5 STAR DEVELOPERS ANNOUNCES SELLOUT OF TREVI ISLE- PALM BEACH GARDENS, FL.
In early summer of 2020 5 Star Developers had just purchased a 50 home townhouse site called Trevi Isle from the Kennedy Family – and times were changing as the great unknown was upon us. We were just getting used to face masks and COVID 19. Who could imagine that the housing world would wake up with such force in most parts of the country, especially South Florida.
5 Star Developers hired Stephen Gravett as its CEO and Operations director to finish the work he had started at Kennedy Homes. Getting the first 21 homes up and closed was the priority, but quickly Gravett and owner Steven Fischer decided to go all in and permit the remaining 29 units in six separate buildings. “That was a key decision said Gravett because no one was really sure what effect the virus would have long term.” But, once the new buildings came out of the ground roughly three weeks apart sales went from 3 a month to 7 to 8 a month. Starting in the low $400’s with tons of options to choose from and many lake premiums, prices began to rise in order to stay ahead of increasing material and labor costs and through the effects of supply and demand. With the furnished models in the selling mix, Trevi ended up averaging around $500,000 per unit. But, in Palm Beach Gardens it was considered an excellent value.
“Now comes the interesting part. We have to build them on a budget to realize our greatest gains,” explains Gravett. With lumber, drywall, electric wire, and many other housing ingredients going up regularly, 5 Star has been able to forestall increases by paying in advance for products that are about to increase in price. “Just the other day we pre-bought and stocked the required drywall to finish our last 15 homes. We also prepaid for copper wiring and windows,” says Gravett. Gravett admits that the real thrill in project management is the start of that first building coming out of the ground and the last available home selling- the “sellout”. Stephen Gravett has been a real estate developer for over 45 years and was most recently CEO of Kennedy Homes and is still CEO of Kennedy Development Partners (KDP). KDP is closing out its last 7 homes at Ranchette Lakes in West Palm Beach.