“Window of opportunity”: commercial real estate by the sea in Ormond at a competitive price
Local estate agents are seeing increased interest in Ormond Beach, a sign that could bode well for the area’s revitalization.
Demand for commercial real estate peaked in the second quarter of 2021, although activity began to pick up at the end of 2020. The Quality Inn and Suites located at 295 S. Atlantic Ave. sold for $ 3.5 million (to become a Comfort Inn), and soon after, the Chateu Mar Beach Resort (formerly Howard Johnson) located at 507 S. Atlantic Ave. sold for $ 3.1 million.
Realtor John Haley, of Coldwell Banker Premier Properties, specializes in the hospitality industry and said he is seeing his prediction of more people and buyers coming to the area come true.
“Hoteliers want two things: water and tourism,” Haley said. “Ormond Beach clearly provides that.”
But it’s not just new buyers; existing hoteliers are also looking for other properties, especially beachfront land, which is scarce. Haley said he had cash buyers with “huge interest” who just couldn’t find packages.
One of the last remaining parcels of vacant oceanfront land is at 251 S. Atlantic Ave., located across from the former Florida hospital site. The land was sold for $ 2.55 million in 2011, and although there have been no site plan submissions for a new hotel, Ormond Beach planning director Steven Spraker has confirmed that there had been “initial discussions” regarding the ownership.
The old hospital site, now also vacant after the building was demolished in 2018, was recently contracted less than a week after it was put on the market, according to Haley.
Other commercial properties sold at Ormond-by-the-Sea 2021 include Betty’s Cafe A1A and Ocean Crest Motel.
With very few vacant plots available, what is available is quickly reclaimed, said John Adams, president of Adams, Cameron and Co. This includes properties available for rent, including those at the Ormond Mall in Ormond-by. -the-Sea, where many spaces remained vacant for a long time. Realty Pros is currently marketing the spaces left inside the old Security First building at 140 S. Atlantic, and it’s filling up fast.
“Lately there’s so much more demand, and there’s an old adage that commercial real estate follows residential real estate,” Adams said. “So everything you see in the residential is what you are going to see in the commercial soon after.”
Adams added that realtors were looking for people interested in listing their properties due to increased demand. This bodes well for all residents, he explained.
“We all love that we can go down A1A and stop and find a restaurant or a retail establishment, or something along that line,” Adams said. “Everything is new.”
While Julian’s has been one of his favorite restaurants in Ormond Beach for many years, and he loves the history of Ormond Beach, there are some properties that have not stood the test of time. A new gift shop will replace the old restaurant. It is the construction that will revitalize the neighborhood a bit, sad Adams.
Properties like Fountain Square Village and Old Lucky’s – which will soon open as a new Publix – are among those that have undergone upgrades in recent times.
Add to that the lower prices in the area compared to other seaside communities, and Haley and Adams said buyers are seeing the opportunities present at Ormond Beach.
“There is a window of opportunity now like I’ve never really seen before,” Haley said.
Ormond Beach has been underrated “for years,” Adams said, and people are finding that the area also has good tourism, a stable consumer base, and beautiful natural resources.
“When you put all of that together, there’s a lot of opportunity out there,” Adams said.