Hurricane Milton

We are pleased to know that most property owners in Brevard Countymade it through hurricane Milton with relatively little to no damage. If your property was impacted and you have not been able to find the vendors needed to repair or clean up your property, please reach out to us and we will do our best to provide contacts as needed. Our prayers remain with those on the west coast of Florida and western North Carolina who are still recovering from the recent storms.

Luxury Hotel Breaks Ground in Cocoa Beach

Driftwood Capital has begun construction on the Westin Cocoa Beach Resort and Spa, a $420 million luxury hotel and conference center in Brevard County, Florida. The hotel, scheduled to open in early 2027, will feature 502 rooms, including 69 suites, and employ over 500 people. The development replaces the old International Palms Resort and aims to be a high-end destination, offering 11 restaurants, a spa, pools, sports courts, and over 123,000 square feet of meeting and event space. The project marks a significant investment in the Space Coast's tourism, with Driftwood's total portfolio in the region now reaching four hotels. The company sees Brevard County as an attractive market due to its space industry, defense companies, cruise port, and proximity to Orlando.

Driftwood received $30 million in marketing grants from the county and overcame regulatory challenges, including a voter referendum to allow a taller building. The new hotel is expected to help revitalize Cocoa Beach and reduce reliance on vacation rentals in the area.

Existing Home Sales Set to Reach Near 30-Year Low, Despite Recent Drop in Rates

Fannie Mae's Economic and Strategic Research (ESR) Group, in its September 2024 commentary, predicts that existing home sales in the U.S. will remain sluggish for the rest of the year, reaching the lowest levels since 1995. Despite falling mortgage rates and a 20% increase in housing supply, especially in the Sun Belt and Mountain West, demand for homes is constrained by high prices and affordability issues. These regions have seen a surge in new construction, creating competition for existing homes. The ESR Group believes a combination of further mortgage rate reductions and softening home prices relative to income growth will be necessary to boost sales.

The U.S. economy is transitioning to slower growth, with inflation nearing the Federal Reserve's 2% target. As a result, monetary policy is expected to shift to a more neutral stance. However, economic growth is likely to remain weak in the near term before returning to long-term trends by late 2025. Affordability will continue to be the main constraint on housing activity through 2024, with full-year home sales expected to be at their lowest since 1995.