Leaders within the construction industry are cautiously optimistic that a full housing market recovery is underway in Southwest Florida. In Naples during the first quarter of 2012 Collier County government offices issued 297 permits for new home construction, a healthy boost since the market plunged in 2009.
Kathleen Curatolo, executive director for the Collier Building Industry Association was encouraged by the recent annual Parade of Homes event which showcased the area’s developers and featured decorated model homes for the public to view. Curatolo noted that twice as many builders participated in the 2012 event than in the previous year.
So which players are back in action in our area?
Toll Brothers, a national builder has been focused on the $300,000 – $800,000 price point in Southwest Florida but believes that lower priced homes are selling better. Locally they have broken ground on Bonita Lakes, a development located on the border between Naples and Bonita Springs and is set to launch in July 2012. The developer plans to build 268 single family executive residences priced from $400,000 along with home sites where individuals may choose to build a custom home.
In January GL homes launched Riverstone, a new community in North Naples to a flurry of activity. The builder registered 100 sold homes priced between $300,000 and $600,000 within 90 days of their grand opening. This development offers 15 home designs which feature one and two story floor plans.
Long time Naples developer Stock Development has witnessed an upswing in the $1 million category. Stock Development sold 25 luxury homes within the first quarter of 2012, twice as many for the same period in 2011. Strong sales have encouraged the developer to complete construction on lots they previously acquired within communities such as Mediterra, Quail West and Fiddler’s Creek.
The inventory of existing homes within Naples decreased 13% in May 2012 as compared to May 2011. We expect sales to continue to increase and if inventory levels continue on a downward spiral we could soon witness prices in the local market begin to rise. New developments provide an option for buyers seeking a move in ready home in their preferred location for a price they can afford. Two developments that are underway in central Naples that have capitalized on presenting attractive properties at realistic price points are Marbella Lakes and Manchester Square which offer entry level residences priced from $ 230,000.
The real estate market in Naples is constantly shifting and it is exciting to see the construction industry back at work! We expect the momentum to continue as building permits and site plans are being finalized for a few more developments; Hacienda Lakes, Alico West and Sabal Bay.
Please visit our website for additional details on the developments mentioned above.