Bad News for the Cynics

For years, I was as negative as the best of them. St Louis was a town I was somehow stuck in and my feelings were well known. Growing up here, I just knew there was someplace else for me.

I'll have to admit, the changes citywide that have taken place, as well as my lifestyle and age, all have a fair amount to do with my change of heart. St Louis is still a work in progress.

Working as a realtor, we see lots of 'outsiders'. I'll never forget meeting my friend who moved here from Florida....by choice! Were they crazy?!? Who could leave the beach to come here? In the past several years, its less and less suprising to hear people moving to St Louis and really loving it.

This month, St Louis made the National Trust for Historic Preservation's 2010 Dozen Distinctive Destinations. Visitors to the site can register and vote for thier favorite destination. There are some nice places, but St Louis has my vote.

Obviously, historic buildings aren't for everyone, and so everyone might have differing values, but as a person aware of the phenomenal collection of preserved and restored buildings throughout the St Louis area; particularly downtown. We've heard on this blog and many others about some of the same resources we've squandered over the years, but what we have left is certainly worth celebrating. Visiting the Old Post Office, Union Station, The Cathedral Basilica, The Fox, The Continental Life Building, and EVERY loft building downtown is something that can be taken for granted. Any St Louisan that hasn't visited those places and taken a tour should consider a staycation and check it all out. What's hard about St Louis in comparison to the other 'distinctive destinations' is that we just have too much to consider. The past decade and the Missouri legislature has helped our cause by creating incentives for the development of historic structures and districts.

Making the list is great, but as a St Louisan, show your support for the great things being done here and vote for St Louis as the top distinctive destination by visiting the National Trust website today.

Happy Happy New Year!

This past New Years Eve, like most people, I hoped for better times. Real estate this year has been heartbreaking. Going through the 92 sales that took place in the downtown area (according to the MLS), most of them were sold at a sizeable drop from when they were most recently sold. One loft we sold in 2006 was sold in 2009 for 18% less. That was more the rule than the exception this year. Buyers are the true beneficiary.

On a side note, Congratulations to Blue City Spaces. They seem to have reinvigorated their sales this year by offering incentives and maintaining an active social media campaign. Nothing like the years when Loftwork or Pyramid would close 50-80 sales a piece, but their 12 sales (per MLS) last year showed they are committed to keeping the project alive intead of moving quickly to refinance and rent the property. Hopefully that continues.

There are several other things that are interesting and reassuring at this point.

1. Last Year at this time, it felt that we were continuing our slide into the recession. The bottom had just dropped out of the stock market and banks weren't lending their own money. Now it feels like we are working our way out. I'm hearing signs that banks are starting to look at being portfolio lenders, rather than just being mortgage brokers. The massive job loss is coming to a halt.

2. Despite the downturn, the urban renaissance in St Louis marches on. St Louisans are continuing to decide that they want to be downtown. Population is on the rise. While sales were the lowest (92) downtown since 2004, the rental market is robust. Businesses here, while still struggling, seems to be holding up better than the region as a whole. New additions of the Culinaria and CityGarden seem to have energized downtown and added a positive element to the regions perspective on Downtown. Plans for the Avenida Lofts have been converted to a mostly commercial renovation which is ongoing. When we began working extensively in Downtown in 2004, one really had to have an imagination. Having a vibrant downtown where people want to be is more and more a reality. The continued activity even during this recession will continue to pull people in.

My long term perspective for Downtown St Louis is good. One of the things holding up many would be downtown residents is that they want to see housing prices recover on their big suburban homes before they sell and enjoy city living. That probably won't happen tomorrow, but we're working in that direction. The housing market still has some shuffling to do, but its happening.

Now it is more important that ever for Downtown St Louisans to work together and remain active in DSLRA. While the big projects like CityGarden get the headlines, the small community based programs and volunteering can also go a long way towards supporting the effort to continue growth and revitalization.

Most neighborhood associations put on some form of housing tour annually. While the Partnership for Downtown St Louis has taken on this role each year to mainly serve condo developers, that tour has been scaled back and virtually eliminated. In its present form, it still seems based too much around new condo or rental projects and not enough around the real community. It would be nice to see a real community based neighborhood tour grow into the void. Great things could happen.

Benefits of Foreclosures

Right now, I've had just about enough of foreclosures! Hearing that the Arcade Building is being foreclosed on was somewhat of a relief though and I'm not sure why.

Maybe its because of what felt like a big "land grab" back in 2004-2006 as rival developers postured to see who could stake out the remaining gems downtown. Prices for abandoned buildings rose as high as $30/square foot. This surge in buying somehow seemed to force development downtown much too quickly and at to high a cost for the then market to support. By itself, completing the Arcade may not have posed a monumental challenge at that time, considering that the Syndicate Trust underwent a similar conversion. Going back to that time though, Pyramid was unable to sell out the remainder of the Banker's Lofts and had 50% of the Dorsa Lofts to sell also. Both of these projects were priced at less than $150/square foot(base price) while the the Arcade shows a price of just over $200/ square foot for a unit that included parking.

The Post Dispatch article announcing the foreclosure blames the "nationwide housing collapse" for the foreclosure. That's as close to the truth as if the Culinaria purchased 4 times the amount of bananas it normally sells in a week and bumps the prices up 46% then blames the economy for the not selling. Ridiculous! I won't even touch the "housing collapse" comment except to say that a 20% drop in prices is hardly a collapse.

Like so many people following this buildings history and future, my hope is that someone with a viable plan can step in once the building is priced right. This foreclosure just might be the first step in seeing that process move forward. Map of 800 Olive shows the location in the heart of downtown adjactent to the Old Post office and Metrolink Station. My take isn't more condominiums, but rather a custom build out for a corporate headquarters along with a slight mix of retail and possibly some apartments or corporate housing. With such a phenomenal building and perfect location, who could resist?

Downtown North?

Remember when Ballpark Village, the MX Exchange and the Bottle District were all being unveiled and in competition with each other for the new hot commercial zone in downtown St Louis? Having downtown built out in every direction with great new places to go seemed far fetched, but exciting. How could it all come together.....could it all come together?

Obviously that answer was, " uh..NO".

This new bit of information was released today about some plans for the Bottle District site.

While the work HRI did on the Merchandise Mart Loft Apartments has been allegedly some of the worst construction downtown, somehow this new project is exciting. The area to the north of the downtown area can really benefit from some affordable loft style housing and its obvious that the 'big picture' for the Bottle District won't come together as one giant plan as previously announced. Building the area block by block will do. While the Art Lofts, City Museum and the Syndicate have some great amenities geared for artists, downtown has still been limited in the area of affordable yet updated homes. We'll see if this plan takes off. In this day and age, building an effective plan to obtain financing is a long shot contingent on many factors.

Lets just hope this plan includes soundproofed walls & floors!

Back in my younger days, I was an avid hiker. Hiking the Grand Canyon was the coolest thing for me, but one of the focal points was being able to dine at Phantom Ranch at the bottom.

Interestingly, most of the time, I didn't do it. Out of 4 hikes, I usually didn't have the time or money. One time it was in my plans, but I would have had to wait an hour for lunch, and I had another leg of hiking to do before nightfall. There just was a mystique about having a restaurant that was entirely supported by mule trains.

There have been talks about getting local control of the archgrounds so that we can make more of the space. On one visit with my (at the time) two boys, I saw crumbling improvements and a space that didn't seem to favor the current National Park Service management of the place.

Today, the Post Dispatch reported that there may be some changes on the horizon. The local control idea was dropped in favor of beaurocracy of the NPS. Sounds good. I think of the initial Arch Grounds being cleared in the 30's, the competition for the design in '47 and the arch completion in '66. A real plug for beaurocracy, huh?

The good news is that they are open to making the changes and taking a national landmark and really making it an experience.

As a child, we took field trips to places like the Arch, the Zoo, etc. I remember as a child thinking that the Arch and its associated museum were sort of lame. Some would argue that speaks more to my sense of entitlement than to the Arch. I wouldn't argue, but watching the downtown renaissance unfold over the past decade, I'm more inclined to think that we can do better with the Arch Grounds too.

My thought from here is to shout out to the public to PARTICIPATE!! Especially the creative types: architects, artists, visionaries, entrepeneurs. It seems that society often relies on the decisions of the "ruling class". One perk of the NPS is that they level the playing field and truly look for the best plans. That doesn't mean that St Louisan's should sit back and play the waiting game. Check for the news release once it's posted on the National Park Service news site and give some input. The community will benefit more from participation now rather than sitting back and criticizing later.

Where's Tonto?

The 2009 Downtown St Louis Residential Survey is out!

More amazing that there are no Native Americans surveyed as living downtown is that there are actually 5 people that think downtown has taken a step back. Ok?!? The only way I can concieve of that answer is if someone really relies on Highway 64/40 to get to work. Westward travel has taken a step back, and particularly in the last year. Thankfully we're rounding the stretch there.

Downtown residents are still fascinated by Reverend Rice, check.

Downtown residents would like some large scale retail, check.

Overall, downtown residents are happy about living downtown, check.

As a rule, the results of this survey still seem one dimensional to me. I'm curious if any homeless people were given this survey, or residents residing in affordable housing...

Its still a good survey, and hopefully its use will continue to build upon the growth of businesses seeking a downtown location.

Another Anouncement about St. Louis Center

As far as I'm concerned, Downtown St. Louis doesn't need St. Louis Center.

There was a day when an anouncement regarding a major development downtown would generate a buzz downtown and people would be talking. Now, either anouncements have become white noise, or we just don't care. There have been so many big plans unveiled, so many ribbon cuttings, and so many projects that have given us what we want in regards to an urban environment.

Indeed, based upon combined effects, this bit of news about the former St. Louis Center site sort of rubbed me the wrong way. The good news though, is that this is not really an anouncement or a ribbon cutting or even about tax credits. This is about money (approximately 17% of the total costs) which has been the sticking point on
all projects lately.

The Business Journal had its post on the matter as well. Both describe the opposition to the plan being mainly initiated by bribes from the building prospectively vacated by the moving law firm.

Of particular interest is how would the former St. Louis Center be re-developed. Prior plans called for condos and retail. It seems that both retail and condos would not be as easily financed and developed as they were in the past. The location would be phenomenal though and having residences spread further into downtown would add a nice element to the area.