Author: desert345

More Bad News for Renters

December 16, 2015

More bad news for renters

by Kathryn Vasel   @KathrynVasel December 15, 2015: 8:36 AM ET

Bad news renters: Don’t expect much relief in 2016.

Next year, experts predict rents will rise faster than inflation, increasing around 3%-5% on a national level.

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“We are already in a rental affordability crisis, and 2016 won’t let up,” said Svenja Gudell, chief economist at Zillow.

In the years following the financial crisis, vacancy rates have plummeted as demand for renting rose, sending rents soaring.

Related: Half of all renters can’t afford the rent

But here’s the good news: While rents are expected to continue to climb next year, the pace will start to slow in some areas.

Prices in the country’s hottest rental markets, like San Francisco, Boston and New York City, are expected to plateau, according to Devin O’Brien, head of strategic marketing at rental platform Zumper.

Spillover from those hot markets, however, will push prices higher in surrounding areas as renters get priced out. For instance, O’Brien expects price gains in Oakland to outpace those in San Francisco in 2016. And rents in Cambridge will see a major rise as renters seek a cheaper alternative to Boston. He’s also expecting strong rental growth in Austin, Dallas, Houston and Miami.

Related: Not buying a home was my smartest financial move

While new construction will bring new rental units on the market, it isn’t likely to keep up with growing demand. Vacancy rates are so low in many places that it’ll take at least a year for supply to catch up to demand, according to research from Yardi Matrix. Plus, new inventory tends to be high-end, which won’t be much help with rental affordability.

Rising mortgage rates could also push rents higher. The Federal Reserve is expected to start raising interest rates for the first time in nine years, which could keep people in the rental market longer. Higher interest rates increase borrowing costs, boxing out potential buyers and sending rents even higher.

Paying more toward monthly rent makes it harder to save for a down payment and eventually become a homeowner, which could force people to stay in the rental market longer.

Are you a baby boomer in the rental market or looking to make the move from a homeowner to a renter? We want to hear from you. Share your story and you could be featured in an upcoming article on CNNMoney.

 

Links at Silver Oaks

October 27, 2015

On October 1, 2015, CBD Real Estate Investment LLC entered into an agreement of sale with TCM Florida XI LLC to acquire the asset known as “The Links at Silver Oaks.”

Currently, the overgrown and abandoned “Links at Silver Oaks” is approximately 21 acres of developed land located on the Silver Oaks Golf Course off of Simons Road and Fort King Road in Zephyrhills, Pasco County, Florida.  The site is approved and significantly improved for 122 duplex lots.  Outstanding approvals and improvements to the site include the Simons Road improvement plan and road opening permits from Fort King Road to the northern entrance of the development site, relocation of Duke Energy Utility Tower, completion of on-site improvements including paving, utilities, and lighting, as well as final site grading and landscaping.  Also to be completed are Department of Community Affairs’ approval for a homeowners association and plat recording.

CBD is acquiring the site for an alternative plan.  It is the goal of CBD to amend the existing approval from 122 duplex units to 92 single family lots.  Of course, to perfect this change CBD will have to redesign and amend the engineering to the site, make significant changes to on-site improvements, as well as complete offsite improvements including completion of Simons Road’s permitting and approvals, installing part of the Simons Road improvements, permitting with the City and County, and completing amended on site improvements including utilities, landscaping, and community features (signage, common area improvements.)

From the time CBD takes title to the property it expects all approvals and work to be completed within 7-9 months

CBD has been trying to negotiate with Trax for three years for the acquisition of the site.  On October 1, 2015, CBD finally received a signed contract with TCM Florida XI LLC and the land is being purchased from TCM Florida XI LLC for $1,175,000. Closing is set for the fourth quarter of 2015.

CBD Real Estate Investment LLC is a Celebration based real estate investment, development and building company with additional offices in Arizona and New Jersey.

CBD to buy Estates at Vista Ridge in Dundee, Florida

October 27, 2015

October 25, 2015

CBD Real Estate Investment LLC announces that it has entered into an agreement of sale to purchase an 82 acre orange grove located off of Campbell Drive and Dr Welch Road in Dundee, Polk County, Florida.  This property is currently approved for 272 single family detached home sites, and is known as “The Estates at Vista Ridge.”

CBD will rename the property “The Groves at Lake Annie.”  There are no immediate plans to change the existing approvals, and, construction is not anticipated to start on site until the fourth quarter 2016.  The property is being purchased from an affiliate of Saunders Realty of Lakeland Florida for an all cash price of $1,210,000.  Closing is anticipated to occur in the first quarter of 2016.

The Groves at Lake Annie LLC will be the new owner of the land and will make a significant investment in the existing grove to increase productivity while it waits for the local land values to rise.  Currently the grove is at less than 50% productivity and CBD will investment roghly $100,000 to replenish trees, fertilize and insecticide the land in hopes to increase the quantity and value of the citrus.

“This is a beautiful property with easy access to HIghway 27 and all of Central Florida.  The views of Lake Annie are spectacular.  Eventually this property will be the home for 272 families”, said David Waronker, President of CBD.  Dundee is known as the “Orange Growing Capital of World and offers some of the most beautiful land in all of Florida.

CBD announces purchase of 30 acre property in Dundee

October 27, 2015

October 25, 2015

CBD Real Estate Investment LLC of Celebration Florida has entered into an agreement of sale to purchase a former 30 acre orange grove located off of Scenic Highway and Race Road in Dundee, Polk County, Florida. Here CBD plans to develop 105 single family detached home sites in a community to be named “Valencia Ranch at Dundee.”

The property was approved back in 2005 for a planned extension of the fist two phases of the existing “Vista Del Largo” project.  The thirty acres is currently approved for 70 townhomes and 57 single family lots.  CBD plans to amend the existing townhome approval for an additional 48 single lots.

The land is being purchased from AG Investments of Lakeland Florida for $298,000 in an all cash transaction. Closing is set for late December 2015.

 

CBD Intervenes in Washington Boro Affordable Housing Case

October 27, 2015

October 12, 2015

 

CBD Real Estate Investment LLC as General Partner for its two investment companies Washington Station Investment Limited Partnership and Washington Venture Investment Limited Partnership has intervened in the proposed affordable housing plan of Washington Boro, Warren County New Jersey.

CBD seeks to include its 110 acre property off of Main Street (Highway 57)  Nunn Road, and Mill Pond Road for the development of 540 three story garden style apartments, along with roughly 18 acres set aside for an expansion of the existing Washington Cemetery.  For the housing, 20% of the rental units shall be set aside for affordable low and moderate income residents.  This will help the Boro satisfy part of its estimated 225 affordable housing unit obligation.  The housing development would be named “Washington Station.”

CBD and its affiliates have owned the land in the Boro for 20 years, and, the land is currently used for forest management.  It is also leased seasonally to a local hunting club.

The company recently filed an intervention action to the Boro’s current affordable housing plan.  CBD is represented by Carl Bisgaier, Esq along with planner Art Bernard and engineer Adams Rehman and Heggan.  If approved the site could be under construction as soon as local, county and state permits are obtained.