Inside PROFILEconnect: State of the Market Miami 2023 Presented by The Lighting Studio

On September 21 PROFILEmiami hosted the sold-out ‘PROFILEconnect: State of the Market Miami 2023 Presented by The Lighting Studio’ at Eclectic Elements Miami showroom in Wynwood featuring some of the biggest names in the Miami real estate industry. Attendees came out in record numbers to hear from Fortune International’s Edgardo Defortuna, Gil Dezer, Douglas Elliman’s Jay Phillip Parker, Kobi Karp, ONEsir’s Daniel de la Vega, Ronny Finvarb, Royal Palm Companies’ Dan Kodsi, and others as they discussed current and future state of Miami’s commercial and residential real estate markets. The evening featured two engaging panels matched with a trendy evening soirée of bespoke networking and cocktails.

Guests were immersed in a high-energy atmosphere, which featured cocktails by E11EVEN Vodka, live art installations, sounds by Miami-based DJ DAKAP and a chance to explore the newly revealed Rolls Royce Spectre, the first fully electric Rolls Royce which was on display by Braman Rolls Royce. The evening was highlighted by two engaging panels exploring the ‘Residential State of the Market’ & ‘CRE State of the Market’. The evening was hosted by Demetri Demascus and Katya Demina of PROFILEmiami; Monica Suleski of Eclectic Elements and Sexy Bedding; and Gustavo Tello and Vivian Sanchez of The Lighting Studio.

PROFILEconnect brings together Miami’s real estate industry and business professionals to network and connect outside of a business setting. PROFILEconnect is attended by Miami’s top investors, developers, business professionals, brokers, financiers, architects and designers. Guests have the opportunity to network and share their experiences in South Florida through thoughtful discourse, while forging new relationships with industry leaders.

Thank you to our sponsors:

The Residential Panel

The ‘Residential State of the Market’ Panel explored pricing and availability across South Florida, luxury real markets, new developments, where are the buyers coming from, factors impacting pricing and demand, mortgages, how new technology is impacting real estate and future market outlook. Panelists include Edgardo Defortuna of Fortune International Group, the developer of St. Regis Residences, Sunny Isles Beach; Gil Dezer, the developer behind Bentley Residences Miami and Porsche Design Tower; Jay Phillip Parker, CEO of Douglas Elliman FL; Daniel de la Vega of ONE Sotheby’s International Realty; Nelson Stabile, Principal of Integra Investments and co-developer of St. Regis Residences, Miami; moderated by Simon Mass of The Condo Store.

Watch the full panel on YouTube below:

The Commercial Panel

The ‘CRE State of the Market Panel’ offered an immersive discussion exploring current commercial real estate markets, which asset classes are poised for growth, entertainment & hospitality, capital markets and how are they impacting commercial real estate prices and future market outlooks for multifamily, office, retail, hospitality and industrial real estate. Panelists include hotelier Ronny Finvarb of Finvarb Group, hotel and multifamily developer Dan Kodsi of Royal Palm Companies, multifamily developer Lisette Calderon of Neology Life, financier Scott Wadler of Berkadia, commercial investor and developer Ron Bloomberg of Bloomberg Equities, and legendary architect Kobi Karp.

Watch the full panel on YouTube below:

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PROFILE Exclusive: 12 Questions With Simon Mass of The Condo Store

PROFILEMiami had the exclusive opportunity to sit down with Simon S. Mass, CEO and Founder of The Condo Store (TCS). Simon is often recognized as the “architect” of the pre-construction condo investment sector in Canada, with over $25 billion in project transactions and a distinguished reputation that spans across North America. The Condo Store, which now hosts over fifty team members and more than 350 sophisticated high-net-worth clients from around the globe, started as a ten-person boutique firm he co-founded in 2004. Simon and TCS recently launched operations in Miami.

Simon has long-term relationships with hundreds of clients that include doctors, medical practitioners, and business professionals across Canada and now the United States. TCS clients account for over $500 million in annual investments.

It is common knowledge that condo investments have been one of the highest grossing asset classes over the past 25 years. These high-level personal connections allow TCS clients to have an advantage in the sector and ensures investing into a real estate project is targeted and knowledge based.

PROFILEmiami recently caught up with Simon amid his busy schedule managing TCS’s launch in Miami and developing Casa B&B Italia, a new construction luxury private residence on Miami’s Venetian Islands designed by Doo Architecture and winner of the 2020 Interior Design Magazine Best of Year for Residential Unbuilt Category and the 2019 Rethinking the Future Awards for Private Residential Concept:

PROFILE: Tell us about your background, how did you get involved in real estate?

Simon Mass: Purely by chance. I left the United Kingdom after graduating with an Engineering and Management undergraduate degree from Bath University to enroll into an MBA program at Schulich School of Business in Toronto, Canada. The idea was to graduate with an MBA, complete the marketing speciality, and enter the world of business back in London, UK. Honestly, at that time, I didn’t have a specific career path in mind and was open to finding that path organically and with no urgency, just like any other typical 21-year-old.

Real estate wasn’t on the agenda for me in terms of a business environment. I had a definite and keen interest in architecture and interior design but that was really for my own personal and vivid imagination. I was always thinking about and looking at real estate publications wondering what appealed to me and what I thought I’d like to own someday for my home.

PROFILE: How did you first get involved investing in pre-construction condominiums?

SM: While adjusting to the colder climate and heavy snowfall that are part of the winter season in most of Canada, I got lost in a snowstorm trying to find the University campus and stumbled upon a trailer that housed the sales center for a pre-construction development. Before I knew it, I had the real estate bug and fell into the pre-construction investment world.

The minute I realized that I could enjoy my time at work, make a living and grow a business and not be working for someone else, I knew that I should take extra care in understanding and utilizing the pre-construction investment model and not just look at it as a small-time side hustle while still trying to discover my calling. Without looking back, I quickly decided to make it my calling and decided to bring in many friends and family for the ride that proved to be a small steppingstone to growing the wealth of so many people around me that followed the same path. As the saying goes, the ‘snowball effect’ kicked in and people were contacting me and saying they had heard that I had insider deals with pre-construction developers, and they wanted to be given the same opportunity to make a lot of money and invest in a bricks and mortar opportunity versus risking their hard-earned money in the speculative stock market.

PROFILE: What was your first real estate deal that you worked on?

SM: This dates to the mid 1990’s and was a catalyst to my eventual decision to stay in Toronto and slowly set up the first business model for TCS. Shortly after the snowstorm incident, with just a handful of friends and classmates, I managed to secure a small number of units in a master planned community in downtown Toronto. I believe it was just twenty units, which at that time was substantial considering the average broker in the mid-1990’s handled ten transactions per year. This first foray into bulk transactions allowed me to establish a relationship with the head of the sales and marketing division at the multi-billion-dollar development (which now spans several city blocks and has over 22 towers).

It became apparent right after this 20-unit bulk deal that prices were increasing at a substantial rate and that if I was able to convince developers to reduce the down payment requirement for my firm and keep the normal, much higher rate for the brokerage and general public, I would be able to skew the ROI’s (cash-on-cash returns) for our ventures to levels that would not be conceivable to most investors. This first project had multiple other phases and the initial phase sold out within a few weeks, therefore giving me the confidence that pricing for future phases would be much higher.

PROFILE: What is your investment philosophy in regard to investing in pre-construction condominiums?

SM: Our success has been derived in large part by working with the best and most powerful developers, focusing on gentrification locations, and staying in it for the long-term. With respect to growing the business, we have been almost entirely referral based as we are not an advertiser of any kind, and we do not even show our offers to the general public. Our clients appreciate that exclusivity and reward us by continuing to purchase and invest through our firm recognizing the returns that they have recorded over the years.

PROFILE: Tell us about The Condo Store and what you guys do?

SM: Extremely important to note that 90% of our clients are doctors and surgeons. From day one, I have had a connection to medical professionals as they were my friends who had also recently graduated and entered the work force in Toronto. I always felt somewhat guilty that I graduated with both an undergrade and postgraduate degree in under five years whereas my friends who decided to go into the medical sector would only enter the work force after 9-12 years of schooling alongside a massive debt. It didn’t seem fair, and I wanted to specifically bring them in; in a way that they would be financially rewarded through real estate investing through my direct involvement.

TCS partners with developers to secure a large number of units in a new pre-construction building; in high density projects, we seek a minimum of 25% of the entire inventory, and in low density buildings, we can go as high as 100% of the inventory. Once we have secured the project with special terms (highlighted by a low-down payment structure) through educating developers and their financial lenders that it’s safer to have pre-construction buyers to have six to seven figure salaries and secure earnings (i.e., doctors) with career paths that were practically guaranteed until retirement age, over every other demographic. We keep it simple in terms of presentation materials, doctors are far too busy for long investment decks. We present the opportunity to our clients in real time, with no favoritism or special treatment on a first-come, first-served basis.

We curate only the best investments for our clients, and if that means we do not have an offer for a few months or even a full year, then that is what we will do. We will not risk our reputation to send a ‘just OK’ investment deal to our loyal clients.

The core tenet that has built our referral-based business is having skin in the game. What that means is that for every offer we put in front of our clients, we (myself and business partner, John Mehlenbacher) invest in multiple units in each deal. We invest alongside our clients and that is what differentiates us from almost everyone in the space.

PROFILE: What have been some of the keys to TCS producing consistent, successful returns for your investors?

SM: Quality and time. We hand pick three or four of the best sites annually (out of 150+ launches) and develop them into lucrative leverage-based deals; we don’t deviate from the fundamentals of a solid investment and never chase a deal.

We are not just a real estate company; we are an investment company that specializes in real estate. Keeping true to our principles, where we invest side-by-side with our clients, we ultimately offer that rare quality of being in every deal that we present. With that, we do not pump out offer after offer every other week and we are not willing to sell run-of-the-mill projects that, in our opinion, won’t allow for significant double digit returns to our clients.

PROFILE: You are now opening in Miami, can you discuss your expansion to South Florida?

SM: We have seen many of our doctor clients leave Canada for the United States. They asked for our assistance, and we also understand the magnitude of the U.S. market as it’s ten times larger than Canada population wise, and that allows us to work with millions of doctors all living, working, and seeking investments in Miami.

With our track record amongst their peers, we feel that we can grow our referral-based business within the medical practitioner space at a level that will over time be two or three times the size of our Canadian operations.

Over the years we have been able to understand the needs and wants of our core clients, and we can bring that outlook and experience to an entirely different market. We’ll bring the fundamentals of what a great real estate investment is and push to create the same deals and opportunities in Miami that we are known for in Toronto.

PROFILE: What is your outlook on the real estate market in Miami amid a changing economic environment and rising interest rates?

SM: Miami has unique characteristics that can influence its real estate market, so it goes without saying that I am very bullish on real estate investing in the right locations across Florida.

With a dynamic tourism sector that keeps on growing, and foreign investments that is now super-charged with an aggressive domestic immigration push from American citizens changing their residence to Florida and moving here and making it their home, there is so much positive news for the sunshine state.

Miami's real estate market is for the time being only minimally being influenced by a changing economic environment and rising interest rates. Looking to the future, I believe that we have yet to see the actual real estate boom that Miami (or generally Florida) has been chronicled to have been in for years. The next 10 years will most likely see massive price appreciation that will make this city even more expensive on many levels.

PROFILE: What is the biggest hurdle that you have had to overcome in your career?

SM: I’ve been very fortunate and would be the first to call myself a workaholic since a very early age. There’s a fundamental reason for my success as I’ve had the advantage of loving what I do and as such, not counting down the hours each day to end my work schedule and start on my social calendar.

I’ve overcome the hurdle of listening to all the noise in the market by keeping my mind open. Information is power, so listening to everyone but not being influenced by everyone is the challenge. For example, taking in information from so-called ‘institutional experts’ but not being bound to call it solid. Especially from those ‘experts’ who in my humble opinion are so often wrong when it comes to the real estate market, and it’s future.

I have also found that economists, for the most part, always have a skewed perspective on the value proposition of the real estate space and tend to downplay the psychological consumer mindset when it comes to property ownership.

I have been lucky that my gut feelings combined with analyzing the economic fundamentals have typically played out well; and let’s not forget that Toronto has been on a 32 year real estate growth run. That has obviously helped in our firm’s double digit, cash-on-cash, annual returns.

PROFILE: What was the first gift you bought yourself after closing a big deal or first big development?

SM: Very cliché…I walked into a Porsche dealership and an hour later, drove out in a 911. Since I was a small child, I was always in love with sports cars, so I was fortunate enough to start with a 911 in my early twenties with money that I had made from my own hard work and risk-taking tactics.

I still treat myself after every single venture as I believe that to stay motivated, an entrepreneur needs to be self-incentivized. I will add a charitable donation to my self gift-giving ritual as I feel it’s imperative that we realize how fortunate we are and to give back, even if it’s a small donation. It’s a lifestyle necessity, in my mind, to count your blessings and pay it forward.

PROFILE: Describe your perfect Saturday night in Miami?

SM: So, it all depends on who the other friends or clients are, sometimes it’s a chill evening at one of my favorite restaurants in SoFi, for example, Call me Gaby where the ambiance of European dining in a unpretentious space is always inviting. Sometimes it’s a longer evening of cocktails and fine dining at one of the many restaurants that have opened in Miami (that have outposts all across the world), such as LPM, The Surf Club or Carbone.

I’ve never been a big drinker and prefer a good dinner over a few bottles of wine. Makes my Sunday mornings a lot more efficient and painless.

PROFILE: Where do we find you on your day off?

SM: If you ask anyone that knows me well, they will tell you that I need a day off.

I’m always “on” because I enjoy what I do, as making money for your friends and clients is beyond rewarding. Deal making is a undertaking that I’m very-very passionate about. I take my role in building wealth for clients very seriously – and that’s one of the main reasons that TCS is known as the largest pre-construction investment firm in Canada built on a referral network that keeps on growing.

Meet Our Residential Panelists For "PROFILEconnect: State of the Market Miami 2023 Presented by the Lighting Studio"

On September 21 PROFILEmiami is set to host our largest event yet as the next installment of PROFILEmiami’s highly-regarded PROFILEconnect bespoke networking event series will bring together some of the top developers and brokers in Miami to discuss the state of South Florida’s real estate markets. The 'State of the Market Miami 2023 Presented by The Lighting Studio’ will feature both a residential panel and a commercial panel matched with a trendy evening soirée of bespoke networking and cocktails by E11EVEN Vodka.

The ‘Residential State of the Market’ Panel will explore pricing and availability across South Florida, luxury real markets, new developments, where are the buyers coming from, factors impacting pricing and demand, mortgages and future market outlook. The residential panel features some of the top names in Miami’s residential real estate game, bringing togethers panelists with a combined $3+ billion of real estate currently under development and leading the three largest real estate brokerages, having overseen a combined $5+ billion in transactions since 2020. Panelists include Edgardo Defortuna of Fortune International Group, the developer of St. Regis Residences, Sunny Isles Beach; Gil Dezer, the developer behind Bentley Residences Miami and Porsche Design Tower; Jay Phillip Parker, CEO of Douglas Elliman FL; Daniel de la Vega of ONE Sotheby’s International Realty; Nelson Stabile, Principal of Integra Investments and co-developer of St. Regis Residences, Miami; moderated by Simon Mass of The Condo Store.

Thank you to our Sponsors:

Meet Our Panelists:

Edgardo Defortuna, CEO & Founder of Fortune International Group

Edgardo Defortuna is President, CEO and Founder of Fortune International Group, a Miami-based full- service real estate firm recognized throughout South Florida, Latin America and Europe as a leader in high-end luxury real estate. He oversees all of the company’s activities across all of its business units. Edgardo is involved with the strategic decision making of the group, as well as the day-to-day operations of each of its divisions.

He started the business in 1983, and quickly became a driving force in real estate. Through his company’s success and far reach into U.S., European and Latin American markets, Edgardo is widely recognized for having made a significant contribution to the internationalization of Miami and its reputation as a global business, trade and vacation hub.

Edgardo is currently developing the St. Regis Residences, Sunny Isles Beach; ORA X Casa Tua in Brickell; the Ritz-Carlton Residences, Pompano Beach; and Nexo Residences in North Miami Beach, amongst others. He has been one of the preeminent developers in Sunny Isles Beach and Brickell, having delivered Jade Signature; The Ritz-Carlton Residences, Sunny Isles Beach; Jade Beach; Jade Ocean; Jade Brickell; and Fortune House, amongst others.

Daniel de la Vega, President, ONE Sotheby’s International Realty

As President of ONE Sotheby’s International Realty, Daniel de la Vega has been instrumental in building the brand along Florida’s East Coast since the affiliate was founded in 2008. The leading luxury brokerage now operates across Dade, Broward, Palm Beach, Martin, Indian River, Brevard and Duval counties with 30 offices and over 1,300 associates who generate annual sales in excess of $8.1 billion. Daniel applies his background in finance and marketing to manage a property portfolio totaling $7 billion-plus in both new, luxury condo developments and existing listing inventory. Being immersed in real estate for most of his life, including more than 15 years as a professional broker, Daniel holds unique insight into mastering real estate deals and building relationships throughout the globe. He regularly travels the world, from Latin America to Europe and throughout the U.S., in order to expand ONE Sotheby’s International Realty’s network and form partnerships that better serve the company’s distinguished clients. These efforts have been vital to fortifying the company’s local reach and worldwide presence.

Daniel has a great appreciation for the convergence of real estate, art, design and culture, qualities that are synonymous with the vibrancy of South Florida and the Sotheby’s brand. He is an avid art collector, with more than 100 works in his growing collection, and is active in the art community as a Board of Trustee Member at the Pérez Art Museum and a past member of The National Young Arts Foundation and Guggenheim Photo Committee. He is also a member of the Young Presidents’ Organization. A native of Miami, Daniel earned a finance and marketing degree from Florida International University, where he served on the Leadership Advisory Board for the College of Architecture and The Arts, and he holds a Master’s in Business Administration from University of Miami, where he serves on the board of the University of Miami’s School of Law Real Property Development LL.M Board.

Gil Dezer, President of Dezer Properties

One of the youngest developers of luxury high-rise residential and condo-hotel properties in the United States, Gil Dezer has been instrumental in changing the face and value of South Florida real estate. He has earned wide recognition as a key developer at the forefront of the luxury brand partnership real estate trend and continues to actively partner with major brands to further spotlight South Florida to buyers globally.

Most recently, Gil announced his partnership with Bentley Motors to construct the first ever Bentley Residences, 200-plus oceanfront residences which will launch sales later this year. Standing at 749 feet and over 60 stories high, the property will be the tallest residential tower on a U.S. beachfront.

Other Dezer Development oceanfront projects include the first-ever Residences by Armani/Casa tower in partnership with the iconic fashion and furnishings designer, Giorgio Armani. Developed in partnership with the Related Group, the project recently achieved its $1 billion sellout. Gil also partnered with Porsche Design Group to deliver Porsche Tower, a 60-story ultra-luxury tower showcasing a one-of-a-kind Patented robotic parking system known as the “Dezervator,” which allows owners to park their vehicles in ‘sky garages’ directly next to their units. Gil also led the Trump Organization’s first foray into the South Florida real estate market through the successful development of Trump Grande Ocean Resort and Residences and Trump Towers.

Notable future projects include the Intracoastal Mall, which will bring 2,000 residences, 375,000 square feet of retail, 200,000 square feet of office, a hotel, harbor and park to the Miami waterfront site, transforming the nearly 30-acre property.

Gil holds a Florida real estate license and is the past president and Chairman Emeritus of the Developers & Builders Alliance (DBA), one of the world’s largest development and construction organizations. He is a past recipient of the Greater Miami Chamber of Commerce’s R.E.A.L. Award for Residential Real Estate – Condominiums, and has taken home the Platinum Personal Achievement Award for Sales Director of the Year for Trump Grande Ocean Resort & Residences for three years in a row at the annual Florida’s BEST Awards.

Active in the community, Gil holds several positions including co-founder of the Mount Sinai Medical Center Foundation; Young President of the Miami Heart Institute; and member of Florida Friends of Israeli Defense Forces (FFIDF); Project Cradle in Miami; WIZO Florida; and One Family Fund Organization.

Jay Phillip Parker, CEO of Douglas Elliman Florida

Real estate industry leader and veteran, Jay Phillip Parker has served as the Chief Executive Officer of Brokerage for Douglas Elliman’s Florida region since 2013. He is also President of Douglas Elliman Development Marketing, Florida.

Responsible for the advancement of a leading provider of luxury real estate services across Florida, he has successfully grown Douglas Elliman’s presence in markets from Miami to Jupiter to Palm Beach, St. Petersburg, Ponte Vedra and Naples with a total of 27 offices and more than 1,300 agents.

Jay has been a key figure in the growth of the brand, which is now represented in luxury real estate markets in 53 countries and six continents through its partnership with London-based Knight-Frank Residential.

A graduate of the University of Western Ontario in London, Ontario, Canada, Jay completed the study abroad program in Tel Aviv, Israel while earning his bachelor’s degree. He went on to earn his Juris Doctorate from the University of Miami School of Law in May of 1998. A member of the Florida Bar Association, Jay serves on the Board of Governors for the Miami Beach Chamber of Commerce, as President of the Executive Board of Mt. Sinai Medical Center Foundation and a member of the Miami Association of Realtors Leadership Board.

Nelson Stabile, Principal of Integra Investments

Nelson Stabile was raised in a town in the Brazil Amazon and moved to South Florida when he was 15 years old. As one of Integra Investment’s founders, he understands the ins and out of real estate development, bringing a well-rounded perspective to a diverse portfolio. Nelson oversees the company’s accounting and finance, underwriting, construction, and risk management.

With more than 20 years of experience, Nelson is enthralled by real estate development, having been involved in the industry throughout his career. His market insight and expertise has led him to spearhead the company’s expansion into alternative investment classes.

Adept in construction, Nelson previously served as business director for South Pointe Construction & Development Co., leading the consulting and custom projects department for notable residences, including Sole on the Ocean and Symphony Towers.

In 2022, Nelson was appointed president of the Builders Association of South Florida. He is also an active member of Urban Land Institute and the Brazilian American Chamber of Commerce.

Nelson earned a Master’s Degree in Engineering and Construction Management from Florida International University and a Bachelor’s Degree in Business Administration, with a concentration in International Finance and Marketing, from the University of Miami. He is fluent in English, Spanish and Portuguese.

Moderator: Simon Mass, CEO of The Condo Store

Simon co-founded a ten-person boutique firm in 2004 that evolved into The Condo Store that now proudly hosts over fifty team members and more than 300 sophisticated high-net-worth clients from around the globe. Often recognized in Toronto as the architect of the pre-construction condo investment sector, with over $10 billion in transactions and a reputation that spans across North America as the creator of the bulk condo investment space.

It is common knowledge that condo investments have been the highest grossing asset class over the past 25 years in Toronto. Consistent deal flow isn’t based on luck but rather, it comes from the strong relationships garnered with Canada’s largest and most prestigious developers. These high-level personal connections allow TCS clients to have an advantage in the sector and ensures investing into a real estate project is not like throwing a dart and wishing for the best.

Simon has long-term relationships with hundreds of clients that include doctors, medical practitioners and business professionals across Canada. These clients account for over $500 million in annual investments. Simon’s long-standing relationships with leading developers continues to fuel The Condo Store’s investment engine.

About PROFILEconnect: State of the Market Miami 2023 Presented by The Lighting Studio

On September 21 PROFILEmiami is set to host our largest event yet as the next installment of PROFILEmiami’s highly-regarded PROFILEconnect bespoke networking event series will delve into the 'State of the Market Miami 2023 Presented by The Lighting Studio’. The experience will feature two panels featuring some of the biggest players in Miami’s real estate industry as they discuss the state of Miami’s commercial and residential real estate markets, matched with a trendy evening soirée of bespoke networking and cocktails.

Immerse yourself in Wynwood’s high-energy atmosphere at the luxurious Eclectic Elements Showroom for bespoke networking and cocktails highlighted by two engaging panels exploring the ‘Residential State of the Market’ & ‘CRE State of the Market’. The relaxed and open PROFILEconnect setting provides an amazing opportunity to network with Miami’s top industry leaders and market makers, continuing post-panel with cocktails by E11EVEN Vodka and sounds by local Miami-based DJ DAKAP.

PROFILEconnect brings together Miami’s real estate industry and business professionals to network and connect outside of a business setting. PROFILEconnect is attended by Miami’s top investors, developers, business professionals, brokers, financiers, architects and designers. Guests will have the opportunity to network and share their experiences in South Florida through thoughtful discourse, while forging new relationships with industry leaders.

Thank you to our Sponsors: