Jason Koertge has an awesome vacation rental business in Panama City Beach that focuses on remarkable properties right on the gulf.  They range from 1 to 4 bedrooms, they’re clean, and amazing.  He can be found lurking at PCBLP.com.

There seems to be some popularity with the concept of using a motor-coach RV park as a last ditch effort to generate revenue on a vacant piece of land. This is a topic that’s come up before with the community standing up in opposition.

Well, it’s come up again.

The land that’s being proposed.

The subject land in the limelight is owned by Royal American Development and is the current home to the welcome center for Royal American Hospitality (same principal owners). The land is adjacent to the gulf front resort, Boardwalk Beach Resort and was originally intended to be phase II of the Boardwalk Condominium development.

The actual parcel itself is about 400 feet on the gulf and rests between the Top of the Gulf condominium resort and the Boardwalk Condominium tower.

A need to generate revenue.

The story here seems to be the same. The market tanked before they could sell the other building so it has sat pretty much vacant every sense.

As with the LaBorgata piece of land, you probably have a developer who spend a lot of money on the land, pre-development costs and is badly in need of a way to stop the bleeding.  I assume there are monthly costs associated with holding the land, an annual tax bill, etc.  Of course, this is just an assumption.

But the desire to turn a non-revenue generating parcel into something that makes money is honest enough, right?  But at what expense?

The plan.

On paper, the plan is to turn this into an RV park, although no conceptual plans were turned in with the rezoning request.  The land owner is requesting the approximately 5.6 acres be rezoned from T-2 to T-M.

As noted in the application Data and Analysis document, the reason for the request reads as follows:

The applicants have indicated that they intend to develop the site into an RV park.  However, if the rezoning were approved the site could be used for mobile homes, travel trailers, motor homes, motels, hotels, condos, town homes, apartments, churches, clubs, lodges, parking lots, parking garages and mobile home sales.  

It is the breadth of possibilities that seems to have local property owners up in arms.  The potential for developing anything that could adversely effect their property values in an already depressed real estate market is being reported as unnerving.

The document then goes on to read:

A plan amendment is not required for this request.  As such, the request is consistent with the Comprehensive Plan since the T-2 zoning district and the T-M zoning district are both part of the Tourist Future Land Use Map designation of the Comprehensive Plan.  This means the City must provide competent substantial evidence in the record of the meeting if it is to deny the request. 

Continuing later in the document:

Surrounding parcels are zoned T-M, T-3A and T-2.  Condominiums are located to the east (Top of the Gulf) and west (Boardwalk) of the subject site and an RV Park/Campground, T-shirt shop, and golf course are located across South Thomas Drive to the north.  A proposed RV Park on the subject property is compatible with the uses to the north. . . [With] adjacent property owners. . . the impact on property values of the condominiums is the potential issue.  As with all properties, if an adjoining property is not maintained and kept in a clean and neat condition; properties in the area can be adversely impacted. . . However, the applicant manages several units within the Boardwalk Condominium and will likely manage the subject property such that their values are not adversely impacted.  Whether an RV park in this area will diminish property values of adjacent condominiums is very difficult, if not impossible to determine. . . The RV Park/Campground across South Thomas Drive did not prevent the construction and increase in property values of the Boardwalk condominium. . .  For these reasons, staff cannot determine that the presence of an RV park on the subject property will cause an adverse impact to adjoining property values especially if the use is well maintained and managed. 

The document concludes:

Because the quest is consistent with the adopted Comprehensive Plan, the burden of proof is not with the owner but rather the City to base a decision on competent substantial evidence especially if the request is denied.  Based upon information gathered to date, Staff is unable to identify a substantial reason to deny the request.  However, judicial decisions have indicated that direct testimony of nearby property owners at a public hearing can be considered by a Board and used as competent substantial evidence in denying a request if such evidence indicated the owners will likely be adversely impacted by the approval of the request. 

What all this means and what to do (IMPORTANT).

I’ve been to a few of these meetings and the board is reasonable in hearing the opinions of the audience.  The developer should be amicable regarding the proposed development and how it will effect property owners, but if you’re an owner and you want your voice heard, you need to be at the meeting.

The document reads that there is no reason to deny the request unless the local property owners have substantial evidence that they’ll be negatively effected.

So, if you don’t like this, do your research on how this can be detrimental to your property, show up to the meeting with the facts, and be ready to present.  But, planning on coming to yell at the board, yell at the developer (or his engineer) or cite emotional turmoil won’t strengthen your argument.

The meeting will be held at Beach City Hall on February 13 at 2 pm cst.

So, what do you think, should they put an RV park next to Boardwalk Condominiums?

Apparently there is some dissension over the change to the new MLS system that has left both sides debating passionately their justification for their position. Recently the Bay County Association of Realtors (BCAR) switched their MLS system from Solid Earth to InnoVia. MLS is short for multiple listing service and is how real estate listings are organized electronically and on the web so people can search through them.

Problems with the new system

Since the new system has been rolled out, many agent and public users have had a variety if complaints.

A local Realtor, Daryle Burkey wrote a blog post and launched an “unofficial poll” to “test the waters of the feelings of the members on things being different”.  He’s clearly in opposition of the change and the post has garnered over 185 comments as of this writing and is growing.

Read the blog post here.

One of the commenters on the blog post, Cowboy Mike said, “The paradox for me as a beta tester of the InnoVia application is the system works like, looks like and feels like 1990s technology.”

Another user and commenter on the blog post, Jessie C said, “A basic premise in software development is testing – not only by the developers but more importantly by the user community. . . It is therefore imperative that a cross section of testers be comprised of all levels of experience.”

Some of the problems that users have been having include:

• Property search
• IDX integration
• Non-user friendly for agents or public
• Email capabilities

Some say the new system is really a better system

While some are passionate about their stance in opposition of the new MLS system, others are firmly standing their ground that moving to this new system was in the best interest of local Realtors. While some of the arguments against the new system include the BCAR members not having a say in the decision to make the move, supporters are adamant that fair warning and meetings were announced, planned and held.

“Everyone was notified and knew this was coming,” one commenter named Gwen said.  Dana Paramore Dunnigan said, “it’s different, you have to learn it – every time we’ve changed programs there has been people whining but we have to stick with the times.”

Here is a link to the public side of the new MLS system.

One of the supporters of the change, Ron Bigus explains there are several features InnoVia has over Solid Earth, including:

• Mac OS and all newer Browser compatibility (Firefox, Safari & Chrome)
• Map searches using range of distance or drawn shapes, with driving directions and routing
• Multiple sessions of MLS can be open at once

Rosanne Orsini-Dees, the Association Executive of the Bay County Association of Realtors was contacted but didn’t respond for comment.

What are your thoughts on this?

Are you a Realtor?  If you’ve used the new system, what are your thoughts on this?  What about the public side, have you played with the public side of MLS searches?

The Beach Show has a long history with PCBDaily.com.  I founded it more than two years ago with Karen Smith of Beachy Beach.  If you ask her, she’ll tell you The Beach Show has played a huge role in the growth of her business.

The Beach Show’s origin.

The whole idea behind The Beach Show was to bring you the best real estate deals to be had in Panama City Beach, each week.  Over the last two years, we’ve only missed a small handful of weeks and have increased the real estate exposure of the Panama City Beach area dramatically.  Tons of people have copied the idea and some have stood the test of time, but none have created the same amount of Buzz.

Click here to sign up for The Beach Show’s newsletter.

Karen’s career as she’s done The Beach Show

When her and I first started doing The Beach Show back in April 2009, she was an agent at Beachy Beach Real Estate.  At the time, it was owned by it’s original founder, a good friend of mine, Gabriel Stephani.  As she grew the brand of Beachy Beach with her natural pizzazz, she realized how much a part of her it really was.  She ultimately ended up purchasing it from Stephani in 2010 and began a quick and strategic growth.  Stephani went on to found Pineapple Properties and Karen now has several agents working for her and is having the best summer of her career.

The 100′th Episode of The Beach Show

We’ve all been wondering how condo sales were going to do this year after last year’s oil spill mess.  Well, so far, quarter 2 condo sales are pacing to have an astounding 44% increase over last year.  Yes, that’s a 4, paired with an 4 and a percentage sign.  Condo sales are up 44% this year over last.

How many condos were sold.

Looking from April 1 through today, there have been 262 condos sold on Panama City Beach according to the Panama City MLS.  During the same period in 2010, there were a total of 182 condos sold.  Many expected and speculated that sales this year over last would be higher because of the negative effects from the oil spill, but 44% is staggering.

If we take the total number of condos sold, and divide it by the number of days in the period, and multiply it by the number of days left in Q2 2011, then add that number to 262, then at this point, we’re pacing to sell 294 condos for the second quarter period 2011.  During Q2 2010 there were 215 condos sold – this would still put us at a 37% increase over last year.

Average price, size and square foot.

Looking closely at the numbers, it’s always fascinating to me to see what people are buying. Here are some averages to soak up.

• Average list price: $192,488.95
• Average sold price: $179,729.42
• Average number of bedrooms: 1.78
• Average square footage: 1,122
• Average price per square foot: $157.15

Break down of some of the more popular rentals.

Aqua

• 4 condos sold during period
• Average list price: $338,475.00
• Average sold price: $303,750.00
• Average number of bedrooms: 2
• Average square footage: 1,349.00
• Average days on market: 426
• Average price per square foot: $225.13

Calypso

• 8 condos sold during period
• Average list price: $259,787.38
• Average sold price: $244,062.50
• Average number of bedrooms: 1.75
• Average square footage: 1,138.63
• Average days on market: 228.88
• Average price per square foot: $214.17

Emerald Beach Resort

• 5 condos sold during period
• Average list price: $182,279.80
• Average sold price: $170,100.00
• Average number of bedrooms: 1.40
• Average square footage: 1,051.60
• Average days on market: 174.20
• Average price per square foot: $158.86

Tidewater Beach Resort

• 16 condos sold during period
• Average list price: $194,125.06
• Average sold price: $185,031.25
• Average number of bedrooms: 1.44
• Average square footage: 1,028.44
• Average days on market: 82.50
• Average price per square foot: $178.26

Pricing this year over last year.

The number of condos sold has sky-rocketed, but the price has fallen 13%.  I say fallen, but many would choose to use the word “corrected”.

The average price for the period last year was $302,311, and the average price for the period this year is $179,729.

Observations, opinions and summary.

Being the proponent of Panama City Beach that I am, the huge increase in sales numbers is very exciting.  The volume of sales is very promising coming out of an economic downturn.  People are becoming more confident in their purchasing, they’re taking action in buying up inventory and they’re telling their friends about the great deals they are getting.

The days of buying a condo and generating revenue from rental are back.  Condo pricing is getting back to a point where it makes sense to purchase and then rent out. I get calls all the time from people asking me if it makes sense to buy this or that, looking at rental revenues.  Most of the properties I manage are booked solid all summer long, with decent rates.  More people are wanting to come to the beach this year then any other year before.  Just look around you, Panama City Beach has been buzzing like crazy the last couple weeks since summer started.

Good luck, happy buying and ask if you have questions!

This post originally appeared on PanamaBeachRealty.com’s blog.  For more information about real estate in Panama City Beach, current market conditions, and other things happening in real estate locally, you should check it out.

Each month we hear stories about how the real estate market in Panama City Beach is bottoming. We are continually told that it is ready to bounce back at any time. How much longer are we going to listen to this while watching prices drop quarter after quarter? Potential buyers should not be focusing on the overall market. They should instead be looking at the specific condominiums they are interested in. On the whole, the real estate condominium market in Panama City Beach continues to fall. The average price per square foot of a 700 square foot or larger gulf front one-bedroom condo has dropped another $18 per square foot during the first quarter of 2011. These dropping rates do not indicate that the market, as a whole, is bottoming. A large number of floor plans and buildings across the beach are showing no signs whatsoever of bottoming.

Itís not all bad news though. Some buildings and floor plans have, in fact, exhibited clear signs of a bottom market. I will later illustrate an example of a condo bottoming. I will also provide a separate example of pricing occurrences in a common two-bedroom floor plan across many condominiums in Panama City Beach.

Sales Volumes

In terms of volume, purchasing rates are setting the stage for a solid year of sales. Condominium re-sales in Panama City Beach were up in January 2011, as compared to those in January 2010. In January 2011, 68 condos sold. In comparison, only 54 condos sold in January of the previous year. When looking at the purchase rate of real estate condominium re-sales in Panama City Beach for February, sales volumes once again exceeded that of the previous year. In February 2011, 69 condos sold, as compared to 60 the previous year. As you can see, the trend continued in March.

Downward Pressure on the Market

A cloud is currently hanging over the Panama City Beach real estate market for condominiums. The trifecta of short sales, foreclosures and damaged properties is making it difficult for certain floor plans to stabilize or increase in price. The obstacle lies in that they have all started feeding off of one another, regardless of the fact that many buyers are willing to pay higher prices. Letís use the following as an example:

Condo A has a good floor plan. Condo B in the same building has an identical floor plan. Condo B, however, has some serious issues with mold throughout the unit and is in need of a complete renovation. As a result, condo B rightly sells at 10-20% below the normal price. In addition, this particular floor plan also has a few short sales on the market. Traditionally, banks are not all that intelligent when it comes to short sales. All a bank typically looks for is any type of comparable sale that will allow them to sell at a particular price. They often fail to even send an appraiser to access the value of the property. They will often pay a nominal fee to have someone locate comps for that particular floor plan. So, we now have a comparable sale with condo B, which was consumed with mold and sold at a lower price. Additionally, we now have a foreclosure appear and price itself at or below the new short sale price and the mold infested condo. The units subsequently feed off of each other.

Even worse than this situation is the long list of short sales that will likely never close. While some agents are good at getting short sales through, many seem to have a horrible track record when it comes to short sales. The majority of these short sale properties will never make it to the closing table. These listings sit on the table forever, benefiting no one and putting a downward pressure on all similar units.

There are occasional exceptions to this however. Intermittently, you will see foreclosures and regular real estate sales at a 10-20% higher price than the lowest asking price.

The Most Common Two-bedroom Floor Plan on the Beach

Several buildings in Panama City Beach were constructed by a particular developer. The majority of these buildings contain almost identical 1146 square feet floor plans, with two bedrooms and two bathrooms. In contrast to some larger resort style condominiums, these condominiums do not include certain amenities, such as on-site check-in desks, theaters or convention centers. This particular developer took a simpler approach. Emerald Isle, Ocean Reef, Ocean Villa, Tropic Winds and Twin Palms were designed for simplicity and functionality. Ample space is provided for the number of units and allotted amenities in each building, demonstrating a well-proportioned balance in the use of space. The floor plan used in these buildings incorporates huge balconies, large gulf front pools, a sauna, steam room, a heated indoor pool, and plenty of parking.

Since these buildings contain a large number of units with almost identical floor plans, this plan serves as a good representation of the cloud that is currently hanging over the real estate market in Panama City Beach. In my opinion, this particular floor plan should have already bottomed. However, it is struggling to find its bottom as a downward pressure is put on the market. An active absorption rate of 200-220k exists for this plan if sellers would just wait for it instead of selling at a lower price. Brand new condominiums, such as Ocean Reef and Tropic Winds, are bringing in even greater amounts because buyers are happy to pay higher premiums for brand new condos.

En Soleil 3-bedroom Condos

As previously promised, here is an example of a floor plan that looks to have found its bottom in 2009-2010. If you arenít familiar with the building however, the charts can be deceiving. For someone who is unfamiliar with the building, it may appear that the bottom of the market for this floor plan was the $509,000 sale. I have a slightly different viewpoint however. En Soleil contains two separate towers with three units per floor. Each of these end units has an identical 2300+ square foot floor plan. The individual owners in this building tend to be a bit on the discriminatory side. While you would be hard pressed to find a bad condominium in these two towers, there is a significant difference in the units. The lower floor end units looking away from the property overlook a roughly two story condominium on both the east and the west side. As a result, a small number of these units partially overlook the roof of the buildings. In a condominium like this, you are likely to witness a significant price difference between a lower floor end unit looking out from the property and an interior lower floor end unit. The $509,000 sale was a lower floor end unit, while the other sales just before and after it were interior end units. I would personally argue that a relative bottom was actually achieved for this particular floor plan in 2009.

What is a Good Indication of a Floor Plan Bottoming?

If a floor plan is seeing a normal absorption rate at a particular price point, it is a good indication that it is starting to bottom. Keep in mind that buying at the lowest price doesnít necessarily mean that you got a really great deal. If you paid 180k for a two-bedroom foreclosure and someone else paid 205k for the identical floor plan with window treatments, great furnishings and flat screen TVs throughout, you definitely got taken. To comparably furnish your unit, you will need to shell out an additional 30-35k, as well as a significant amount of time and hassle to do it yourself. Additionally, if you paid 170k for the same floor plan with mold damage, you really got the short end of the stick. I would personally recommend that potential buyers find the building and floor plan that best fits their needs and wants and then take a close look to see if buying makes sense. They should take into account the condition of the unit, the view compared to other units in that building, the difference between a furnished and unfurnished unit, and the time and effort it will take to get that unit to the desired condition.

Here’s something cool:  ditch your condo on the beach and buy a condo on a giant riverboat.  Imagine living on the water all the time, whenever you look out your window or lounge on your balcony, you have waterviews in perfect weather, you’re always traveling, around the country.  Enter River Cities’ The Marquette.

This week and next, a “model condo” will be at St. Andrew’s Marina showing you what life on the water in The Marquette will be all about.  Looking at the plans, the whole thing looks like a fantastic dream.

The entire structure is actually two separate vessels joined in the middle that combined create a 108 foot wide 600 feet long, six-story condominium.  There are 180 units total ranging in size from 528 square foot studio apartments to 1,500 square foot two bedroom condos.

The floating resort features a full service restaurant, theatre, activity rooms, library, hot tub and pool, fitness center, walking tracks, chipping course, fishing, recreation areas for bocci ball and lawn bowling, grocery, rental watercraft launched from boat.

Anyway, I thought this was pretty cool.

But, there was something that I didn’t think was cool – the price.  Pricing for the lower end condos start at $299k with HOA fees just over $1,000 monthly.  The condos that are 924 square feet are just under $500k.  Just seems steep for something that could get trashed if it was stuck in the wrong place at the wrong time.

For more information, visit their website.

The Beach Show is part of our Real Estate category where we talk a bit about real estate in the Panama City Beach area. This post originally appeared on The Beach Show which airs a new episode of super hot real estate deals each Wednesday morning.

This week, The Beach Show girls show us a pretty sweet condo in Aqua, a cute cottage in Seacrest Beach and a steal on a Gulf-front condo.

Note: If you’re publishing awesome content in Panama City Beach and you would like for us to consider syndicating it on PCBDaily, lettuce know. 

This article is part of our Real Estate category where we talk a bit about real estate in the Panama City Beach area. This post originally appeared on Blog.PanamaBeachRealty.com which often talks about real estate market conditions in Panama City Beach.

Initially, the 2010 Panama City Beach real estate market was stronger than in 2009. However, potential buyers became worried about the possibility of the Deep Horizon Oil spill, so sales declined in April and remained depressed until September. When purchasers realized that the spill would not affect the area, September 2010 sales volume increased. This still was not enough to return to 2009 levels.

There are some difficulties in evaluating the overall market data because condominiums are worth different values depending on their amenities, location and size. In order to evaluate the Panama Beach condominium market more realistically, I examined units that were close to the same size and had similar views. I determined the average square foot price of one-bedroom units on the gulf that were more than 700 square feet.

Panama City Condo Market Selection Factors

The next graph demonstrates that the same floor plan can bring different prices depending on the building. I looked at one-bedroom Panama City Beach condos for sale in the Summit, the Boardwalk and the Majestic buildings. The sales volume in the Summit was constant each year, so this condo provides a powerful graph baseline. The graph also indicates that the prices of one-bedroom units in the Boardwalk are slightly higher than prices for the same floor plans in the Majestic. Condo prices in both buildings command a premium over the value of units in the Summit.

Other Factors of Condominiums Adversely Affecting the Market

Most floor plans are continuing to see foreclosed units hit the market. These units often list at a discounted price compared to other identical floor plans. They are usually unfurnished and often need some repairs. This puts a downward pressure on pricing. When the foreclosed unit sells, it provides a comparable, which causes short sales to lower the price.

Despite this negative price pressure, a few floor plans are showing signs of a price floor, or even indicating that the market may be strengthening toward eventual price increases. I will examine unit plans in the Panama City Beach real estate market in my subsequent market analysis and provide some graphs to demonstrate the market growth. Unfortunately, many other condo floor plans have not seen any sales in a long while due to unrealistic asking prices.

Expected Outlook

It is likely that units will only start to sell when prices are lowered enough to be in line with market rates. This will happen on a floor plan by floor plan basis, resulting in excess inventory gradually being sold. As inventory becomes more limited, prices will strengthen. When realistic prices match the market demand, they will restore the stability and equilibrium of the market.

* All sales data taken from Bay County Association of Realtors

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Beachy Beach Real Estate – Long time resident, Karen is a one-stop-local-shop for all things real estate. Beachy Beach Real Estate offers assistance for Buyers/ Sellers, Community information and a variety of tips to help along the way.

Boatyard Restaurant – “Fresh fish, oysters cracked straight from the ice display, and killer sushi” on a water front setting with stunning views.

Buffalo Wild Wings – Family friendly sports joint offering a full menu ranging from salads and appetizers to burgers and yep, you guessed it – wings.  A full bar and fun atmosphere usually makes Buffalo’s the number one draft pick for watching games.

Counts Oaks Resort Properties – “The Panama City Beach and South Walton County area is one of the most popular beach vacation destinations along the Gulf Coast. Counts Oaks a wide selection of condos or resort condos, beach houses, townhomes or cottages for your beach vacation.”

Hidden Dunes – Nestled in the sand dunes of Thomas Drive in Panama City Beach, Florida, Hidden Dunes is a luxury resort condominium convenient to all area attractions, dining and shopping. With our extra spacious condominiums, upscale interiors and great amenities, Hidden Dunes Panama City Beach provides affordable luxury and the perfect escape on “The World’s Most Beautiful Beaches.”
Hidden Dunes Panama City Beach accommodations include 91 beautifully decorated, 2300 sq. ft. units, each with a private balcony overlooking the Gulf with its own personal hot tub. Resort amenities include one large swimming pool, Gulf-front fitness center, a kiddy pool, game room, vending area and more.

Panhandle Helicopter - Panhandle Helicopter provides air tours from Panama City Beach and Destin, Florida. Tours vary depending on the amount of time you’d like to spend in the air viewing “the world’s most beautiful beaches” from the best seat on the beach.

Ratepoint – RatePoint was created to enhance the relationship between businesses and consumers. Ratepoint is helping businesses worldwide connect with customers through the power of online reviews, customer communication and social media.

Reich and Binstock – Reich & Binstock, a Houston, Texas based law firm was founded in 1984 and since that time has enjoyed extensive trial practice in virtually every area of civil litigation including medical malpractice, nursing home litigation, all areas of personal injury trial law, products liability and toxic and environmental tort.

Shooners – Schooners, the Last Local Beach Club, is open 7 days a week from 11 in the morning till the wee, wee hours of the night. Lunch is awesome. Dinner is awesome. The bands are awesome. The beach is awesome. The sunsets are awesome.  As a matter of fact, this just might be the best place on Earth.

One Seagrove Place – One Seagrove Place condominiums feature a two bedroom/two bathroom floor plan, fully equipped kitchen, washer and dryer, and a spacious private balcony for soaking in the spectacular Gulf of Mexico views.

Some of you might have noticed the excavating and construction going on at Thomas Drive and Luff Street. We took it upon ourselves to find out for you.

It is going to be a new Dollar General! It is being developed by Concept Construction and Development, and is the newest Dollar General in Panama City Beach. Concept Construction and Development has also built the Dollar General on 15th Street, 22nd Street and the one in Lynn Haven on Highway 390.

A foreman on site said the end date of construction is at the end of November. Panama City Beach can expect to see Dollar Generals continuing to crop up all over due to their low prices, good selection of items and their convenience for customers. This new Dollar General also serves as a highlight in the construction industry because developers see the potential in our area again. Here’s to new beginnings!

Here are some more pictures.