FLORIDA LAND INVESTMENT. Buy a plot and build a home in one of Florida s most undersupplied property markets

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1 Buy a plot and build a home in one of Florida s most undersupplied property markets

2 About Florida The sunshine state is a worldwide tourist destination and home to over 20 million people Florida is the third largest state in the USA, having overtaken New York in The population was 21 million in 2017, forecast to increase by 1.5% by It has long been a key destination for investors and tourists, and receives massive immigration. It is estimated that 1,000 people move to Florida every day. As one of the world s leading tourist destinations, Florida is home to a variety of major tourist attractions and natural sceneries such as Florida Keys, South Beach, Key West, Walt Disney World, Kennedy Space Centre, Fort Lauderdale Beach, Universal Orlando Resort and the Everglades. Florida is tipped to be one of the Western Hemispheres leading economic regions over the next 20 years and is expected to outpace national average indicators over the next two years. Florida s economy grew faster than the national average in 2016 with 3% GDP growth compared to 1.6% nationwide. According to the latest Florida & Metro Forecast (June 2017), GDP growth in 2017 will be 3% and 3.7% in The state has almost 1,800 miles of coastline and 1,200 miles of sandy beaches. Florida is home to more golf courses than any other state in America with over 1,250 courses to choose from. The average annual temperature ranges from around 27ºC in summer to a respectable 16ºC in winter, providing the ideal conditions to enjoy all of Florida s tourist attractions. 2

3 Englewood, Florida Englewood s Property Shortage Englewood is a beautiful beachfront town situated on the Gulf of Mexico. With an average year-round temperature of 25ºC and stunning coastal panoramas, the area has long attracted thousands of tourists each year and is home to almost 20,000 residents, a figure that has grown 5.8% since 2010, according to the Census Bureau. The area is situated on the border of Sarasota County and Charlotte County, the latter boasts 219 miles of exquisite coastline and nearly 13 miles of Gulf coast beaches. The nearest international airport is Sarasota International Airport. Over 600 technology companies are located in the area and it is home to a huge healthcare industry. Adding to its popularity, the area has one of the lowest crime rates in the state of Florida. The area is experiencing a massive shortage of properties. International investors, snow-birds and local families are desperately searching for quality properties but are met with very limited availability. Each year more and more tourists discover the area and choose to return year after year. This has led to an undersupply of quality short-term rental accommodation, pushing up rental rates and returns. Demand also significantly outstrips supply in both the long-term rental and home sales markets. The thousands of families who lost their homes to foreclosure are looking to both these markets to make new homes. Many families are migrating to the area for a better quality of life and because it is considered a safe neighbourhood. 3

4 F L O R I DA E N G L E WO O D Rotonda Lakes, Englewood, Florida. Rotonda Lakes is a spectacular golf community in southwest Florida, Charlotte county. A spectacular conservation area, building plots in this community overlook beautifully manicured golf fairways, natural green areas and freshwater canals.the Gulf of Mexico is just 5 miles from Rotonda Lakes. 4

5 INVESTMENT LEVEL: Investment Opportunity Plot prices from: US$26,500 Finance option from: US$15,500 deposit plus US$1,000 per month for first 12 months. HOA: US$80 per year Plot taxes: US$250 - US$480* (2016) This investment opportunity offers investors the option to purchase prime location, coastal Floridian land plots at a significant discount to original market values. Land plots all have freehold title and are sold through reputable title and escrow companies. Ranging from 7,500 sq ft up to 17,400 sq ft, the plots are in a variety of locations and elevations in the sought after area of Rotonda Lakes. Allowable build sizes are equal to approximately 30% of the plot size. IMMEDIATE PROFIT: Up to 56% discount - retail prices for these land plots were originally between US$60,000 - US$65,000. EXIT OPTIONS To maximise this investment opportunity, we recommend building a single-family home on your plot, properties which are in high demand, to either sell off-plan, sell on completion or keep to rent. Hold onto your land plot to earn maximum capital appreciation to sell at a later date. se the BRIC Group off-plan upgrade to build U on your plot to sell on completion or rent. *depending upon plot location. 5

6 Build costs start from: US$219,535 (excluding the plot purchase price and plot clearing) Property taxes and assessments were US$3, for the year DARLINGTON MODEL Rotonda Sunset empty plan.pdf 1 29/09/14 10:26 Off-plan Upgrade EL C ASTILLO MODEL Prices for three-bedroom properties have increased 5.7% in the year to February Over the last 5 years, the median sales price for threebedroom properties in Englewood has appreciated 77.5%. The rental 6 K CY CMY MY Y M market is equally buoyant with the median rental price for a three-bedroom property in February 2017, US$2,700 per month. However, the listing price for three-bedroom single-family homes located closest to BRIC Group plots on Rotonda Circle is around US$3,400 per month. CM The BRIC Group has put together a highly economical package that enables you to buy a plot and have a house built on it that will be ready to be released onto the market within 25 weeks. This package includes all planning permission applications and approvals, site preparations and build costs.there are two build designs to choose from. C To maximise the investment potential of this opportunity, building a three bedroom, single-family home to cater to the high local demand is the most lucrative option. There is a clear opportunity to earn significant returns by purchasing prime land in Englewood and building a three-bedroom single family home specifically catering to local market demand.

7 Owning a home in Florida is a dream for many both in the United States and internationally, investors and families alike. The Englewood area in particular is highly sought after for both holiday homes and resident families. The growing demand from both new residents moving to the area and the increasing numbers of tourists has created a dramatic glut of quality homes and rental accommodation. Strategic Location: The Exit Market In Charlotte County as a whole, the population in 2010 was 159,990. According to estimates based on current growth levels, the population will increase to 185,456 by 2020, almost 25,500 more residents in a 10 year period. This equates to approximately 212 new residents moving to the area every month. In order to keep up with such demand, it is estimated that approximately 85 new homes are needed each month. The property management company we work with receives requests on a daily basis for long-term rentals, but they are unable to meet demand due to the severe lack of available property. These requests are from families who have lived in the area for many years, who have their children in local schools and parents in full-time employment. The significant undersupply of quality property is causing prices to rise rapidly in the Englewood area. Across the board, the median sales price has increased by 10% in the year to June 2017 and by 64% since Rental prices have shown equally strong growth across all property types with monthly prices up by 13.3% in the year to June Demand shows no sign of abating. With the option of owning a brand new home ready for rental or resale within 6 months, this is a fantastic opportunity for investors to turn a profit over the short-term or take a longer-term view earning high capital growth and a rental income. 7

8 Global Perspective on Local Real Estate USA BRAZIL SPAIN HUNGARY DUBAI 109 N Brush Street Suite 160 Tampa FL Av. Dom Luis, 1200 SLR 1304/1305 Torre 1 Business Ed. Patio Dom Luis Meireles Fortaleza, Ceara, Brazil Centro de Negocios Puerta de Banús Edificio E, Oficina Marbella, Spain Mammut II - 3rd floor Lövöház utca Budapest Grosvenor Business Tower Suite 1508 Tecom +(55) (+34) (+36) (+1) (CONSULTING OFFICE) (+971) Disclaimer : The information contained herein is solely for informational purposes and does not constitute an offer by BRIC Group to sell, rent or lease real estate. All information provided is believed to be accurate and correct at the time of publishing and is given in good faith. BRIC Group disclaims any warranties or representation concerning the accuracy, correctness or reliability of the information contained within this document and instructs you to independently verify the accuracy of the information provided. All intellectual proper ty rights are retained by their owners. All content including text, images and logos are the property of BRIC Group. It is not permitted without the express prior consent of BRIC Group to transfer, copy, distribute or compile in whole or par t any of the content contained herein.