PCB condo construction stalls: Slowing market leaves some projects locked up
Thursday , June 08, 2006 13:02 ET
By Valerie Lovett
Jun 08, 2006 (The News Herald - Knight Ridder/Tribune Business News via COMTEX) -- PANAMA CITY BEACH -- Stalled construction on a condominium project in Panama City Beach has residents riled over what they say constitutes an eyesore -- one that likely will not go away anytime soon.
Beachscape -- a 234-unit, 23-story highrise -- is slated to replace the old Seakove Condominiums on the beach's western end.
Nearby resident Tim Ivers said the land was bought and construction began, but after razing the old building, digging a hole and burying pilings, work abruptly stopped.
"There's no indication of what happened, or if they're going to come back," Ivers said. "If they would finish, it would be an improvement. As quickly as they were there, they were gone. We're wondering what's going to happen now."
Not much, at least for a while.
"We stopped basically due to lack of sales and market conditions," said Project Manager Jason White. "Our future plans are to hold on to the property until market conditions become more favorable."
Crescent Resources, based in Charlotte, N.C., is the developer behind Beachscape and has several similar projects in Charlotte, Tampa and Fort Walton Beach.
All of those, White said, are on target for completion, despite market lulls.
"I don't think we've seen a market slow as much as it has in Panama City," he said, adding that the dip began in August.
Crescent bought the Seakove property in April 2005, and work officially stopped on the condominiums in March.
White said he does not know how long it will take to resume construction.
"Crescent is a large enough company where we can hold on to the property and wait," he said.
The Beachscape appears on the Panama City Beach City Council's agenda for this evening, and the developers are seeking a change to a development agreement that would allow them to build a parking lot on the north side of Front Beach Road to 45 feet, rather than 40.
Panama City Beach City Planner Mel Leonard said the council will decide tonight whether to schedule public hearings in advance of any vote to change the agreement. He said the item does not relate to the project's construction at all.
Beachscape is not the only stalled project in Panama City Beach.
At least two others within city limits -- the second phase of the Boardwalk Beach Resort and the next phase of the Calypso -- were in the works but faltered with the real estate market, Leonard said.
"There have been so many projects that have stopped at one time or another, paused at one time or another," said Panama City Beach Mayor Lee Sullivan.
"I know market forces drive those things to the left and to the right, but usually when people have bought property and start to build and quit, it's not because they got tired and wanted a break."
According to a report on the city's Web site, of the 50 condominium projects within the city's limits that replace older "mom-and-pop" motels or trailer parks, 13 have received a certificate of occupancy and comprise 2,710 new units.
Fifteen condominiums, including the Beachscape, are listed as "under construction" and another 11 have an approved development order but have made no headway in construction, including the Miracles Resort planned for the old Miracle Strip Amusement Park property.
Ten developments have not been issued a development order.
If all of the planned developments were completed, 16,150 new units would be available.
Thursday , June 08, 2006 13:02 ET
By Valerie Lovett
Jun 08, 2006 (The News Herald - Knight Ridder/Tribune Business News via COMTEX) -- PANAMA CITY BEACH -- Stalled construction on a condominium project in Panama City Beach has residents riled over what they say constitutes an eyesore -- one that likely will not go away anytime soon.
Beachscape -- a 234-unit, 23-story highrise -- is slated to replace the old Seakove Condominiums on the beach's western end.
Nearby resident Tim Ivers said the land was bought and construction began, but after razing the old building, digging a hole and burying pilings, work abruptly stopped.
"There's no indication of what happened, or if they're going to come back," Ivers said. "If they would finish, it would be an improvement. As quickly as they were there, they were gone. We're wondering what's going to happen now."
Not much, at least for a while.
"We stopped basically due to lack of sales and market conditions," said Project Manager Jason White. "Our future plans are to hold on to the property until market conditions become more favorable."
Crescent Resources, based in Charlotte, N.C., is the developer behind Beachscape and has several similar projects in Charlotte, Tampa and Fort Walton Beach.
All of those, White said, are on target for completion, despite market lulls.
"I don't think we've seen a market slow as much as it has in Panama City," he said, adding that the dip began in August.
Crescent bought the Seakove property in April 2005, and work officially stopped on the condominiums in March.
White said he does not know how long it will take to resume construction.
"Crescent is a large enough company where we can hold on to the property and wait," he said.
The Beachscape appears on the Panama City Beach City Council's agenda for this evening, and the developers are seeking a change to a development agreement that would allow them to build a parking lot on the north side of Front Beach Road to 45 feet, rather than 40.
Panama City Beach City Planner Mel Leonard said the council will decide tonight whether to schedule public hearings in advance of any vote to change the agreement. He said the item does not relate to the project's construction at all.
Beachscape is not the only stalled project in Panama City Beach.
At least two others within city limits -- the second phase of the Boardwalk Beach Resort and the next phase of the Calypso -- were in the works but faltered with the real estate market, Leonard said.
"There have been so many projects that have stopped at one time or another, paused at one time or another," said Panama City Beach Mayor Lee Sullivan.
"I know market forces drive those things to the left and to the right, but usually when people have bought property and start to build and quit, it's not because they got tired and wanted a break."
According to a report on the city's Web site, of the 50 condominium projects within the city's limits that replace older "mom-and-pop" motels or trailer parks, 13 have received a certificate of occupancy and comprise 2,710 new units.
Fifteen condominiums, including the Beachscape, are listed as "under construction" and another 11 have an approved development order but have made no headway in construction, including the Miracles Resort planned for the old Miracle Strip Amusement Park property.
Ten developments have not been issued a development order.
If all of the planned developments were completed, 16,150 new units would be available.
