Condo Supply

[bahua]

Thanks for the detailed explanation, lfotgyu.

[aknowledgeableperson]

It may cost a certain amount for developers to recover their investment on these units, but in tough times, someone has to take the loss. Either the developer bides their time, paying recurring bills, upkeep, and taxes on the unsold units, or they reduce their price to encourage a sale. Either way, they're losing money. In a time like this, I think the only action they can take is loss mitigation.

They are probably doing what some home builders are doing now.  Instead of having empty property they are leasing out the completed home and therefore waiting out the slow market and avoid making a drastic price reduction in order to make a sell.

Also, as stated before, the number of new units for sale may not reflect the actual number for sale.  For example, a developer may have multiple units with the same price.  To save listing costs they will list one unit and have the others available.

[tella100]

As someone who owns one DT loft and is looking for another I tend to say there is not enough supply, at least not a lot of diverse supply.  As somone has already mentioned, most of the units for sale are at just 3 buildings (Reserve, Pipers/Windows)  if you are not into the bigger projects then there is not much available right now.  I also think KC has a shortage of truly modern loft type spaces. It seems most of the units are on the small side and resemble 600-700 a month apartments or look like something out of JOCO with their traditional finishes and floor plans.  In other words most seem to be designed like traditional apts/condos rather than Lofts.  Which is certainly fine but I do think KC is lacking in diversity of product.

[loftguy]

As someone who owns one DT loft and is looking for another I tend to say there is not enough supply, at least not a lot of diverse supply.  As somone has already mentioned, most of the units for sale are at just 3 buildings (Reserve, Pipers/Windows)  if you are not into the bigger projects then there is not much available right now.  I also think KC has a shortage of truly modern loft type spaces. It seems most of the units are on the small side and resemble 600-700 a month apartments or look like something out of JOCO with their traditional finishes and floor plans.  In other words most seem to be designed like traditional apts/condos rather than Lofts.  Which is certainly fine but I do think KC is lacking in diversity of product.

I'm curious Tella, what would be of interest to you in a development?  What do you want that's not out there today?  What development comes closest to your expectations?

[ignatius]

Check out this list of 500+ units for sale within 1 mile radius of 12th/Main.  It appears to be a couple dozen buildings, not just a few.  But agreed it would be nice to have more variety of product.

Click here

Once in page, click on 'Edit Search' to change things such as price range, number of rooms, etc.

[tella100]

I'm curious Tella, what would be of interest to you in a development?  What do you want that's not out there today?  What development comes closest to your expectations?

5 Deleware, Conover Place &  Freighthouse Flats are my favorites (and of course I love my own building, 523 Grand). I also really love 4646 on the Plaza.  I have also been in a few units of the old loft building on 7th street (one of the original, if not the first loft conversion projects dating back to the late 80's) those spaces are really nice as well.

So in my mind we are missing more places like the above.

[loftguy]

5 Deleware, Conover Place &  Freighthouse Flats are my favorites (and of course I love my own building, 523 Grand). I also really love 4646 on the Plaza.  I have also been in a few units of the old loft building on 7th street (one of the original, if not the first loft conversion projects dating back to the late 80's) those spaces are really nice as well.

Thanks, Tella.  That gives me a good sense of what your are looking for.  I'll share with you some unique options that I come across, as I am a bit of a fanatic about searching out what the city is offering.

By the way, the original Soho West at 306 West 7th, was built by Mel Mallin in 1983/84 and that was the first loft project in KC.  Prices started at $59,000 for an 1,100 sf loft, with indoor parking!!

[mishustik]

I own a unit at 306 W. 7th and think they are wonderful, unique loft spaces.  There is not much like them in the city....

On a side note I have recently listed my unit for sale as I am moving to Boston for work.  If you have any interest in checking it out feel free to PM me or check out this link...thanks

http://www.postlets.com/res/518628

Michael

[shaffe]

^^^^^

that is a beautiful space.  i wish i was in the market for buying in that price range right now.

[kclofter]

On a side note I have recently listed my unit for sale as I am moving to Boston for work.

Sweet Volvo 1800 - yours?

[Czar]

  To save listing costs they will list one unit and have the others available.

What are you talking about..  to save listing costs?  It does not cost more money to list mulitple units.  It would cost on commissions paid when realtors sell the product, but not to list....  Do you have some knowledge that I do not have?

[mishustik]

Sweet Volvo 1800 - yours?

Yep, that's my baby

[aknowledgeableperson]

What are you talking about..  to save listing costs?  It does not cost more money to list mulitple units.  It would cost on commissions paid when realtors sell the product, but not to list....  Do you have some knowledge that I do not have?

All that I know is what I have been told. Whether it is five new houses that are the same or five new condos a builder might list just one.

[coreyo]

Doesn't it cost $$ to list on the MLS?

[Angel]

All that I know is what I have been told. Whether it is five new houses that are the same or five new condos a builder might list just one.

It's not saving listing costs.  It just laziness and some practicality.  If you have 25 1 bedroom units that are basically all the same, the agent will probably only list the cheapest and the most expensive if there's a sales and model office buyers can go to.

[Czar]

It costs money to be on MLS, but not per listing.  Realtors pay those costs anyway not developers. 

Realtors work on what is called a "commission" which means they get paid by developers only when a unit closes (transfer of title). 

It is not laziness either, since once you have one listing inputted into MLS you can copy to other unit numbers..

[Angel]

It costs money to be on MLS, but not per listing.  Realtors pay those costs anyway not developers. 

Realtors work on what is called a "commission" which means they get paid by developers only when a unit closes (transfer of title).   

It is not laziness either, since once you have one listing inputted into MLS you can copy to other unit numbers..

It's still work and there's lots of paperwork involved for each listing.  Really, this isn't uncommon at all for building/renovation projects.

[ignatius]

Here's the May update.

Condo units for sale tracked by Reece/Nichols - trend over 6 months.
Source


Downtown
12th/Main - 1 mile radius
        Dec 3  Jan 2  Feb 9  Mar 8  Apr 6  May 2
Total    369  331  519    505      496    477  (several dozen sales are pending)
>$300K  133  112  244    232      234    225
>$500K    30    29    53    55      56      42

Greater Downtown/N Midtown/etc
12th/Main - 2 mile radius
Total    473    433  591  573      563    552
>$300K 170    150  274  263      260    250
>$500K  49      48    72    74      74      59

Midtown/Downtown/Plaza/Waldo/etc
39th/Main - 4 mile radius
Total    925    814  991  969      946    893 (several dozen sales also pending)
>$300K  326    269  407  395      395    373
>$500K  130    125  153  152      153    130

39th/Main - Newly constructed vs resale, 4 mile radius
new      343    301  434    413      415  391
resale  582    513  557    556      531    502
        Dec 3  Jan 2  Feb 9  Mar 8  Apr 6  May2

Plaza/Westport/Southmoreland
47th/Main - 1 mile radius
total      299  273    286  297    287    257
>$300K  131    95    110  109    113    107
>$500K    65    60    66    62    63      60

Most of Metro
12th/Main - 20 mile radius
total    1263  1133  1357  1332 1341  1286
>$300K  402  340    484    470  473  449
>$500K  163  157    190    188  190  165

        Dec3  Jan2  Feb9  Mar8  Apr6  May 2

[ignatius]

So it looks like sales are picking up faster than added supply this Spring for the core of the city.

High end is moving somewhat better, at least slightly faster than growth of supply.

[LenexatoKCMO]

Should be adding a lot of supply in the south end of the xraods shortly - Looks like the Hayden and Windows projects are both entering the wrap-up phases with Piper a bit behind those two.  That will be a lot of units.