Property owners of the Beachwood and Azalea Sands golf courses have made additional changes to a project they hope to bring to North Myrtle Beach, including reducing the number of units, lowering building heights, and reserving space for future development.

Beachwood Golf Corporation, Azalea Sands Golf Corporation and The Hartford Group LLC are proposing that the city annex and zone, as a planned unit development, about 313 acres of the Beachwood and Azalea Sands golf courses to redevelop the land.

Plans call for residential units, a mixed-use town center, featuring a regional shopping center, a resort hotel, office space, and marina and resort amenities on the site between U.S. 17 and the Grand Strand Regional Airport.

The owners reduced the number of units and reconsidered their design of the traffic patterns in the area at the council’s request.

Source: Janelle Frost, The Sun News, Myrtle Beach

US Airways Magazine has chosen the Myrtle Beach area as the December issue’s city profile, a 36+ page editorial feature which combines traditional travel related information with a comprehensive look at the economic drivers and industry sectors that shape the business landscapes and lifestyles along the Grand Strand.

“A unique editorial feature of this magnitude will emphasize what we as residents already know, that the Myrtle Beach area has remarkable diversity, innate charm and incredible potential for the increase of business and tourism,” said Brad Dean, president and CEO of the Myrtle Beach Area Chamber of Commerce. “We’re looking forward to having US Airways Magazine showcase the people and places that make each community along the Grand Strand so appealing and inviting.”

“Profile: Myrtle Beach and the Grand Strand” will examine in depth the people, places, industry and history of the Myrtle Beach area and will include topics spotlighting economic development and emerging industries, real estate, educational and healthcare resources, tourism and convention opportunities, dining, accommodations, recreation, and quality of life advantages. The “Profile: Myrtle Beach and the Grand Strand” editors, writers and photographers will be working closely with the local community and area leaders to generate story ideas and photographs. Marketing opportunities also will be available in the “Profile” for those businesses and organizations located in the Myrtle Beach and Grand Strand area.

US Airways Magazine is seen monthly by more than 5 million of the world’s elite business and leisure travelers, and reaches 50 states and 35 foreign countries. It is known for its editorial excellence and upscale readership. The Myrtle Beach feature will position the area on a national and global scale as one of the best places to work, live, and vacation.

“The Myrtle Beach area was chosen because of its unique communities and incredible appeal to visitors,” said Steve Mitchem, director of City Profiles. “From the area’s fishing villages and marsh inlets to the 60 miles of beach and exciting attractions, the Myrtle Beach area has many great stories to tell.”

US Airways Magazine plans to kick off its efforts regarding the Myrtle Beach area with a press reception in early September and with writing and photography occurring during September and October.

Source: Myrtle Beach Chamber of Commerce

A slower real estate market has more sellers asking for home inspections, says Bill Kruszewski, owner of the Myrtle Beach franchise of HouseMaster.

Question: What should homeowners expect to get out of a good home inspection?

Answer: You will find out the condition of all the major systems like roofing, air conditioning, heating, water heater, electric and appliances. We check for functionality and condition. We do not do cosmetic checks.

Q: What should homeowners look for in picking a home inspector?

A: Call at least three and check their credentials. Ask how many inspections they’ve done. Ask if they carry professional liability insurance and general liability insurance. Another criteria is professional memberships, like the American Society of Home Inspectors. Ask if the report can be sent over e-mail, if it contains photos and ask for a sample report.

Q: What are major problems you see in homes in this area?

A: We see a variety of problems from the condition of roofing to siding to roof leakage. We see air conditioning and heating system deficiencies. We see a lot of moisture problems in crawl spaces.

Q: What’s the one thing homeowners could do to help the upkeep of their home, but usually don’t?

A: Maintaining the roofing, exterior and the flashings (sealants) are important. All systems have finite lives especially water heaters and appliances. We see maintenance issues on wood-exterior older homes. Vinyl and brick tend to have fewer maintenance requirements.

Q: What’s the one question all homeowners ask?

A: They ask us, “Would you buy this house?” We give them an inspection report and it’s up to them to decide. They ask, “Did the house pass the inspection?” There’s no pass/fail. We don’t decide that. They can read the report and decide if it works for them. In our experience, there’s probably no perfect home. You should expect the home inspector to find something - could be major, could be minor. Then you can work with your real estate agent and go over any concerns. It’s our job to provide the facts.

Q: What else is important for the consumer to know?

A: You should ask the home inspector if you can be there with them for the inspection. You can walk around with us and ask questions. We can give you a lot of useful information like where the circuit breaker is and the size of the hot water heater. If we find wood rot, we can show you the extent of it. Typically a home buyer sees a home for about 20 minutes. The home inspection gives them hours to get to know their potential new home.

Source: Jenny Burns, The Sun News, Myrtle Beach, SC

A group of Charleston independent insurance agents wants to change the state’s wind insurance pool to a hurricane-only coverage that would be expanded inland to Interstate 95 - or the entire state.

They contend the plan would create more competition in the coastal insurance market, stabilize premiums at a fair market price and solve skyrocketing rates hitting South Carolina’s coast.

The main difference between the wind pool, also called the S.C. Wind and Hail Underwriting Association, and the proposed hurricane pool, or S.C. Hurricane Association, would be the hurricane pool would only cover hurricane damage - not thunderstorm or hail damage.

DIFFERENCES

Charleston agents say they want to expand the pool territory, which sits along a narrow strip on the S.C. coast - east of U.S. 17 Business to the ocean in Horry and Georgetown counties - to I-95 or Interstate 20 or the entire state.

• The hurricane pool would be tax-exempt. The wind pool is a taxable S.C. corporation.

• The hurricane pool would be funded through premiums, reinsurance, funds accumulation, investment income and - as a last resort - a policy holder assessment.

• The wind pool assesses insurance companies in the event of massive loss - which insurance agents say keeps insurance companies from writing policies in South Carolina.

• Assessing policy holders would likely attract more insurance companies, which means more competition and availability of insurance.

• The assessment to property owners would be capped.

• Hurricane claims would be handled by adjusters from insurance companies. Wind pool claims are handled by appointed adjusters.

• The agents contend that would ensure better service in the aftermath of a hurricane.

• The hurricane pool would offer coverage up to $2.5 million on residential property and $5 million on commercial to reflect today’s construction costs. The wind pool offers residential coverage up to $1.3 million and commercial up to $2.5 million.

• The hurricane pool would offer replacement cost coverage on second homes and rental property. The wind pool offers replacement coverage on only owner-occupied units, Chapman said.

• With the hurricane peril removed, companies insuring inland properties may be more likely to insure coastal properties.

A similar pool worked in Hawaii, the group said. It was started in 1992 after Hurricane Iniki, and after 10 years without any major hurricane, the insurance industry resumed writing hurricane coverage.

Source: Jenny Burns, The Sun News, Myrtle Beach, SC

On Tuesday, Myrtle Beach got a little bigger. The city added Magnolia Place, a 30 acre development, into its limits.

Myrtle Beach Police are already patrolling Magnolia Place, located west of U.S. 17 Bypass between 38th and 48th Avenue North.

Myrtle Beach Public Information Officer Mark Kruea says owners of Magnolia Place had to petition to become city residents, just like anyone would, to take advantage of the benefits of city living.

“If you’re inside the City of Myrtle Beach, you’ll get a better water and sewer rate,” said Kruea. “You’ll get fire protection from the city of Myrtle Beach and the benefit of our ISO 1 insurance rating.”

City residents pay higher property taxes, but Kruea says many people find the costs are offset by the benefits.

Source: WPDE ABC TV News

Myrtle Beach’s strong job growth makes it less vulnerable to a housing bubble despite 60 percent appreciation in the past five years.

A new report by RBC Financial Group, released this month, analyzes home-price appreciation and job growth in cities in the Southeast.

 The national average for home appreciation over five years was 56.5 percent.

 In the same period, South Carolina’s appreciation was 31 percent and North Carolina’s housing appreciated 28 percent.

 These areas have seen strong employment growth - which means if home prices begin to decline, residents will have the cash flow to make mortgage payments, the report says.

National studies show wages are increasing and consumers are taking on more mortgage debt and paying off credit card debt.

 Myrtle Beach’s one-year appreciation for resale single-family homes is 24 percent through the second quarter - much higher than the national average of 10 percent.

 But Myrtle Beach’s job growth is highest in the state at 22 percent over five years - also far above the national average of 3.2 percent.

The report doesn’t specify what kind of jobs are growing on the Strand, but, statewide, the largest increase has been in construction - which is likely the case in Myrtle Beach, said Tom Maeser, market analyst and president of the Fortune Academy of Real Estate.

 Myrtle Beach has had nothing near the 113 percent average of Florida’s five-year appreciation.

 That’s Maeser’s reason for believing real estate demand will pick up. “Myrtle Beach has appreciated horrendously to those of us who live here, but, to those coming from out-of-state, it’s still a very good deal,” he said.

Overall, the Southeast region has seen modest appreciation compared with other regions of the country, while wages and incomes rose, the report says.

Source: Jenny Burns, The Sun News, Myrtle Beach, SC

Student housing is one of the fastest growing real estate niches in the country, and Myrtle Beach is no exception - fueled by the enrollment growth of Coastal Carolina University.

Coastal Villas, located just 2/10 of a mile from Coastal Carolina University, offers investors and students one of the best student housing values in today’s market. This condo conversion consists of a total of 112 units, of which only 35 remain. Here are some of the details:

• Units: all 2 BR / 2 BA units
• Price: $102,900 ~ preferred lender offering $1,000 against closing costs
• Reservation Deposit: $5,000
• Closing: beginning in January, 2007
• Rents: $850-950 per month
• Tenants: mainly annual for students, professors, and staff.
• HOA: $150-175 per month to include water, sewer, trash, insurance, pest control, CAM, and more!

Contact Barbara Chartier at 843-902-0204 for more information and/or to reserve your villa.

Myrtle Beach ranks among the Top 10 growth markets in the United States for increases in the number of minorities buying homes, according to a new study.

• In 2005, 52 percent more minorities got home mortgages than in 2004 - a change that pushed the Myrtle Beach-Conway-North Myrtle Beach area to ninth in the nation in the growth of minority mortgages.

• The overall ranking means minorities are moving to the Grand Strand and becoming a larger segment of the home-buying population, experts say.

Brad Dean, president of the Myrtle Beach Area Chamber of Commerce, said he isn’t aware of any specific push promoting minority home-buying, but thinks the ranking mostly reflects the breakneck pace at which the Strand is growing in population.

• “This is a good indicator that the Grand Strand has seen and continues to be a hot market for relocation. It’s no surprise that many of our new residents are minorities. But the trend is not specific to any one minority,” Dean said.

• Consumers are becoming more educated - and that has spurred many to buy homes, said William Gerald, loan officer at Atlantic Home Mortgage in Myrtle Beach.

National experts say the study indicates that real estate agents and mortgage brokers in the Myrtle Beach area are helping minorities become homeowners.

Source: Jenny Burns, The Sun News, Myrtle Beach, SC

The rapid run-up in property values in Horry County forced local officials to seek $31.2 million more Tuesday to finish the North Myrtle Beach “Main Street Connector.”

Leaders were relieved that the state Infrastructure Bank approved a grant of $31,256,000 to cover cost overruns on the road that is designed to connect North Myrtle Beach with S.C. 31 and S.C. 90.

Without the additional money, work on the connector might have come to a halt, state Department of Transportation Director Betty Mabry told the bank.

The county does not have to match any of the funds or pay them back. The county has paid just less than half the costs of its billion-dollar road-building program that started in 1997 and included S.C. 22, S.C. 31 and expanding S.C. 544 to four lanes.

The latest overruns were mostly from the cost of buying the rights of way for the road in an area where land values have risen sharply.

Source: Zane Wilson, The Sun News, Myrtle Beach, SC

The long-awaited Market Common groundbreaking is Thursday for local leaders - and the event has out-of-state investors eyeing land on and around the former Myrtle Beach Air Force Base for development.

Market Common, Myrtle Beach’s planned urban village, will bring 181 rental apartments, 1,441 townhomes and condominiums, and 600,000 square feet of high-end retail and restaurant space to the south end.

Developer McCaffery Interests is already moving dirt.

Commercial Realtors who’ve been handling the sale of the base land say the word is out on the prime land around what many say will be the future “downtown” of Myrtle Beach.

Investors are looking at land near the back gate along U.S. 17 Bypass and along U.S. 17 Business for residential and commercial development, said Gary Roberts, vice president of commercial and investment for Coldwell Banker Chicora.

“People are looking with anticipation of 15,000 people living at Withers Preserve and Market Common,” Roberts said.

Roberts has noticed a significant number of calls coming from New Jersey and Detroit, saying a depressed auto industry in Michigan has investors looking out of state.

He said Wall Street investors are also involved in surrounding projects.

“What we need is more local involvement in developing the property, and we still have opportunities,” Roberts said.

Source: Jenny Burns, The Sun News, Myrtle beach, SC

Grand Strand businesses made an unprecedented six-week advertising push to promote Fall tourism at the beach.

Since just after Labor Day, ads have bombarded potential travelers within 300 miles with a message that the beach - though not in its summer prime - is still ready to greet travelers with golf courses, shopping, festivals and, for the frugal travelers, lower off-season rates.

Businesses have long wanted to boost traffic in the shoulder seasons, but the goal has taken on added importance with the dramatic jump in hotel rooms during the last few years. The beach has added about 20,000 lodging units since 2002, experts estimate, while occupancy hovers at a disappointing 54 percent.

The Fall Campaign

Where ~ Within 300 miles including Georgia, North Carolina, Virginia, West Virginia and some parts of Maryland and Tennessee

What ~ Averages 160 TV commercials a day in 20 markets; 12-page promotional piece in USA Today

Cost ~ $300,000

The Response ~
• 18% say they are definitely coming this fall
• 73% are likely to come or are seriously considering it
• 71% say they are interested in a fall/holiday vacation with family and friends
• 17% are interested in a weekend getaway.
• Others expressed interest in golf vacations or honeymoons.

New Visitors

The ads reached people who haven’t been to Myrtle Beach in years - or even heard of the destination.
• Two-thirds of those who called the chamber in response to the TV ads have not vacationed here in the past two years.
• About 26 percent of those who responded via the Web site said they had never been to the Myrtle Beach area.

Attracting new visitors is key to growing the number of tourists to 20 million, which is needed to fill about 90,000 lodging units. About 14 million tourists come here now.

Source: Dawn Bryant, The Sun News, Myrtle Beach, SC

It’s a BUYER’S MARKET on the Grand Strand as condo sales continue to slide, making little dent in a ballooning inventory. But single-family sales have held their own, topping last year’s record sales.

QUICK STATS- Third quarter 2006 compared with third quarter 2005:
Sales:
• Condos down 31 percent to 5,003
• Single-family homes up 1 percent to 4,506
Listings:
• Condos up 112 percent to 10,493
• Single-family homes up 60 percent to 5,291
Days on Market:
• Condos up to 186 from 89
• Single-family homes up to 143 from 104

PRICES - Real estate brokers say some condo prices are being cut, but single-family prices are holding steady.

• Insurance increases have especially hurt an already slow condo market where agents say they’ve lost sales in part because of a spike in homeowner’s association dues.

• Analysts said they expect renters to consider buying as condo prices fall.

INVENTORY

• Condos ~ Analysts say it will take more than a year to clear out the 10,493 condos on the market.

• Single-family homes ~ The market’s 5,291 single-family homes may take 10 months to be absorbed.

ANALYSIS - “I don’t look at it as a bad market. There are just two kinds of markets - buyers markets and sellers markets,” Maeser said. “We’re just going through a correction right now.”

• Sellers are having trouble backing away from the price their home would sell for in 2005.

• Buyers are aware the market has softened and aren’t willing to buy at any price.

• September and October have historically been good sale periods for condos on the Strand, but brokers aren’t seeing it pick up this year.

BUYER PROFILE - Maeser said the market is losing its rental income investor. Some have turned to the stock market after several years of investing in real estate.

• But the loss of the flippers - attracted to a hot condo buying frenzy - isn’t a bad thing, he said.

• “It’s not healthy to have that for too long. This has been good for the market,” he said.

Source: Jenny Burns, The Sun News, Myrtle Beach

Barefoot Commons, a new shopping center, anchored by a 48,000-square-foot Bi-Lo supermarket, will be built on U.S. 17 near Barefoot Landing in place of the Grand Prix Amusement Park.

In addition to the Bi-Lo, Barefoot Commons is expected to contain restaurants, small retail shops and other specialty stores.

Opening is scheduled for 2007. Construction on the 14-acre site is scheduled to begin in November.

Source: Garrison Wells, The Sun News, Myrtle Beach

Myrtle Beach ranks in the bottom half of the nation on the likelihood that prices for single-family homes will decline in the next two years, according to a study by The PMI Group.

RISK INCREASING

But the potential for a price drop has doubled since last year, the report says. Myrtle Beach’s chance of a price decline increased from 8.2 percent in 2005 to 17.5 percent in 2006.

• That’s because a 21 percent increase in home prices between second quarter 2005 and second quarter 2006 has hurt affordability.

• “That’s really high - a 21 percent increase,” said Beth Haiken, spokeswoman for The PMI Group. “Prices are increasing much faster than people’s incomes.”

• “A lot of the areas appreciating very quickly in the 20 [percent] to 30 percent range have slowed down. But Myrtle Beach its still going up. It could continue, since unemployment is low and employment growth is good,” Haiken said.

• But the market can’t sustain 21 percent appreciation forever, she says.

• “People’s income cannot keep up. That’s what we’re seeing in other areas around the country,” she said. “That’s not necessarily a bad thing. It’s a situation where houses and incomes are in balance.”

APPRECIATION SLOWING

Single-family home appreciation already has showed signs of slowing from its double-digit pace on the Strand.

• For the third quarter, the average price of single family homes is up 7 percent from last year, according to the Multiple Listing Service for Horry and Georgetown counties.

• “We’re already noticing price appreciation slowing. It’s conceivable that we could be a little above the national average [4 percent to 6 percent] next year because of the number of out-of-state buyers buying high-end product,” said Tom Maeser, market analyst and president of the Fortune Academy of Real Estate.

NATIONAL TRENDS

Nationally, the potential for price drops increased from 28.8 percent to 32.8 percent.

• And 18 of the 50 metropolitan cities ranked in the study face a greater than 50 percent chance that home prices will decline. That’s up from 13 cities in the first quarter.

• Year-over-year appreciation remained in the double digits in 20 cities and topped 20 percent in four - Phoenix and Orlando, Miami and Tampa, Fla. - while the rate of appreciation slowed in 41 of the 50 cities.

• The risk of price declines is concentrated in California, the Northeast, Fort Lauderdale, Fla., and Las Vegas.

Source: Jenny Burns, The Sun News, Myrtle Beach

After initially approving the redevelopment of about 3.57 acres of land in the Cherry Grove area, the North Myrtle Beach City Council tabled the proposed “Towers on the Grove” project Monday because one of its parking decks does not meet city code.

Developers have proposed tearing down the Cherry Grove Manor and the Springs Towers on North Ocean Boulevard between 21st and 23rd avenues North to build two oceanfront towers for multi-family resort accommodations, two second-row parking decks with ground-floor commercial space, and one third-row parking deck.

But city planners have realized that the planned parking deck on the third row does not meet the city’s requirement that it be within 300 feet of a principal site. The parking deck needs to be redesigned to meet city code, Planning Director Doug Maddock said.

Developers were surprised about the problem Monday and said they were not sure how they would resolve it. They requested time and direction from the staff and council on what to do.

The council has tabled the ordinance for 90 days at the developer’s request, which means the project will not come back before the council until Jan. 8 for a final vote.

In addition, the council has approved changing a sunset clause in another ordinance that says that, if the project is not approved within six months of passage of the ordinance, the city would be blocked from receiving an oceanfront public beach access park that the developers would give the city. That ordinance was passed in April. The council extended the clause for 90 days.

Source: Janelle Frost, The Sun News, Myrtle Beach