developers to build. But for locals collectively, they’re a glaring red light not to sell, particularly when it comes to single-family homes and estates. There’s also no small bit of NIMBYism (“Not In My Back Yard”) invisibly at work here when it comes to the prospect of denser, more overtly visible developments.
All of which means that every new Palm Beach luxury real estate project which adds new inventory while simultaneously satisfying the increasing demand for larger floor plans, hotel-style amenities, and waterfront views at scale is great for prospective buyers and companies looking to relocate here—and even better for the developers building them.
This fundamental shift—from South Florida’s historically dense condo model to full-floor, all-glass, single-family, high-tech, high- and mid-rise “residences”—a.k.a. “homes in the sky”—is no small turning point. Developers will need to change their design, technology, and financing paradigms. Buyers will need to be patient.
What is clear to anyone paying attention, however, is that these trends for more space, more resort-level, work-from-home luxuries, better, high-touch service, deeper experiences, and longer horizon investing on the part of buyers are here to stay.
Given this context, the announcement by long-time Palm Beach-based developer Catalfumo Companies that it’s just launched the Landing at PGA Waterway is huge news for one of America’s most inventory starved cities.
“Palm Beach Gardens has become the ultimate, luxury real estate enclave in South Florida,” says founder Dan Catalfumo. “It’s now attracting even more refined and notable individuals relocating to the area. And from this came the inspiration for Landing at just the right time.”
The Landing will offer 98 flow-through three, four, and five-bedroom residences ranging from 3,100 to 5,000 square feet spread out over three, 6-story buildings on the last remaining 11 contiguous acres of open land in Palm Beach Gardens directly on the Intracoastal Waterway with yacht access to Lake Worth, Palm Beach Inlet, and Jupiter Inlet.
The development will also include a private, 26-slip marina for power and sailboats up to 75′, 100-foot infinity-edge swimming pool, resort-style cabanas, a clubhouse, spa, guesthouse suites, high-tech in-unit features and finishes, and an on-site concierge.
If anything about the Landing at PGA Waterway sounds over-amenitized given Palm Beach’s supply crunch, it’s not.
“This is what today’s market and buyer demands,” says Kevin Spina, Sales Director of The Spina Team of Landing’s luxury “sky villa” approach to merging single-family home space and design with the amenities and service of a 5-star resort.
“Palm Beach County is now a flourishing hub as major companies are migrating to the ‘Wall Street of the South’. We are excited to bring Landing at PGA Waterway to this thriving market and anticipate that it will transform the way we understand and experience luxury waterfront living.”
Residences at Landing at PGA Waterway start at $3.9M with pre-sales to commence June 1st. The project is slated to break ground in the third quarter of 2022.
Set high above the Intracoastal Waterway in one of South Florida’s most sought-after destinations, Landing at PGA Waterway is the newest and most enviable homeport on the waterfront of Palm Beach Gardens. This newly unveiled condominium community will soon offer a rare collection of spacious private residences. Led by visionary Palm Beach Gardens developer Dan Catalfumo, a collaboration of world-renowned architectural, design, and lifestyle teams look forward to creating a landmark address where resident privacy is at the heart of the community’s elevated design and extraordinary lifestyle.
A Track Record of Quality and Success
Founded in 1978, Catalfumo Companies is one of the largest family-owned and operated development firms in South Florida. The firm is widely recognized for its solid reputation of delivering intuitive design, meticulous attention to detail, and time-tested quality. Catalfumo’s portfolio of landmark and iconic projects in the region includes The Ritz-Carlton Residences on Singer Island, Addison Reserve Country Club in Delray Beach, the Ritz Carlton Country Club in Jupiter, and the five buildings within Marriott’s Ocean Pointe.
Founder and owner Dan Catalfumo is delighted to add Landing at PGA Waterway to the company’s distinguished roster of successful communities. “With such a unique setting and the last remaining waterfront parcel on PGA Boulevard, Landing at PGA Waterway will be a private residential sanctuary unmatched in the area,” said Catalfumo. “The Palm Beach area is a global destination for luxury, and we look forward to delivering an elevated marina-front lifestyle in Palm Beach Gardens.”
Interior Finishes Exceed Expectations
With just 98 residences available, Landing at PGA Waterway has been designed with an unwavering standard of luxury that is unmatched in South Florida. This highly anticipated marina-front community is breaking new ground at every turn. Three mid-rise buildings will overlook the Intracoastal Waterway at PGA Boulevard. Ultra-luxe three-, four-, and five-bedroom floorplans range approximately from 3,100 to over 5,000 sq. ft. Each spacious residence is designed for optimum enjoyment and entertainment, with soaring floor-to-ceiling windows and private terraces providing elevated and unobstructed views of the picturesque Intracoastal Waterway.
Palm Beach Gardens is known for its pristine waterways and stunning natural beauty. Catalfumo explains, “We are heavily incorporating the allure of the marina-front lifestyle into the building’s design. Every element integrated into the design of the community and individual residences has been purposefully selected to exacting standards. We’re offering the highest quality, flawless execution and top-of-the-line finishes throughout.”
Privacy and Convenience at Its Finest
Catalfumo also plans to incorporate an unparalleled roster of resort-style amenities for exclusive use by residents of Landing at PGA Waterway. The marina-front residences offer a limited number of boat slips for lease, accommodating vessels up to 75 feet in length. An extraordinary multi-level Clubhouse includes a Resident club room, a state-of-the-art fitness center, and a convenient business center. The tropical infinity-edge swimming pool will be surrounded by an inviting sun deck, pool front cabanas, and a yoga mediation lawn – all overlooking the Intracoastal Waterway. Enjoy the waterfront private park and pavilion, a private dog park, and gathering areas for outdoor grilling or entertainment. A 24-hour manned gated arrival entry and private access-controlled elevators into each residence ensures the ultimate peace of mind. Each resident will also enjoy individual secured climate-controlled storage and two dedicated underground parking spaces with an electric car charging station.
“Our distinguished residents deserve a life of pampered luxury,” says Catalfumo. “Landing at PGA Waterway will enhance and elevate every aspect of daily life with entertaining surroundings and anticipatory services.”
Have It All in the Center of It All
When it’s time to explore outside the gates of Landing at PGA Waterway, the community’s idyllic location places future residents in the center of all the activity, both on land and at sea. The thriving coastal community of Palm Beach Gardens is the “Golf Capital of the World,” where avid golfers have the choice of top-rated private clubs and courses designed by the world’s best architects. Fashionistas and foodies enjoy endless boutique shopping and fine dining, with world-class restaurants and designer shoppes at every turn. The avid boater will enjoy boating as a way of life in the Palm Beaches, with exceptional inshore dining, casual cruises, or heading offshore for the best sportfishing and diving in the country.
Residences at Landing at PGA Waterway start at $3.9M with pre-sales to commence June 1st. The project is slated to break ground in the third quarter of 2022. Join the VIP list to stay updated and be included as information is released. Visit LandingPGAWaterway.com or call 561-403-1011 to learn more.