A couple of weeks ago, weÂ forecast the mass buyout of cheap condosÂ by investors which could reduce condo inventory andÂ begin to threaten Florida’s “buyer’s market.” Now, the Miami Herald reports that Jorge Perez, south Florida’s condo tycoon, is setting up a $1B fund to purchase some of these troubled condo developments. As this happens, condos become rentals again and inventory shrinks.
Perez’ decision to launch a vulture fund — or an ”opportunity fund” as he calls it – could be interpreted as a sign of confidence in South Florida’s condo market.
”I strongly believe that Miami real estate is undervalued,” Perez said. “Three years from now, people will look back and be amazed.”
If I were a skeptic, I might wonder if Perez was trying to control market demand by buying his own product with assistance from Wall Street…? Nah… couldn’t happen…
You can read the full story here.