B
illionaire hedge fund manager Ken Griffin's investment in Miami's Brickell office market is driving up demand for executive condos among out-of-town buyers, according to a panel of experts at The Real Deal South Florida Real Estate Forum. Griffin's $1 billion mixed-use tower will house the headquarters of his firms, Citadel and Citadel Securities, and is expected to attract more major financial services and law firms to the area.

    The "Citadel effect" has already led to increased sales of condos in Brickell, with prices reaching as high as $3,000 per square foot. Camilo Miguel Jr., CEO of Mast Capital, credits Griffin's influence for the surge in demand, saying his firm has sold units to Citadel executives and other major companies moving into the area.

    Other branded condo projects in Brickell are also attracting out-of-state buyers, including St. Regis Residences and Residences at Mandarin Oriental, Miami. Edgardo Defortuna, CEO of Fortune International Realty, notes that these projects have been selling well, with some units priced above $3,000 per square foot.

    The panelists agreed that Griffin's investment has raised the profile of Brickell, but also pointed out that the neighborhood was already gaining momentum over the past decade. Swire Properties' Henry Bott credited his company's investments in the area, including the development of Brickell City Centre, for helping to create a "sweet spot" that has attracted more developers and buyers.

    The influx of major companies and high-end developments is expected to continue driving up demand for condos in Brickell, with prices likely to appreciate significantly over time. As Defortuna noted, "the potential appreciation of these new units is very high."