An Athlete's Paradise: Miami Attracting Global Sporting Events
Major sporting events promote a city globally, attract new residents and fuel commercial investment.
On Tuesday, Miami hosted its first Major League Baseball All-Star Game. Hosting major events such as the 88th annual Midsummer Classic and this month's El Clásico soccer game between Real Madrid and Barcelona have an immediate and long term impact on the South Florida economy.
Miami's All-Star Game is expected to contribute $80 million to the local economy, according to the Greater Miami Convention and Visitors Bureau.
Then there's the long term impact. Visitors who come to Miami for the sporting events see Miami's beaches, lifestyle, skyline and parks and envision living here. Miami's lifestyle is also promoted during the sporting event's telecasts nationally and internationally.
The MLB All-Star Game is the most viewed all-star game out of the four major U.S. sports. The game was televised worldwide by partners in more than 160 countries via MLB International's independent feed.
The 2017 MLB All-Star Game in Miami is not only the first to be played in Miami, but the first to take place in the state of Florida. The 2017 All-Star Game is perhaps the largest showcase to date for Marlins Park, a ballpark that opened in 2012.
The event involves more than a singular event. The MLB All-Star Game has transitioned into All-Star Weekend, with Miami also hosting a popular MLB FanFest, Celebrity Game, Futures Game, Home Run Derby and All-Star Game.
About 100,000 tickets were sold for Miami's FanFest, which was heled at the Miami Beach Convention Center. Nineteen hotels in Miami-Dade County have contracted with MLB to host attendees for the event.
National Exposure
The 2016 All-Star Game in San Diego drew 8.71 million viewers and a 5.4 household rating, according to Nielson's live-plus-same-day data. While the numbers were down from the 2015 game, the MLB All-Star Game remains the most viewed All-Star Game out of the four major U.S. sports.
Sport Ratings
MLB All-Star Game (Fox) 5.4 rating, 8.71 million viewers
NFL Pro Bowl (ESPN) 4.5 rating, 8 million viewers
NBA All-Star Game (TNT/TBS) 4.3 rating, 7.6 million viewers
NHL All-Star Game (NBCSN) 0.9 rating, 1.595 viewers
Miami's El Clásico to be broadcasted in 185 Countries
El Clásico, the matchup between soccer supernovas Real Madrid and Barcelona, will be played in the United States for the first time. The franchises will play July 29 at the Hard Rock Stadium in Miami Gardens.
Barcelona's Lionel Messi and Real Madrid's Cristiano Ronaldo will lead their superstar teams in a highly-anticipated preseason match.
When the two teams met in April 2017, more than 800 professionals covered the game. International TV broadcasters showed the game in 185 countries with a potential audience of 650 million spectators.
It will be just the second time that Real Madrid and Barcelona play a friendly on foreign soil. The only other time occurred in 1982 when they placed a third-place match in a postseason tournament in Venezuela.
Like the All-Star Game, there will be a series of events before the big game. Miami's Bayfront Park will run endless events with former players and celebrities. Marc Anthony will perform at halftime of El Clásico in Miami.
Super Bowl 2020 in Miami
Miami is also set to host the most-watched U.S. sporting event: the Super Bowl.
The Dolphins play in state-of-the-art Hard Rock Stadium in Miami Gardens. Owner Stephen Ross spent roughly a half billion dollars to modernize the stadium last year. The improvements included a $250 million shaded canopy. The Dolphins' home stadium has hosted five Super Bowls, America's most-watched sporting event. Miami will host another Super Bowl in 2020, the NFL announced.
Hard Rock Stadium isn't just for football. The Brazil men's national team will play a series of matches at Hard Rock; Real Madrid will visit the stadium in 2017. The stadium is also Miami-Dade County's only true outdoor concert venue. The stadium plans to host major music festivals and more.
World Baseball Classic in Miami
This spring also saw Miami host the World Baseball Classic, a quadrennial tournament that pits nation against nation during spring training.
Miami hosted six WBC games in total, all in Pool C, which also includes Canada and Colombia. Marlins Park's roughly 37,000 seats were filled on most nights, including the sold-out United States vs. Dominican Republic game.
Miami: An Athlete's Paradise
International home buyers want world-class entertainment, and Miami's three major sports squads are providing it in new or relatively new venues. The NBA's Miami Heat, Major League Baseball's Miami Marlins and NFL's Miami Dolphins have each won championships and gained international recognition.
Downtown Miami's resurgence was underway when LeBron James signed with the Miami Heat in 2010, but his team's success helped encourage residents, business owners and developers to relocate or do more business in Miami.
Today, Downtown Miami has more than doubled its population to 80,000 in the last decade. Realtor.com named Downtown Miami as the nation's fourth-fastest growing neighborhood. Downtown cultural institutions like the Adrienne Arsht Center for the Performing Arts and the Perez Art Museum are attracting new residents and businesses.
Major League Soccer coming to Miami?
Legendary soccer player and global icon David Beckham, who used to play for Real Madrid, is planning to build a new, 25,000-seat Miami stadium for a new Major League Soccer expansion team. Multiple reports say the team may begin playing in 2019.
Soccer, of course, is the world's most popular sport. According to FIFA's most recent Big Count survey, there are 265 million players actively involved in soccer around the world, roughly about 4 percent of the world's population.
Soccer is a perfect fit for South Florida as the region is an international melting pot with many residents coming from countries where fùtbol is a national passion.
Miami Real Estate: A Center for Global Investment
Construction cranes in Downtown Miami and throughout South Florida help tell the story of a fast-growing population center and global business hub. Miami's skyline — a visual marvel with awe-inspiring, high-rise buildings overlooking the Atlantic — has changed more rapidly than any other American city. Global investment from an array of countries have helped fuel the development.
Foreign real estate buyers purchased $6.2 billion of South Florida residential properties in 2016, up from $6.1 billion a year ago, 2016 Profile of International Home Buyers of MIAMI Association of REALTORS® (MIAMI) Members. The annual survey, which was conducted by MIAMI and the National Association of REALTORS® (NAR), is just one indicator of how attractive South Florida has become to international buyers.
According to NAR's 2016 Profile International Residential Real Estate Activity in Florida, more than half of all international home sales in the entire state of Florida (52 percent) happen in Miami-Fort Lauderdale-West Palm Beach.
An Appreciating Asset
At a time when stocks, bonds and world economies are declining, Miami real estate offers an appreciating asset to global investors.
With its close proximity and easy access to Latin America, Miami has long attracted international home buyers seeking a secure place to invest their money and a safe place to live with their families. Events in other global markets, including the economic slowdown in China, will only strengthen South Florida's position as a global destination for foreign investment.
Top Countries Investing in South Florida
The countries of origin for consumers purchasing properties in Miami-Dade, Broward, Palm Beach and Martin counties are:
1. Venezuela (15 percent of South Florida foreign purchases)
2. Argentina (11 percent)
3. Brazil and Colombia (10 percent each)
4. Canada (6 percent)
5. Mexico, France & Peru (4 percent each)
The top tier countries of origin — Venezuela, Argentina, Brazil, Colombia, Canada, Mexico, France and Peru — account for 64 percent of total South Florida international closed sales.
By dollar volume, Venezuela, Brazil, Argentina, Canada and Colombia accounted for nearly half of the $6.2 billion of South Florida international home sales in 2016. Venezuelan and Brazilian buyers topped the list with $868 million and $861 million in sales volume, respectively.
The top tier of countries continues with each at 3 percent of international sales:
● Italy
● Ecuador
● China
● Dominican Republic
● United Kingdom
Next tier countries of origin are: Spain, Germany, Australia, Honduras, South Korea, Russia, India, Costa Rica, Japan, Malaysia, Chile, Panama, Nicaragua and Portugal.
Top Countries by County
The top countries of origin for consumers purchasing properties in Miami-Dade are:
1. Venezuela (17 percent)
2. Brazil (15 percent)
3. Argentina (14 percent
4. Colombia (8 percent)
5. Italy, Mexico & Canada (4 percent each)
Other top countries include Canada, France, China, the Dominican Republic and Peru.
The top countries of origin for consumers buying real estate in Broward County are:
2. Colombia (17 percent)
3. Canada (13 percent)
The top countries of origin for consumers buying real estate in Palm Beach County are:
2. Venezuela (9 percent)
3. Brazil, Germany & Italy (7 percent each)
4. Argentina, Colombia, Ireland & Russia (4 percent each)
The top countries of origin for consumers buying real estate in Martin County are:
2. Australia & Brazil (13 percent)
3. Germany & Venezuela (8 percent each)
Attracting Foreign Investment
In addition to Miami's glamorous locale and all-year sunny weather, South Florida's unique multiculturalism, growing jobs sector and startup business culture attract global investors and home buyers.
Miami is the most international city in the U.S. About 51.3 percent of Miami residents are foreign born and the Miami-Dade County population speaks 100 languages. Miami's concentration of foreign-born residents is more than 2 ½ times the national average of 19.4 percent, according to the U.S. Census.
Once reliant on just tourism and real estate, Miami has diversified its economy to become one of the world's top business hubs. Personal finance website Wallet Hub recently ranked Miami as the second-fastest growing economy among large U.S. cities, according to data from 2010 to 2014. Miami also finished No. 1 in full-time jobs increase; No. 1 in working-age population growth; No. 6 in poverty-rate decrease; No. 7 in business growth; and No. 10 for median household income growth.
Top Market for the Wealthy
Miami offers ultra-high-net-worth individuals the ability to purchase a luxurious home with access to superior schools and shopping opportunities akin to London. In addition to South Florida's weather and beaches, the world's elite like Miami for its developing art scene. The Art Basel show draws the world's top collectors, and the Wynwood neighborhood has gained national and global attention for its trendy local art. The Adrienne Arsht Center for the Performing Arts and a waterfront art museum opened recently in Miami. A new science museum will open next year.
The lack of a state income tax also leads U.S. citizens, particularly those living in the colder climates in the Northeast, to establish residency here. The affluent from high tax states like New York and Connecticut can afford to purchase more expensive homes in Miami because of the tax structure.
Global Investment Reshaping Miami
Miami's ability to attract global investment is not just seen in its robust real estate, population and start-up companies. It can be seen in its booming retail.
South Florida has numerous significant retail projects in the works, from the 500,000-square-foot open-air shopping center under construction at Brickell City Centre to the $1.7 billion planned mixed-use development Miami Worldcenter to proposed renovations at Sunset Place Shops and CocoWalk. Miami's strong tourism and local demographics are making South Florida a top investment draw.
As a center for global investment and a major destination for international home buyers, South Florida is well positioned to continue growing as a world-class global region.