TRENDS 2011

TRENDS

2011 YEAR INREVIEW

2 0 1 1 Y E A R I N R E V I E W

Absorption summarizes 2011 in one word. The inventory of available residential properties for sale dropped by one third, moving the market from a balanced inventory to a shortage. Miami specifically has been on every Top Ten Recovery list published this year and typically leads in the number one position. Prices have increased in almost every market segment. REO inventory was below 1,200 properties by the end of the year, which is equal to the amount of those properties sold in a month. Virtually every measurable indicator signals a strong real estate recovery in spite of the lack of real economic recovery, which points to the fact that the market continues to be bolstered by foreign investment.

Prices are definitely on the rise. Some micro markets have seen as much as a 40% increase in pricing from the same time in 2010. Overall, the average price per square foot is up about 14% in Miami-Dade and 3% in Broward. Although the prices are up from 2010, prices have recovered to 2004 level pricing, still significantly lower than the high prices of 2007. There are still good values in many areas.

The luxury market continues to improve. The number of sales of properties over $1 Million in 2011 is higher than in 2007 and just below 2006, when these properties were trading at an all-time high. The super luxury market continues to evolve with four closed sales over $20 million in 2011.

Looking forward, the real issue is not shadow inventory but more maintaining a cautious eye towards irrational exuberance. Absorption will continue and pricing in some areas will continue to rise as the inventory dwindles. Things are certainly better, but real economic recovery lags behind the real estate recovery.

Al ArosteguiONE Sotheby’s International Realty305 962 [email protected]

CORAL GABLESSantona Corner

1430 S Dixie Highway, Suite 110Coral Gables, Florida 33146

MIAMI BEACHSouth of Fifth

119 Washington Avenue, Suite 102Miami Beach, Florida 33139

MIAMI BEACHOcean Drive

1451 Ocean Drive, Suite 104Miami Beach, Florida 33139

KEY BISCAYNEThe Galleria Mall

328 Crandon Boulevard, Suite 222Key Biscayne, Florida 33149

AVENTURANorthern Trust Building

18901 NE 29 Avenue, Suite 101Aventura, Florida 33180

FORT LAUDERDALELas Olas

888 E Las Olas Boulevard, Suite 110Fort Lauderdale, Florida 33301

Y E A R I N R E V I E W 2 0 1 1

Key ObservationsIt seems that the epicenter of the South Florida real estate recovery was Miami Beach, where prices of sold properties in the $1 million plus category ended up 2011 at just over $1,000 a square foot. As prices recovered, other areas began to go through the same cycle. By the end of 2011, all waterfront areas were experiencing increased sales activity and inventory was down significantly with prices starting to move upwards.

0 4 I T R E N D S O N E S O T H E B Y S R E A LT Y. C O M

200BUSINESS FRIENDLY The number of new retail and restaurant establishments added to the Brickell and Downtown Miami area in the last 5 years.

Source: Southeast Florida Regional MLS

62%

SOCIALLY SIGNIFICANTFacebook is currently the single largest publisher of all US display ad impressions, delivering 28% of all display ad impressions - more than Yahoo, Google and AOL combined.Source: The Social Marketer

“Foreign buyers with strong currencies complemented by a scattering of wealthy domestic purchasersacquired more $1 Million+ condos in 2011 than in the last year of the South Florida real estate boom in 2006. The luxury condo revival is Miami-Dade County is not occuring at the same pace in Broward County, where foreign buyers play a somewhat more limited role in transactions.”

THE MIAMI HERALD, January 2012

23LOOKING UP That’s the total number of new construction projects currently planned in Miami-Dade and Broward counties.Source: Condo Vultures, LLC

SIGNIFICANT SALESONE Sotheby’s International Realty sold this Miami Beach penthouse for $21.5 Million in December 2011, making it the highest selling condo ever sold south of New York City.Source: Southeast Florida Regional MLS

SUPER LUXURY In 2011, there were four sales over $20 Million. ONE Sotheby’s International Realty participated in three out of four of these sales. Source: Southeast Florida Regional MLS

REALTOR CONFIDENCE The number of U.S Realtors that believe home prices will increase over the next twelve months. Consider it the real estate equivalent to the consumer confidence index. Source: NAR Research

T R E N D S I 0 5O N E S O T H E B Y S R E A LT Y. C O M

Y E A R I N R E V I E W 2 0 1 1

At a Glance: 2011The sale of $1 Millon dollar homes in Miami-Dade and Broward counties represented 3.2% of the total sales in 2011, up from 2.8% in 2010. Homes over $1 Million were purchased with cash, as opposed to financed, 50% of the time in both 2010 and 2011. For those homes sold under $1 Million, cash sales made up 37% in 2010 and 41% in 2011. Financing continued to have record low rates, yet remained a challenge for many home buyers.

NUMBER OF HOMES

PRIC

E RA

NG

E

0

$10M+

$5M - $10M

$3M - $5M

$1M - $3M

$500K - $1M

500 1000 1500 2000

Under $1 MillionOver $1 Million

Sold 2011On The Market

0 6 I T R E N D S

Source: Southeast Florida Regional MLS.Source: Southeast Florida Regional MLS.

O N E S O T H E B Y S R E A LT Y. C O M

Month by MonthMarch continued to be the highest sale month in both Broward and Miami-Dade County. Together both counties had total homes sold of 5,680 in March, the highest month, compared to 4,081 in November.

SHADOW INVENTORY Short sale and REO properties currently make up only 2.3% of all homes on the market in South Florida for $1M+ homes and condos. This is down slightly from 2.9% at mid year 2011. There are 7 bank owned condos and homes in Miami and Dade, similar to the 6 properties on the market in the middle of 2011.

Source: Southeast Florida Regional MLS.

MARKET SHIFTThe number of months of inventory were extremely low compared to prior years in both Broward and Dade coun-ties. Six to nine months are considered a stable market. Broward enjoyed most months in the 5-6 month range most of 2011. Currently, Broward has a 6.8 month inventory, compared to 8.4 months this time last year. Miami-Dade enjoyed a 6-7 month inventory most of the year, with a current inventory of 8.6 months compared to 10.2 months this time last year. Both counties crested with a 3-4 year supply in 2008.Source: Trendgraphix

T R E N D S I 0 7

Source: Trendgraphix

Average Sales PriceAverage sales prices remained almost the same in Broward and Miami-Dade counties compared to the past two years. The high in Broward in 2011 was $199,000, compared to $197,000 in the previous two years. The high in Miami-Dade peaked at just over $300,000 in July, compared to just under $300,000 for the previous two years.


6.8

Traditional SalesShort SalesBank-Owned Properties

Y E A R I N R E V I E W 2 0 1 1

0Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

1500

3000

4500

6000

MONTH

NUM

BER

OF

HO

MES

SO

LD

Miami-Dade County Broward County

$0Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

$100K

$200K

$300K

MONTH

PRIC

E

Miami-Dade County Broward County

Source: Southeast Florida Regional MLS

CORAL GABLES COCOPLUM SNAPPER CREEK LAKES GABLES ESTATES

OLD CUTLER WATERFRONT PONCE DAVIS, HIGH PINES COCONUT GROVEPINECREST PALMETTO BAY

South of Miami

4845 Southwest 80 Street, Coral GablesOffered at $3,995,000


2010 56 $2,864,871 $2,562,500 11%2011 57 $2,412,753 $1,825,000 4%

Change 2% -16% -29%

Condos($1M+)

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

Waterfront Properties

SingleFamily Homes

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

C O M M U N I T Y P R O F I L E SI N D E P T H

T R E N D S I 0 9

OVERVIEW

Coral GablesAll indications of a changing market were positive. Transactions, average and median sale price all had double digit increases. Of all sales in Coral Gables, 25% were $1,000,000 or higher, up from 15% in 2010.

OVERVIEW

Coral GablesCoral Gables waterfront homes are one of

the few categories of properties that did not show positive movement in 2011. Number of

transactions were flat while other indicators slipped. The number of foreclosures did

decrease considerably, from 11% in 2010 to 4% in 2011. Along with Coral Gables waterfront single family homes, waterfront condos over

$1,000,000 also experienced downward trends in every indicator including average and median sales prices. 2011 saw no sales over $2,000,000

while 2010 had three.

130 Casuarina Concourse, Coral GablesOffered at $8,495,000

1415 Sevilla Avenue, Coral GablesOffered at $3,875,000

2010 352 $684,131 $512,500 11%2011 419 $793,791 $579,500 8%

Change 19% 16% 13%

Non-Waterfront Properties

SingleFamily Homes

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 10 $2,296,000 $1,255,000 -2011 9 $1,218,922 $1,192,800 -

Change -10% -47% -5%

O N E S O T H E B Y S R E A LT Y. C O MO N E S O T H E B Y S R E A LT Y. C O M

I N D E P T H C O M M U N I T Y P R O F I L E S I N D E P T H C O M M U N I T Y P R O F I L E S

1 0 I T R E N D S

CORAL GABLES

CocoplumWaterfront homes in Cocoplum had positive

movement in all indicators other than foreclosures (one in 2011, compared to 0 in 2010) Number of transactions and average

sale price was up over 20% year to year. The highest sold home in 2010 was $3,800,000

compared to $7,500,000 (nearly double) in 2011. Non-waterfront homes in Cocoplum also

saw favorable upward trends, with number of solds increasing by 28%.

Waterfront Properties# of

TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

Single Family Homes

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

Single Family Homes

2010 6 $2,194,750 $1,667,500 -2011 6 $2,807,708 $1,950,000 -

Change - 28% 17%


2010 3 2,730,000 2,610,000 -2011 2 $5,175,000 $5,175,000 -

Change -33% 90%% 98%

Although sales activity decreased slightly in 2011 compared to 2010, the average sales price and median sales price in Snapper Creek Lakes nearly doubled. At the time of publication there were several pending sales in Snapper Creek Lakes, suggesting 2012 will demonstrate increases in the number of sales.

CORAL GABLES

Snapper Creek Lakes


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

Single Family Homes

Single Family Homes


2010 8 $3,146,250 $3,022,500 -2011 10 $3,858,500 $3,500,000 10%

Change 25% 23% 16%

2010 21 $2,507,202 $2,550,000 -2011 27 $2,603,148 $2,230,000 7 %

Change 28% 4% -12%104 Paloma Drive, Cocoplum

Offered at $4,250,000

T R E N D S I 1 1O N E S O T H E B Y S R E A LT Y. C O MO N E S O T H E B Y S R E A LT Y. C O M


# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

Single Family Homes

2010 3 $5,901,000 $4,150,000 33%2011 3 $5,243,000 $5,150,000 -

Change -11% 24%

All Properties

CORAL GABLES

Gables EstatesAlthough sales activity was the same in 2011 as

in 2010, the average sales price dropped by 11% this year. Median sales price and sales activity is on the rise in Gables Estates. Just as is cited

in other Old Cutler waterfront communities, Gables Estates seemed to rally with several

pending sales in December and January.

197 Leucadendra Drive, Gables EstatesOffered at $5,390,000

Ponce Davis, High PinesPonce Davis and High Pines experienced an 8% increase in transactions in 2011 compared to 2010. The median sales price declined by

20% as the amount of REO activity increased slightly. The Ponce Davis area still yields some

of the highest non-waterfront prices.# of

TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

Single Family Homes

2010 36 $1,243,000 $1,125,000 3%2011 39 $1,286,000 $925,000 5%

Change 8% 3% -18%


7650 Southwest 52 Avenue, Ponce DavisOffered at $2,350,000

CORAL GABLES

Old Cutler Waterfront CommunitiesOld Cutler Bay, Hammock Oaks, Journey’s End

Sales activity experienced a slight decline in 2011 compared to 2010. Although there were no REO transactions, both average and median sales price declined.

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

Single Family Homes

2010 9 $3,135,000 $3,097,000 -2011 8 $2,755,000 $2,140,000 -

Change -11% -12% -31%


601 Reinante Avenue, Old Cutler BayPending Sale

1 2 I T R E N D S O N E S O T H E B Y S R E A LT Y. C O M

I N D E P T H C O M M U N I T Y P R O F I L E S

Coconut GroveThe amount of Coconut Grove waterfront

home and condo sales was relatively the same in 2011 versus 2010, however, average sales

price and median sales price declined in both of these sectors. Coconut Grove continues to be a sought after location and the waterfront

homes represent a value purchase when compared to other waterfront locations.

Non-Waterfront Properties# of

TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

Single Family Homes

2010 156 $613,357 $506,750 18%2011 202 $622,320 $510,000 19%

Change 29% 1% 1%

Condos($500K+)

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 24 $761,479 $626,250 -2011 18 $720,306 $542,500 5%

Change -25% -5% -13%


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

Single Family Homes

2010 7 $5,496,000 $5,500,000 -2011 7 $4,427,000 $3,440,000 -

Change -19% -37%

Condos

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 85 $746,054 $602,500 5%2011 88 $706,765 $552,500 5%

Change 4% -5% -8%

Coconut GroveIn a very active segment of the market, the number of transactions for Coconut Grove non-waterfront homes increased by almost 30% in 2011 compared to 2010. Values remained mostly the same with a slight increase in average and median sales prices. Sales of non-waterfront condos in the area decreased by 25%. Average and median sales prices continued to decline as REO sales remained a portion of sales activity in this category.

2627 S Bayshore Drive #2503, Coconut GroveOffered at $1,999,000

1617 S Bayshore Drive, Coconut GroveOffered at $1,450,000



North Pinecrest# of

TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

Single Family Homes

2010 51 $1,473,000 $1,300,000 6%2011 38 $1,378,000 $1,175,000 3%

Change -25% -6% -10%

South Pinecrest# of

TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

Single Family Homes

2010 131 $870,407 $650,000 8%2011 148 $814,055 $630,750 8%

Change 13% -6% -3%




TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

Single Family Homes

2010 220 $394,669 $367,450 21%2011 264 $397,345 $385,000 17%

Change 20% 1% 5%

11840 Southwest 69 Court, PinecrestOffered at $1,295,000

16710 Southwest 82 Avenue, Palmetto BayOffered at $699,000

Palmetto BayPalmetto Bay continues to work through REO inventory, which is keeping the prices relatively low. Sales activity increased by 20% in 2011 compared to 2010. Values remained mostly the same with a slight increase in average and median sales prices as REO transactions declined.

PinecrestIt would appear that the buying activity moved south in Pinecrest when North Pinecrest sales

activity dropped by 25%, with average and median sales prices continuing to decline in this category. South Pinecrest outperformed North

Pinecrest in amount of sales. South Pinecrest sales activity in 2011 increased 13% compared

to 2010, however, average and median sales price declined.

1 4 I T R E N D S

BRICKELL DOWNTOWN KEY BISCAYNE

Miami, Downtown







Condos

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 74 $218,611 $165,000 20%2011 105 $224,665 $161,000 16%

Change 42% 3% -2%

Condos

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 181 $387,352 $280,000 13%2011 244 $405,852 $310,000 11%

Change 35% 5% 11%

DowntownDowntown experienced an overall increase in sales of 37% as it continues to work through the distressed inventory. Investors continue to drive the market and what is interesting to see is that rental rates are up 25%, which proves it is a good investment with positive cash flow. With the addition of the improvements at Bicentennial Park with the Miami Art Museum and Miami Science Museum along with the planned Resorts World Miami and the established Adrienne Arsht Center, Downtown is solidifying itself as a world-class destination.

Condos

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 244 $189,268 $165,000 37%2011 335 $236,779 $215,000 29%

Change 37% 25% 30%

Condos

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 624 $410,561 $250,000 21%2011 709 $441,713 $275,000 17%

Change 14% 8% 10%

BrickellAccording to the National Association of

Realtors, Miami is the #1 turn around market in the nation. Brickell is the place to be with

sales up 20% and average sales prices up 8%. The increase in pricing comes from a

reduction in available inventory and in REO properties as investors continue to absorb

the remaining distressed properties. In 2011 the total REO sales were down 4% as the market continues to correct. Since we still have a few condominiums that are Fannie Mae approved, professionals continue to

lease with an increase of 16% more rentals over the past year. This year we see condo

sales continue to exceed new inventory coming to market. As the supply and

demand trends continue, the market moves into the Seller’s zone, and we are likely to see continued upward pressure on pricing. That’s

what developers are banking on today as three new projects are set to break ground in

the Brickell area this year.

495 Brickell Avenue #5409, MiamiOffered at $524,900

1717 N Bayshore Drive #4254-5, Miami$2,495,000



# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

Key BiscayneStill a favorite for extraordinary living, Key

Biscayne waterfront single family homes have performed the best in 2011, with a

healthy 19% increase in average sales price and a 7% increase in median sales price. A

look at prices on a per square foot basis reveals more staggering results, since the

average price per square foot is at $1,662 - a 35% increase from 2010.Waterfront Properties

SingleFamily Homes

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 8 $5,774,313 $6,091,250 -2011 9 $6,895,556 $6,500,000 -

Change 13% 19% 7%


Condos2010 144 $1,026,916 $697,500 3%2011 165 $1,076,761 $730,000 4%

Change 15% 5% 5%

Key BiscayneKey Biscayne oceanfront stays very steady and continues to be a sure value. While the total number of transactions has increased, the average and median sales prices have shown less than a 5% variation in 2011 compared to 2010, and the average and median sales prices per square foot have increased by 7%. It is interesting to note that the higher end market is performing best: the closing at the highest price per square foot was at $1,527 in 2011 - 32% higher than the preceding year.

1 6 I T R E N D S

330 Harbor Drive, Key BiscayneOffered at $9,950,000

781 Crandon Boulevard PH-1, Key BiscayneOffered at $4,490,000





# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

Key BiscayneThe second half of 2011 has seen the last of

the “bargains” for non waterfront Key Biscayne Single Family Homes: the trend is back to

positive with 11% in average sales price and 13% in median sales price with an average sales

price per square foot at $564. Properties on the market at the beginning of 2012 are offered at $100 more per square foot than the 2010

average closing price per square foot, ranging from $1,099,000 to $6,995,000. Inventory

during the first two weeks of 2012 represented less than 10 months compared to 2011

transactions: prices will go further up in 2012.


Condos2010 54 $329,074 $309,000 19%2011 61 $260,603 $215,000 30%

Change 13% -21% -30%

SingleFamily Homes

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 58 $1,399,955 $1,143,500 2%2011 57 $1,556,011 $1,300,000 2%

Change -2% 11% 14%


Key BiscayneThe least healthy of the Key Biscayne products, non waterfront condos continue to be plagued by foreclosures, which represent almost 30% of the total transactions in 2011. This is the only category showing a decrease versus 2010. On the bright side, it is worthwhile to note that more than half of REO sales occurred in a single building. With one bank owned unit on the market at the beginning of 2012 and a shrinking total inventory, 2012 is predicted to be trending upwards.

799 Crandon Boulevard #802, Key BiscayneOffered at $3,850,000

561 S Mashta Drive, Key BiscayneOffered at $3,200,000

1 8 I T R E N D S

Miami BeachSOUTH BEACH MID BEACH NORTH BEACH SOUTH OF FIFTHFISHER ISLAND PALM, STAR, & HIBISCUS ISLANDS SUNSET ISLANDSVENETIAN & LA GORCE ISLANDS NORTH BAY ROAD & PINETREE DRIVE

South Pointe Park



Condos

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales


SingleFamily Homes

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 723 $164,563 $125,000 32%2011 1,000 $186,705 $130,000 30%

Change 38% 13% 4%

2010 134 $748,433 $575,000 12%2011 166 $783,807 $650,000 12%

Change 24% 5% 13%


Condos

SingleFamily Homes

MedianSales Price

AverageSales Price

# of Transactions

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

% of REO Sales

2010 1,604 $492,051 $249,000 21%

2011 2,044 $516,538 $260,000 18%Change 27% 5% 4%

2010 72 $2,681,107 $1,625,000 15%

2011 102 $3,218,954 $1,912,503 8%Change 42% 20% 18%

OVERVIEW

Miami BeachNon-waterfront condos continue to be popular and good values. The brunt of both short sale and REO transactions take place in this sector. A 38% increase in the number of transactions demonstrates the highest increase in sales volume in all of the sectors of the Miami Beach condo market. This is an interesting number, as only 1/3 of the number of transactions took place here. Non-waterfront homes in Miami Beach saw positive movement in all indicators other that foreclosures, which remained flat at 12%. Number of transactions increased by 24% while average and median sale price rose as well. The highest sale in 2011 was approximately 25% higher in 2011 than in 2010.

OVERVIEW

Miami Beach2011 proved to be yet another banner year for

the Miami Beach waterfront condo market. Weekend and vacation retreats remain in demand with international and domestic

buyers. Our inventories continue to evaporate while demand remained constant, having a favorable effect on overall price per square

foot. Waterfront homes in Miami Beach were on fire in 2011. The number of transactions was up 42% and both average and median sale prices hovered around 20% increases.

Star Island saw a cash sale of $25,500,000 in 2011, one of only four plus $20,000,000 sales

in 2011.

1000 S Pointe Drive TH-M4, Miami BeachOffered at $5,250,000

2334 Alton Road, Miami BeachOffered at $2,150,000

2 0 I T R E N D S O N E S O T H E B Y S R E A LT Y. C O MO N E S O T H E B Y S R E A LT Y. C O M


# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 420 $481,240 $280,000 12%2011 568 $395,510 $260,000 16%

Change 35% -18% -7%


Condos

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 468 $219,412 $137,000 37%2011 615 $252,817 $170,000 27%

Change 31% 15% 24%


Condos

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 716 $680,974 $336,000 16%2011 861 $784,753 $375,000 13%

Change 20% 15% 12%


Condos

MIAMI BEACH

Mid BeachMid-Beach is the only section of Miami Beach where the lion’s-share of condos

are waterfront. The inventory continues to evaporate. This is the only sector where we have seen a decrease in average sale price and price per square foot, and an increase

in the distressed inventory.

MIAMI BEACH

South BeachOwning a waterfront condo on South Beach remains en vogue. Properties priced reasonably sell quickly. The number of options today’s buyer has can be as high as 60% less than those of a year ago - dependent on the building a buyer is considering. Again, we see a shrinking trend in distressed property sales.

MIAMI BEACH

North BeachConsidering this was the most stagnant of all the sectors just two years back - NoBe has come back with a vengeance. The developer inventory at Canyon Ranch continues to sell at a pace quicker than expected, and should dry up in 2012. It is worth noting that the most anticipated hotel opening for 2012 occurred when The St. Regis - Bal Harbour Resort & Residences opened her doors in mid-January, just a few short blocks north of NoBe.

3737 Collins Avenue S-1402, Miami BeachOffered at $3,499,000

The Residences at W South BeachFrom $660,000 to $6,500,000

6365 Collins Avenue Ts-11, Miami BeachOffered at $1,049,000


Staged by TUI Lifestyle



# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 35 $1,703,329 $1,800,000 -2011 44 $2,623,898 $1,999,500 7%

Change 26% 54% 11%

All Properties

Condos

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 178 $1,318,240 $981,250 8%2011 242 $1,430,640 $906,250 6%

Change 36% 9% -8%


Condos

MIAMI BEACH

Fisher IslandFisher Island emerges from 2011 with flying colors. This private enclave features an amenity rich lifestyle for those choosing to reside there. A 50% increase in average sales price sets a high bar for which it will be interesting to watch how 2012 compares!

MIAMI BEACH

South of FifthCoveted SoFi has yet again demonstrated its strength in the market. Price per square foot at Apogee is competing with Manhattan real

estate values with closed sales nearing $1,800/square foot. Meanwhile, the two

Continuum towers are both up approximately $150/square foot from end of year 2010.

T R E N D S I 2 1

400 S Pointe Drive #2408, Miami BeachOffered at $3,899,000

7161 Fisher Island Drive, Fisher IslandOffered at $5,500,000O N E S O T H E B Y S R E A LT Y. C O M

2 2 I T R E N D S O N E S O T H E B Y S R E A LT Y. C O MO N E S O T H E B Y S R E A LT Y. C O M




MIAMI BEACH

Sunset IslandsSunset Islands, while the transaction number

was small, had amazing changes. Every single home sold was twice as high or HIGHER in 2011. Average and median sales prices

increased 385% and 251% respectively and price per square foot rose over 100%.

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales


Single Family Homes 2001 Lake Avenue, Miami Beach


MIAMI BEACH

Palm, Star & Hibiscus IslandsHomes in Palm, Star and Hibiscus Islands showed huge increases on almost every front, from number of transactions to an astounding increase of 73% and 65% respectively in average and median sales price. 2011 had four homes sell for over $10,000,000 compared to one in 2010, a four-fold increase.

Condos2010 9 $4,555,556 $3,250,000 -2011 12 $7,899,584 $5,353,750 -

Change 33% 73% 65%


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

Nora WalzEstate Agent305.582.0579

• Historical Budweiser bayfront estate on guard gated Palm Island• Complete structural updating• Original stained glass windows, floors and moldings intact • Minutes from South Beach, Brickell, downtown, and airport• Elegant 1,200 square foot separat guest house• Award winning rose garden• 150 foot dock• 150 foot dock• Direct ocean access• Gorgeous views of bay and downtown Miami• Minutes from South Beach, Brickell, downtown, and airport.


®,™ and SM are licensed trademarks to Sotheby’s International Realty Affiliates LLC. An Equal Opportunity Company. Equal Housing Opportunity. Each Office Is

Independently Owned And Operated.

Single Family Homes

MIAMI BEACH

Venetian,La Gorce Island The Venetian Islands and La Gorce waterfront real estate news was mixed. The number of transactions and median sales price were positive, yet the average sale price was down due in part to a large sale in 2010 that raised the average sales price. Foreclosures also increased three fold from 2010 to 2011.

2010 16 $3,854,813 $2,100,000 6%2011 22 $3,103,096 $2,325,000 18%

Change 38% -20% 11%

2010 2 $1,450,000 $1,450,000 -2011 6 $7,037,500 $5,087,500 -

Change 200% 385% 251%


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

Single Family Homes250 East San Marino Drive, Miami Beach

Offered at $3,360,000 or Rent: $19,900/month

142 Palm Avenue, Miami BeachOffered at $8,200,000 or Rent: $35,000/month




MIAMI BEACH

North Bay Road, Pinetree Drive

North Bay Road and Pinetree Drive waterfront homes experienced double digit movement in both the average and median sales price

over 25%. Average price per square foot saw a modest increase while both 2010 and 2011 had

zero foreclosures. The only indicator that saw a negative change was the number of transactions,

from 14 in 2010 to 10 in 2011.

MIAMI BEACH

Indian CreekIndian Creek had one sale in 2010 and none in 2011. At an average price per square foot of $1,179, it is the only single family home category priced at over $1,000 per square foot.

2010 14 $4,258,429 $3,467,500 -2011 10 $5,329,431 $4,659,260 -

Change -29% 25% 34%


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

Single Family Homes


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

Single Family Homes

2010 1 $9,300,000 $9,300,000 -2011 0 $0 $0 -

Change -100% -100% -100%

4549 Pinetree Drive, Miami BeachOffered at $12,500,000

17 Indian Creek Drive, Miami BeachOffered at $32,500,000 or Rent: $89,000/month


2 4 I T R E N D S

BAL HARBOUR GOLDEN BEACH BAY HARBOR ISLANDSAVENTURA SUNNY ISLES

North of Miami



MedianSales Price

AverageSales Price

# of Transactions

MedianSales Price

AverageSales Price

# of Transactions


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

T R E N D S I 2 5

SingleFamily Homes

% of REO Sales

% of REO Sales

Condos


2010 121 $796,712 $459,000 8%2011 140 $804,829 $467,500 4%

Change 16% 1% 2%

2010 1 $2,800,000 $2,800,000 -2011 - - - -

Change - - -

SingleFamily Homes

2010 2 $2,250,000 $2,250,000 -2011 9 $1,725,778 $1,250,000 -

Change 350% -23% -44%

Bal HarbourBal Harbour waterfront homes had only one

sale between 2010 and 2011. Bal Harbour waterfront condos had a modest increase

in the number of transactions, yet remained steady in average and median sales prices.

The good news is foreclosures decreased by 50%. One Bal Harbour leads this segment of

the market with 31 sales in 2011.

Bal HarbourAs prices come into line with demand, sales of non-waterfront homes in Bal Harbour increased four fold in 2011.

88 Bal Bay Drive, Bal HarbourOffered at $19,500,000

70 Camden Drive, Bal HarbourOffered at $3,950,000



2 6 I T R E N D S

Golden BeachGolden Beach waterfront homes had solid gains in all categories other than price per

square foot, which showed a slight decline. Number of transactions doubled, and both

average and median sales prices were up over 20%. Nnon-waterfront homes stayed mostly

flat from 2010 to 2011 in every indicator.


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 8 $2,406,500 $1,975,000 -2011 16 $3,311,047 $2,387,000 -

Change 100% 38% 21%

2010 6 $756,667 $732,500 33%2011 6 $755,833 $772,500 -

Change 0% -0.1% 5%



Single Family Homes

Single Family Homes

Bay Harbor Islands2011 was a fantastic year for real estate on Bay Harbor Islands. Every indicator was up substantially including number of transactions and median sales price. Two homes sold for over $2,000,000 compared to none over $1,000,000 in 2010.

AverageSales Price

MedianSales Price

% ofREO Sales

9341 E Bay Harbor Drive PH-B, Bay Harbor IslandsOffered at $299,000


Transactions

Single Family Homes

2010 5 $615,600 $630,000 -2011 11 $1,075,632 $687,455 -

Change 120% 75% 9%



T R E N D S I 2 7

AventuraActivity continued to be brisk in Aventura with

the number of transactions increasing 25% in 2011. Prices held firm and the # of REOs

remained essentially the same.

Sunny IslesSunny Isles continued to be a strong segment of the overall Miami market with the number of sales increasing 33%. As the developer inventory dwindles, prices at year end remained essentially unchanged. Several new projects are planned for this area.

2010 694 $358,370 $270,000 15%2011 870 $357,819 $264,000 14%

Change 25% -0.2% -2%


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

Single Family HomesCondos


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales2010 613 $461,015 $235,000 11%2011 817 $477,939 $240,000 17%

Change 33% 4% 2%

Condos

Bellini Williams Island, AventuraFrom $1,000,000 to $4,000,000

18911 Collins Avenue #3001, Sunny IslesOffered at $2,199,000

2 8 I T R E N D S

LAS OLAS ISLES HARBOR BEACH LAUDERDALE BY THE SEALIGHTHOUSE POINT RIO VISTA HILLSBORO BEACH

FORT LAUDERDALE BEACH VICTORIA PARKHOLLYWOOD & HALLANDALE BEACH CORAL RIDGE BAY COLONY

Fort Lauderdale

512 Seven Isles Drive, Fort LauderdaleOffered at $19,900,000



Condos

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales


SingleFamily Homes

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 246 $1,238,343 $799,950 10%2011 285 $1,274,695 $900,000 11%

Change 16% 3% 13%

Condos(1M+)

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales


Single Family Homes

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 1,309 $180,207 $110,000 39%

2011 1,309 $190,258 $111,000 35%Change 0% 6% 1%

2010 2 $1,112,500 $1,112,500 -

2011 1 $1,040,000 $1,040,000 -Change -50% -6.5% -6.5%

2010 1,158 $160,468 $125 35%2011 1,103 $161,774 $128,000 28%

Change -5% 1% 2%

OVERVIEW

Fort LauderdaleNon-waterfront property in Fort Lauderdale did not fare as well in 2011 as in 2010. Despite a slight decrease in sales prices for $1 Million+ condos, only one sale took place this year. Non-waterfront homes also did not see much change in 2011, with prices staying relatively the same as this sector continues to be plagued by bank owned properties.

OVERVIEW

Fort LauderdaleFort Lauderdale’s waterfront homes saw

favorable numbers in 2011, with total number of solds up 16% from 2010 despite increases

in both average and median sales prices. The waterfront condo market remained relatively

the same this year, with minimal changes across the board.

625 Poinciana Drive, Fort LauderdaleOffered at $2,800,000

2410 Southwest 29 Way, Fort LauderdaleOffered at $675,000

3 0 I T R E N D S


Single Family Homes

Single Family Homes


Single Family Homes

Single Family Homes



Harbor Beach continues to be one of the most sought after neighborhoods in Fort Lauderdale. Sales of waterfront homes jumped 19% while prices remained about the same. The foreclosures are no longer a factor.

FORT LAUDERDALE

Harbor Beach

FORT LAUDERDALE

Las Olas IslesLas Olas Isles are located directly off Las

Olas Boulevard and include Coral Isles, Idlewyld, Riviera Isles, Navarro Isle, Nurmi Isles, Hendricks Isle, Isle of Venice, Isle of Capri, Coconut Isle, and Las Olas Seven

Isles. Most waterfront homes offer dockage. Canal depth varies from 4-12’ around the area.

This exclusive community saw an increase in median sale price compared to 2010. Number of transactions increased significantly in both wagterfront and non-waterfront homes, and

average sales price has stabilized.


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales2010 11 $619,336 $585,000 -2011 10 $761,400 $600,000 -

Change -9% 23% 3%

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 16 $2,044,281 $1,412,500 6%

2011 19 $2,025,000 $1,800,000 -Change 19% -1% 27%



Single Family Homes

Single Family Homes

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales


Single Family Homes

Single Family Homes

2010 4 $801,925 $637,500 -2011 5 $818,000 $725,000 -

Change 25% 2% 14%

2010 52 $1,988,804 $1,475,00 8%2011 68 $1,963,524 $1,562,814 10%

Change 30% -1% 6%


2536 Lucille Drive, Fort LauderdaleOffered at $5,500,000

1 Pelican Drive, Fort LauderdaleOffered at $6,700,000




TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales2010 43 $995,495 $765,000 5%2011 60 $1,045,678 $837,500 7%

Change 40% 5% 9%


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales2010 60 $323,143 $255,500 9%

2011 46 $296,573 $280,900 13%Change -23% -8% 10%

Single Family Homes

Single Family Homes

T R E N D S I 3 1

FORT LAUDERDALE

Lighthouse PointJust minutes away to the Hillsboro inlet, Lighthouse Point is a luxury neighborhood and paradise for boat enthusiasts. Waterfront properties saw a substantial increase in number of sales and slight increase in both average and median sales prices. Non-waterfront properties did not far as well, with a 23% decrease in number of transactions from 2010 to 2011.

FORT LAUDERDALE

Lauderdale by the SeaLauderdale-by-the-Sea is a charming seaside

oasis on the northeastern edge of Broward county. As the number of transactions

increased in both sectors we see a major 93% drop in median sales price for non-waterfront

homes. This downward pricing trend can be attributed to a large amount of REO sales in

2011 - 20% of non-waterfront transactions were bank-owned properties.

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales


Single Family Homes

Single Family Homes

2010 7 $719,714 $775,000 -2011 15 $420,760 $350,000 20%

Change 114% -41% -93%

2010 7 $996,786 $760,000 -2011 8 $997,862 $812,500 13%

Change 14% 0.1% 7%


1460 S Ocean Blvd #1601, Fort LauderdaleOffered at $2,395,000

3930 NE 31 Avenue, Fort LauderdaleOffered at $1,299,000



3 2 I T R E N D S

Single Family Homes

Single Family Homes

Single Family Homes

Single Family Homes




TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales2010 11 $1,724,286 $1,475,000 9%2011 14 $1,424,600 $1,375,750 -

Change 27% -17% -7%


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales2010 21 $578,095 $415,000 -2011 27 $560,889 $500,000 7%

Change 29% -3% 20%

Single Family Homes

Single Family Homes

FORT LAUDERDALE

Rio VistaAn exclusive community close to downtown Fort Lauderdale, Rio Vista boasts no bridge

access to the ocean - a boater’s dream come true. Between 2010 and 2011, total number of

sales for both waterfront and non-waterfront homes in this neighborhood increased.

Waterfront properties saw the biggest drop in average sales price with a 17% decrease.

FORT LAUDERDALE

Hillsboro BeachThis enclave of waterfront homes has seen a slow down in the total number of sales from 2010 to 2011 along with a slight decline in both the average and median sales prices.

2010 5 $6,430,000 $6,300,000 -2011 2 $5,950,000 $5,950,000 -

Change -60% -7% -6%


TransactionsAverage

Sales PriceMedian

Sales Price% ofREO

Single Family Homes

1021 Southeast 8 Street, Fort LauderdaleSold for $1,200,000

T R E N D S I 3 3


Single Family Homes

Single Family Homes


Single Family Homes

Single Family Homes






# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 4 $1,507,725 $1,387,950 -2011 5 $998,000 $1,045,000 20%

Change 25% -33% -24%


# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 58 $396,257 $335,000 17%2011 50 $385,080 $337,500 8%

Change -13% 3% 0.7%

Single Family Homes

Single Family Homes


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales2010 10 $559,790 $533,450 30%2011 14 $721,879 $597,500 14%

Change 40% 28% 12%

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 4 $3,187,475 $3,137,450 -2011 8 $1,711,750 $950,000 12.5%

Change 100% -46% -70%


FORT LAUDERDALE

Victoria Park, Sunrise Key

A cozy residential neighborhood nestled in the heart of downtown Fort Lauderdale, Victoria

Park is a vibrant community that retains its Old Florida charm. This area saw a slight

decrease in the number of transactions in 2011 despite a lower number of REO sales for the

year. Waterfront properties in Sunrise Key have fared particularly well in 2011 with a 25%

increase in total number of solds.

FORT LAUDERDALE

Fort Lauderdale BeachThe total number of waterfront homes sold in Fort Lauderdale Beach in 2011 has doubled. A nearly 50% decrease in average sales price for waterfront homes could be attributed to the number of REOs being relatively high at 12.5%, compared to no REO waterfront sales in 2010. Non-waterfront homes in this sector have performed particularly well this year, with the number of transactions up 40% and average sales price up 28%.


Single Family Homes

Single Family Homes

1200 Holiday Drive #603, Fort LauderdaleOffered at $1,750,000

431 N Victoria Park Road, Fort LauderdaleOffered at $895,000

Condos

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales


SingleFamily Homes

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 50 $420,654 $382,500 -2011 43 $437,730 $415,000 -

Change -14% 4% 8%

2010 174 $140,154 $108,500 30%2011 203 $151,595 $127,000 27%

Change 17% 8% 17%

Condos

SingleFamily Homes

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales2010 32 $1,072,091 $1,012,500 -2011 23 $1,215,685 $1,170,000 -

Change -28% 13% 16%

2010 1,202 $240,120 $170,000 -2011 1,418 $229,898 $162,350 -

Change 18% -4% -5%

FORT LAUDERDALE

Hollywood Beach,Hallandale BeachThe Hollywood-Hallandale beach market is benefiting from the influx of investors chasing deeply-discounted condo resales. With the increasing number of transactions in this very active condo market, we see a slight decrease in the number of transactions involving bank owned properties, which might be evidence of market improvement. A decrease in available inventory contributed to an overall decrease in sales of non waterfront homes with a marginal increase in pricing.

FORT LAUDERDALE

Hollywood Beach,Hallandale Beach

A gated community of waterfront homes with oversize docks on deepwater canals and no fixed bridges, Golden Isles in Hallandale is

considered a hidden gem among avid boaters. The condo market in this area continues to be very active with an almost 20% increase in the number of sales. Waterfront properties saw a

28% decline in number of transactions this year, most probably because of an increase in both

average and median sales prices.

3 4 I T R E N D S

1800 S Ocean Drive #704, HallandaleOffered at $779,000

207 Holiday Drive, HallandaleOffered at $1,540,000



Condos

SingleFamily Homes

T R E N D S I 3 5

FORT LAUDERDALE

Coral Ridge, The LandingsCoral Ridge and The Landings fared well in 2011 with the sales of non-waterfront homes increasing 35% as prices of the homes dropped to meet demand. Waterfront homes experienced upward movement in number of transactions as well, despite only a small 5% decrease in average sales price.



TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales2010 26 $718,877 $608,000 -2011 35 $556,157 $525,000 3%

Change 35% -23% -14%

# of Transactions

AverageSales Price

MedianSales Price

% of REO Sales

2010 45 $1,050,176 $749,000 8%2011 48 $995,753 $775,000 13%

Change 7% -5% 3%


Single Family Homes

Single Family Homes

2010 5 $2,685,500 $3,000,000 -

2011 4 $1,112,500 $1,112,500 -Change -20% -59% -63%


TransactionsAverage

Sales PriceMedian

Sales Price% of

REO Sales

Single Family Homes

FORT LAUDERDALE

Bay ColonyOne of the most exclusive addresses in the area, Bay Colony is one of only two

guard gated waterfront communities in Fort Lauderdale. This luxury enclave features wide,

deep protected interior canals with no fixed bridges, lush landscaping along its streets,

and estate style homes boasting deepwater dockage for avid boaters. Decrease of the total

number of homes available for sale affected both average sales and median prices. A mere

seven residences in Bay Colony were on the market at time of publication.

230 N Compass Drive, Fort LauderdaleOffered at $2,599,000

5431 Northeast 31 Avenue, Fort LauderdaleOffered at $1,595,000




Bellini at Williams Island, AventuraFrom $1,000,000 to $4,000,000

COVER PROPERTY: 34 W Dilido Drive, Miami Beach I offered at $11,900,000This material is based upon information that we consider reliable, but because it has been supplied by third parties, we cannot represent that it is accurate or complete, and it should not be relied upon as such. This offering is subject to errors, omissions, changes, including price, or withdrawal without notice. ©MMXII Sotheby’s International Realty Affiliates LLC. All Rights Reserved. An Equal Opportunity Company. Equal Housing Opportunity.

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Documents

TRENDS 2011