DT Lofts/Condos

[skim82]

Thx for all your guys help.

Since my last post, I have decided not to invest in the Coffee Lofts...  Like Sherloni and KC Lofts said, there are better deals (per square foot) than the Coffee Lofts.

I have been looking into the Metropolitan this week...  Price range fits, amenities are ok... but, I just can't put my finger on it... something just isn't right...

I mean, If I wanted to live at the Met, I might as well live in an apt in JoCo... It's just not urban enough for me..(plus I'm chapped that they want 6,000 to put in washer dryer hookups)..

For some reason, it just doesn't seem like the best deal.

I just wished there was something coming up in the relative near future that was "under the radar" and I could snatch up before going MLS... 

I'm going to have to go to the Urban Living Center for ideas... this is getting frustrating... It's my first home purchase, so I want to make the absolute BEST decision...

[KCPowercat]

ahhh, don't be so worried.  If you are looking for the "best" decision, it will probably never hit you.  Just look at the property and the neighborhood and do what feels right...that's probably the best decision you could make.

[KCLofts]

Like you said, this your first home purchase.  I doubt it will be the last.  In that regard, I wouldn't stress so much about finding the absolute perfect place.  I would bet that you'll be moving into a different place within 5 years.

There will be more apartment to condo conversions coming up, including West 7th ST Lofts and the 2 SoHo South buildings.  Also 523 Grand and there are still some units open at Riverbend.  Like the Coffee Lofts, these projects will probably be the most affordable entry into the downtown market.

But prices aren't going to be getting any cheaper and mortgage rates keep rising.  The longer you wait, the less you get for your money.  You should definitely do your research and find a place that you're comfortable with.  Once you find that place, go for it.

[skim82]

Which upcoming conversion loft (rental to purchase loft) are you guys more fond of?  (or just like better)

-7th Street
-2 Soho South Lofts
-523 Grand

Or others, btw, when do you think this process will occur? 

[jlbomega]

KCLofts, I really have to disagree with your assessment.  Demand for new housing is plumeting, interest rates are going up, and people seem to be coming up with new condo/loft developments every second.  While asking prices may not move much in the near future I'll guarantee that if you wait a few months it will be much easier to negotiate prices much below asking for many of the projects downtown.

[shelroni]

KCLofts, I really have to disagree with your assessment. Demand for new housing is plumeting, interest rates are going up, and people seem to be coming up with new condo/loft developments every second. While asking prices may not move much in the near future I'll guarantee that if you wait a few months it will be much easier to negotiate prices much below asking for many of the projects downtown.

Agreed. Don't buy because you feel like time is running out! That is one of the worst reasons ever! It really is simply the right combination of price, amenities, time, space, etc.

KC is prime for a housing bust. I don't think it will be a true crash but there is definately more homes on the market than people who want to buy them. Second of all, so many people are in over their heads that when their adjustable rate mortgages (they thought were such a great idea) come due you will see a lot of people refinancing, moving to something smaller and cheaper, and generally having a panic attack.

Hang tight and wait for the right place. I really think that people know when they go into a home if it right or not. That sounds cheesy but it is true.

[skim82]

I have decided to just wait until next year to purchase...  Just too much going on right now... Plus, I love the Coffee House Lofts, but they seem a little overpriced.. 

Thanks for all your guys help Shelroni, KCLofts, Powercat, KcDowntown, myxomatosis, Staubio..
(If I forgot someone, thanks to you too.)

Geez, I hope something cool comes up in the summer time, I plan on looking again in July/August of 06.  I'm still avid about living Dt, but may just have to settle for the burbs.

It would be very appreciated if you guys could keep me in the know about new projects that are going to start up. 

thx.

[DaveKCMO]

i'm glad you decided to stay away from The View... i can confirm your bad premonition. have a friend who bought there and has been in his unit almost six months. the developer is an ass and is always telling his owners to stop whining. not only did they switch real estate agents midway through, but they also switched everything else (amenities, standard finish, etc.). just listen around for people who live downtown and ask them if they know anyone who lives there.

my boyfriend lives across from The View at the Met... it's nice, but is very apartment-like. we have it decorated nicely and he has a decent view of the gov't district and what will eventually be East Village. but you are correct, it's not very walkable, though river market is probably the most convenient amenity.

speaking of East Village, whenever that gets off the ground they are supposed to have a solid mix of upscale AND affordable. you might want to wait for that. i was one of the first to put big money down in the crossroads (my condo was sight unseen, really) and it has paid off so far.

good luck!

[moderne]

    I have lived at the View for 3 months. I love it and can think of no other current downtown property I would prefer.  I could sale my unit now and make a nice profit.

[brett]

You're against renting downtown?

[KCRealtor]

skim82...Can't encourage you enough to look at Columbus Park in late summer.  The developers of Hotel Monroe Condos (Luxury homes) is doing a project that is targeted for young buyers who have not yet made their millions.  They have begun demo and should start the build soon.  I recently met with the designer and he is planning an "Italy" them with the entire 12 unit project so the curb appeal should be great.  And, I have seen the floorplans...you would approve.  They are also pondering a Rowhome community project in Pendleton Heights just to the east (will probably be considerably more expensive though)

[DaveKCMO]

I could sale my unit now and make a nice profit.

don't confuse the hot sales of NEW condos with hot sales of EXISTING condos; works the same way with single-family homes (supply/demand, blah blah blah). there are so many options for sale or that are in the works that hardly anyone is considering a condo that has already been "used". i live in a crossroads condo that was finished in 2004 and someone already had to flip their unit... it's been sitting on the market for over six months (after two price drops). not to mention that the view has a terrible reputation compared to the other developments in downtown.

personally, if i were entering the market at this moment for a condo, i would wait until all of the power and light stuff gets listed.

[kard]

I'm in the same position as you, Skim...young prof looking to buy my first place, and Rivermarket to Crossroads really appeals to me.  I've not seen any numbers that the developers surely have access to, but I can't see how the demand will keep up with the supply in the coming years.  By the time the P&L condos hit the market, there will be a few thousand total new units available (from what I can remember reading).  I tend to think they're all expensive anyway.  I was in the Atriums two weeks ago.  Awesome units, but I've got to keep one kidney and would need to sell both to get one there.  If they're all going for 200-300k+, then I'm guessing it's our parents who are moving downtown (does John Knox have a development in the works there?).  Like someone was saying earlier, with the rates going up and other folks with ARM mortgages, I don't think there will be heaps of people scooping them up like mad.  Don't get me wrong--they'll sell--but I think there will be good days for first time buyers ahead, if not in the loop then close enough.

Anyway, I think there's going to be a lot available for folks like us in the coming two years.  I'm going to really start looking myself this summer, but in the mean time, I don't feel like I'm missing all the good stuff.

(That is, until, Cordish comes out with an awesome list of tenants for the P&L, the Penguins move to the Sprint Center, and the Royals get a new stadium downtown (called "The Barn" for short, after "Barnes Stadium") and we get priced out.  But I'm willing to sacrifice.)

[staubio]

I'm in the same position as you, Skim...young prof looking to buy my first place, and Rivermarket to Crossroads really appeals to me.  I've not seen any numbers that the developers surely have access to, but I can't see how the demand will keep up with the supply in the coming years.  By the time the P&L condos hit the market, there will be a few thousand total new units available (from what I can remember reading).  I tend to think they're all expensive anyway.  I was in the Atriums two weeks ago.  Awesome units, but I've got to keep one kidney and would need to sell both to get one there.  If they're all going for 200-300k+, then I'm guessing it's our parents who are moving downtown (does John Knox have a development in the works there?).  Like someone was saying earlier, with the rates going up and other folks with ARM mortgages, I don't think there will be heaps of people scooping them up like mad.  Don't get me wrong--they'll sell--but I think there will be good days for first time buyers ahead, if not in the loop then close enough.

Anyway, I think there's going to be a lot available for folks like us in the coming two years.  I'm going to really start looking myself this summer, but in the mean time, I don't feel like I'm missing all the good stuff.

(That is, until, Cordish comes out with an awesome list of tenants for the P&L, the Penguins move to the Sprint Center, and the Royals get a new stadium downtown (called "The Barn" for short, after "Barnes Stadium") and we get priced out.  But I'm willing to sacrifice.)

The demand will stay strong because metro growth is teaming with a changing paradigm of residential options.  The idea of urban living is just starting to catch on in this city and you'll see a lot more people make the jump when it becomes an acceptable option.  I would worry more if I were trying to lease suburban apartments.

[moderne]

Davekcmo, must be you who is confused.  The identical unit several floors below mine re-sold last week for 25K more than what I paid. 

[myxomatosis]

For those of you interested in buying a condo in the crossroads neighborhood, I learned at our HOA meeting last night that the remaining 7 condos available for sale in Western Auto building 3 will be auctioned off by our developer.  I'm not sure how many are 1 bedroom verses 2 bedroom.

The commercial spaces in building 2 and 3 will also be up for auction.  It also appears some sort of small office will be in the building 1 commercial space.  I'm disappointed that there won't be a deli or coffee shop in that spot, but there is still hope for building 2 or 3.

I have no idea when the auction will occur or what the required minimum bid will be but will share as information becomes available. 

Needless to say, there was some consternation among unit owners over this news.  People are concerned that our home values could depreciate if someone is able to buy the unit(s) at below market value.  There is also concern that the same individual(s) would turn around and rent out the unit(s).  I have not researched this but apparently banks are less likely to give a loan to an HOA (or for that matter a condo buyer) if the condo community rental population is over 15%.  Lastly, there was speculation that the developer is going the auction route because the demand for luxury condos is waning (I couldn't disagree more).

[Moniker]

Lastly, there was speculation that the developer is going the auction route because the demand for luxury condos is waning (I couldn't disagree more).

It may very well be true. The market has literally been flooded with condominium development downtown and in the surrounding area. Without a living, breathing downtown during all of the construction, the demand for high-priced condominium life I feel is dwindling. Plus, a large number of buildings are converting therefore diluting the price. There isn't enough people to even fill the ones that have been on the market for nearly a year. That is an armchair observation that the demand simply isn't what some realtors and posters here make it out to be.

Likely, this will pick up once construction is complete in a year or so and the demand rises again. In the meantime, I am awaiting the trend to continue downward to a point where I can purchase my loft at a price that is commensurate to the price I pay on rent now.

[Quay Girl]

I think the DEMAND is there, I just think it is from a different demographic than what these developers are all targeting. There are only so many people currently in the metro area in the market for a $300K+ loft.

Meanwhile, dozens of us would be buying tomorrow if we could have a place larger than 600 sf for under $200K in the urban core. Hopefully developers will see this and modify their targets instead of simply declaring the market saturated.

[myxomatosis]

I think the DEMAND is there, I just think it is from a different demographic than what these developers are all targeting. There are only so many people currently in the metro area in the market for a $300K+ loft.

Meanwhile, dozens of us would be buying tomorrow if we could have a place larger than 600 sf for under $200K in the urban core. Hopefully developers will see this and modify their targets instead of simply declaring the market saturated.

Good distinction.  When I'm talking luxury, I don't necessarily mean a $300k+ loft. 

That is an armchair observation that the demand simply isn't what some realtors and posters here make it out to be.

Likely, this will pick up once construction is complete in a year or so and the demand rises again. In the meantime, I am awaiting the trend to continue downward to a point where I can purchase my loft at a price that is commensurate to the price I pay on rent now.

You may very well be right and to your point, only time will tell.  In this particular case, I'm guessing that our developer has made their money on the project and just want out from underneath the remaining units.

Letter we received today:

There will be a developer closeout action of the last ten condominiums (seven residential and three commercial), at Western Auto Lofts.  The auction will take place at 7:30 p.m. on Thursday, March 2, 2006, at the Hyatt Regency Crown Center, 2345 McGee st. in KCMO.

We have enlisted the services of Rick Levin & Associates, Inc. to conduct the auction.  Rick Levin & Associates, Inc. is a national real estate marketing firm, which specializes in the sale of quality residential and commercial property at public action.  The professionally conducted auction will be by open public bidding, similar to an art auction.

Two of the ten condominiums will be sold absolute, regardless of price.  The remaining units will be offered with reserve, subject to seller acceptance.  The auction is an outstanding opportunity for your friends or relatives to purchase one of these fine condominiums.

Open houses are scheduled from noon-2 p.m. on February 11 & 18; from 1-3 p.m. February 21; and from 4-6 p.m. on February 27.  At the open houses potential bidders will receive a complete Bidder's Information Package detailing the condominiums and the auction process.

Should you have any questions regarding the auction, or would like to receive a complete color brochure on the auction, please call Rick Levin & Associates, toll free, at (866) 655-4500.

MCZ/Western-Centrum, LLC.

[Downtowner]

I think the demand is there but the competition has caused the poorly done units to not sell. I toured building three and they look like basic apartments at ridiculous prices. They are white boxes with nice kitchens...not at all how the original Western Auto Lofts looked. Really nice finished condos are selling fast (like Greenlease Cadillac and WallStreet). The basic units where the developer hasn't invested much in the interiors won't sell. The competition is squeezing them out. The market demands that urban condos have a good view or a great finish (wood floors, granite, molding, etc)