SWF builders post strong sales, traffic

COURTESY PHOTO Felicita at Mediterra. The developer, Bonita Bay Group, continues to post strong sales. If the first two months of 2008 indicate a trend, news from several developers, builders and industry insiders offers encouraging signs of momentum in Southwest Florida's new homes market.

Following on the heels of doubled sales in January from a year ago, Bonita Bay Group continues to post strong sales numbers. The company reports 87 sales in four master-planned communities during January and February, a 112 percent increase over the number of sales recorded for the same period last year. The sales included single-family homes and homesites, coach homes and villas in Verandah in Fort Myers, Mediterra in North Naples, Sandoval in Cape Coral and TwinEagles in Naples, generating a sales volume of more than $40 million.

"We are pleased with the activity we are seeing at all of our communities this year and believe that market conditions continue to be ideal for those looking to purchase a home in Southwest Florida," said Kitty Green, president and CEO of Bonita Bay Group. "In addition to robust sales numbers, we've seen nearly one-and-a-half times the number of visitors to our communities compared to last year. And because we offer a wide range of residential choices along with the amenities people desire in a Florida home, many of these visitors are not waiting, but are making a buying decision to purchase the home they want now."

COURTESY PHOTO Carlyle Model, DiVosta Homes, Ave Maria. Brenda Talbert, executive vice president of the Collier Building Industry Association, said she is encouraged by the reports of strong sales and high numbers of visitors from builders and developers.

"There are buyers and there are lookers out there right now," Talbert said. "And the greatest success stories of those who are turning lookers into buyers are coming from the companies that are making the investment to actively market their communities, lifestyle and product."

Stock Development, which recently held Parade of Homes events at Lely Resort in Naples and Paseo in Fort Myers, has reported strong sales as well. According to Claudine Legér- Wetzel, vice president of sales and marketing for the company, "We have had 137 sales since January and 108 of those were at Lely."

COURTESY PHOTO Paseo Village Center. Wetzel attributes the success to several key factors, including a concerted advertising and promotion effort to drive traffic to their locations and to encourage participation in the Parade of Homes events.

"Since we began our promotional efforts in mid January, we've seen an immediate surge in visitors, averaging between 150 and 200 visitors a week to some of our sales offices," said Wetzel. "Quite frankly, we hadn't seen those kinds of numbers in two years." Wetzel says that the number of Parade of Homes visitors at Lely alone topped 2,500 over the five-day event.

Jill Hoffman, vice president of sales and marketing for Pulte Homes' Southwest Florida market, also attributes promotions - combined with limitedtime incentives for buyers - to the success that Pulte has seen so far this season.

"We have enjoyed increased traffic, up about 35 percent from this period last year," she said. Although the company didn't release sales figures for the region, Hoffman says Pulte exceeded sales expectations by some "300 percent" during its recent "Leap 4 Joy" event, a four-day promotion that offered special incentives on available homes at their communities in Lee and Collier counties. Pulte Homes markets new home communities in Southwest Florida for all three company brands: Pulte Homes, DiVosta Homes and Del Webb..

COURTESY PHOTO Carriage Homes, Pulte Homes, Sandoval. Lee Building Industry Association has joined in the promotional efforts for the industry with a recent "Buy Now" consumer education campaign, designed to promote the advantages of purchasing a new home in the current market. The "Buy Now" campaign (www.buynowswfl.com), financed with a $40,000 grant from the National Association of Home Builders and contributions from Lee BIA members, includes a Web site, media relations effort and advertising donated or provided at discounted rates by area publications and broadcasters.

JoAnn Orr, Lee BIA assistant executive vice president, believes that buyers are starting to recognize the market urgency.

"Right now, there are only so many homes available with the best location and lifestyle amenities that represent a solid value in the current market," says Orr. "When these homes are gone, they are gone."

Others agreed with Orr.

"The success we have seen so far this year does seem to indicate signs of improvement in the market," says Metrostudy's South Florida Market Director Brad Hunter. Metrostudy provides quarterly data on the housing market nationwide. Although the first 2008 Metrostudy report will not be available until the end of April, Hunter says that his firm is finding that more sales are occurring this year than last year at a number of developments in the market, citing indicators like those from the Naples Area Board of Realtors whose Multiple Listing Service numbers for pending sales are up 15.2 percent from last year (706 in 2007 vs. 813 in 2008).

Hunter attributes current market pricing and incentives, as well the recent passing of tax relief legislation, as contributing factors. "There is a pent-up demand and the new tax law, which allows owners portability on their current property tax rate, may be just the added incentive that someone considering a move to a new home may need to make that move now," says Hunter.

With the seasonal visitors here now, Bonita Bay Group's Green believes the key to continued success boils down to the basics.

"At Bonita Bay Group, we have always believed that our success as a company is based on providing our customers with the ideal marketing mix - the right product with exceptional homes and world-class lifestyle amenities, in the right places - some of Southwest Florida's most beautiful natural settings," says Green. "Combined with our current promotional efforts and incentives for buyers, that has resulted in our strong start this year."