SOUTHEAST SNAPSHOT, MAY 2006

Jacksonville, Florida Multifamily Market

David Tufts, Chief Executive Officer, Coldwell Banker The Condo Store

Many young buyers are leaving apartments in the suburbs and buying first homes closer to downtown restaurants and entertainment. Older buyers tend to be downsizing from larger family houses and want luxurious homes that also allow them to live, shop and work within walking distance.

Downtown development received a significant boost last year when Jacksonville hosted the Super Bowl, which brought the construction of a new sports complex and a number of new entertainment venues.

Another major trend in condo development is the extensive amenity packages being offered. In addition to pools and fitness centers, which have become the norm, some developments in Jacksonville now offer concierge service, dry cleaning pickup and on-site personal trainers.

One landmark development is McRae & Stolz’s The Plaza, a 22-story high-rise overlooking the St. John River in the heart of downtown. The building was designed to reflect the luxury of a grand hotel and features wonderful amenities and beautiful views of the city and the water. Like many new developments in Jacksonville, The Plaza is integrated into the surrounding neighborhood and allows residents to walk to jobs, shopping and numerous entertainment options. The Plaza was developed as an apartment complex in 2000 by The Harbor Companies and was purchased in 2003 by McRae & Stolz as a condominium conversion. Developments like The Plaza help attract new shops, restaurants and other services demanded by downtown residents. The addition of those new services, in turn, will help encourage the construction of more residential developments in the central city.

In addition to downtown, major new development in the Jacksonville area is occurring along the newly finished Interstate 295 beltway that circles the city. Bartram Park, located at the intersection of Interstates 295 and 95 on the southeast side of town, has become a hotbed of development because of recently completed transportation improvements and its prime location halfway between downtown Jacksonville and the beaches of St. Augustine. Other hot areas for new condo developments like St. John’s Center and Kendall Town Center are popular because of their proximity to recently completed mixed-use developments.

Unlike the condo complexes of the past, which were designed as islands unto themselves, new developments integrate the surrounding community and allow residents to walk to shopping areas and other attractions. Many new condo buildings, especially downtown, include retail shops on the ground floor. Today’s buyers are looking not only for homes with lots of amenities that are easy to maintain, but also locations that are convenient and accessible. There is a wide variety of condominium options in the Jacksonville area as prices range from approximately $100,000 for older condo conversions in the suburbs to more than $1 million for high-rise units downtown overlooking the river.

What makes Jacksonville unique is the water. The river flows through downtown and the ocean is just a short drive away. Jacksonville recently embarked on a “Downtown Vision” plan with the goal of improving transportation and housing to attract more people to the central city. However, the areas along I-295 on the outskirts of the city will continue to grow, particularly those areas on the southeast side, because they are most accessible to the coast.

— David Tufts is chief executive officer and founder of Coldwell Banker The Condo Store.

©2006 France Publications, Inc. Duplication or reproduction of this article not permitted without authorization from France Publications, Inc. For information on reprints of this article contact Barbara Sherer at (630) 554-6054.