Urban Open House!

Sunday night was a great experience!   5:30 dinner at Sen Thai and a walk to the dome for the Rolling Stones.   Downtown was alive and kickin' and it was great to experience.

It's this kind of excitement in the streets when I remembered our DOWNTOWN EVENING OPEN HOUSES as a great way to show off our downtown listings when people are already there;  working or playing.   

This THURSDAY!  The RED HOT Cardinals have a day game at 12:15pm and our Evening Open house at 4:30pm gives time for a bite to eat and a visit to this fantastic loft!     The construction crews will have just left the new soccer stadium 2 blocks away.   See for yourself, what it's like to stick around downtown and enjoy the vibe!  

Check out the listing!

 

End of an Era: New Construction Sales

Last week, the final developer owned condominium was sold at the Syndicate, which is the last building actively selling inventory built before the great recession in downtown.

In 2006, an article was written in the Post Dispatch about the number of loft projects scheduled to be completed in 2007 at that point.   I was reading it with my wifebosspartner at Flannery's pub, when we saw a loft developer walking down the opposite side of the street.   With abnormal courage, my lunch date left the table and walked across the street to confront said loft developer on the insanity of what we had just read.   

2006 was a great year for loft sales.   The MLS states that 230 lofts were sold, and there were about 100 more that were sold directly through the developers for a total of about 350 total closed units.   In 2007, there were approximately 2,200 slated for completion according to the article.   The loft movement was in full swing, but that was CRAZY!  

Overall, the real estate market started to level off somewhat in

April of 2006, the recession officially started in 2007, and the market overall was steady until the stock market crash of September 29, 2008.     At that point, new loft projects, including the Syndicate, really began to suffer.  Property values all over began to slide, and buyers, planning on selling the big home in the burbs, backed out due to diminishing home equity and 50% drops in their stock portfolios.  Luxury lofts were suddenly not fashionable as the market for real estate became foreclosure happy.   Many developers lost everything and folded.   Some, with no regard for their clients, converted the remander of their inventory to rental units (Ely Walker, Ventana, Bogen).   Many projects just never happened (Chemical Building, Skyhouse, Jewel Lofts, Switzer Lofts, etc.)   


The insanity stopped when developers stopped building condos in favor of apartments.  Banks got wise to the games (aka fraud) taking place on condominium construction loans across the country and started protecting themselves.  

I've always admired the Syndicate developers, both for the product they delivered and how they always kept focus on maintaining their buildings value with their previous buyer's in mind.   Condos at the Syndicate (floors 9-16) remained on the market the entire time.   Despite having 53 out of 102 units remaining, only a portion were rented (23).  Prices had to be lowered, but were never 'fire sale' pricing.  The building virtually sold out of its regular inventory in December 2013 (except 2 penthouse units), and began converting the condos in the rental pool the following year.  

The units that had been converted to rental were two by two, taken out of rental circulation, 'cleaned up', repaired, painted and sold as the market called for them, until last week on Friday, when the 102nd unit was finally sold.   In addition to the Syndicate, the same process just took place at the substantially smaller Packard Lofts in Downtown West. 

This has a major personal twist, since we were

Alive Magazine Ad for the Syndicate --2011

hired in September 2010 as the last of the salaried sales team left for greener pastures.   Having represented 10 buyers in the building previously, we were given another amazing opportunity.   Representing Sherman and Associates for 9 years, caring for and selling 44!   While the building was always more than half full, starting out in a building with 20 listings was a lot to wrap our minds around.   We had represented other builders in the same way, selling out Moon Brothers Carriage Lofts and Westgate Lofts, but those buildings, the process was much smaller and much faster.  

In this case, the era that is ending, though personal, mainly focuses on the last of the "for sale" units described in that article in 2006 finally being sold.  It was unfortunate, after that article, and the ensuing financial crisis, caused a panic about downtown that was never accurate.   I'd hear people talk about the glut of unsold new construction in downtown St. Louis.   There obviously was a fair amount.   It was never as many as the public perception.  The most dramatic sale took place at the Dorsa building when Pyramid shut down, then Premier Bank, the note holder closed.   The FDIC took over and sold the building out quickly and with huge discounts.  Otherwise the number of unsold units was manageable.  

What's been good in regards to downtown, is that:   

1. Downtown continues to progress with major improvements
2. Whenever a building becomes 100% owner occupied, values improve.
3. The downtown market has reached equilibrium, and sanity returned a long time ago.

Adding Class(es) to Downtown

The Arcade Building Downtown has secured its needed ancor commercial tenant as Webster University has chosen to expand its presence downtown.  

The St Louis Business Journal reports that increasing classrooms, adding a cafe, an auditorium and more office space will be the anchor tenant, but declined to state how much of the commercial space will be used by the university.

The upside of this move is big for the city in that it will allow development of a historic gem to be completed and backed financially by a credible institution in St Louis.  Nice too that Webster will be increasing its activity downtown, despite not really knowing what extent that will be. Completion is scheduled for 2016.

My hopes are that the actual arcade within the first two floors will allow for additional commercial development and public use of those amenities.  That seems to be what the first two levels of the Arcade building is designed for, rather than a secured entry with more lower level offices and classrooms.  The remainder of the building is still going to be used for downtown apartments and artist lofts which will add to the density of the area, but retail establishments will be needed to attract tennants and fullfill the needs of downtown.   

Phenomenal Spaces Available in Downtown St Louis!!!

Getting ready to post the sales for the first Quarter of 2014 has me excited!  There were some fantastic lofts sold and a busy downtown market.  

These are some awesome listings that are available as of today!  The top one, PRINTER's 403  is a fantastic 2 bedroom 2 bath large space with a balcony and 2 parking spaces.  AT nearly 2100 sq ft, there's a great spot to add a 3rd BEDROOM if desired! We can't believe its still on the market!    

PRICED TO SELL AT $263,900!

This beauty was JUST LISTED by the Premier Team (it will be open as of 4/1/2014) and we're so excited for some lucky buyer!  

Originally built out as the developer's personal unit at the Meridian Lofts, this combination of 2 normal sized units into one huge corner space is exquisite!  

Top of the line appliances and phenomenal views of the loft district, this space is mind blowing!   On top of all the obvious features, the fact that each window was replaced with sound deadening windows.  

Phenomenal Experience at $519,900    

2013 will be remembered as the year that the real estate market 
turned the corner towards a full recovery.   

 Downtown St. Louis was no exception.  

The residential markets have a positive backdrop from other sectors of the market, like the completion of SLU Law School, actual construction of Ballpark Village, and the CityArchRiver ground-breaking.  Finally seeing the change of hands of the portfolio of properties owned by the Roberts brothers also took a level of uncertainty out of the market.  

In the residential market, once again, sales volume was at a 5 year high with 116 lofts sold.  Unlike past years though, we experienced a new limiting factor on the number of sales:  lack of inventory.   Last year, there were 277 lofts on the market, this year there were 184.  Last year there were 158 rental transactions, this year there were 131.  All the above information is based solely on MLS sales.

1015 Dorsa #305 Sold Fast--'0' days on market in 2013!

In the fall, our National Association of Realtors economist described the "wait and see" effect of home seller's creating a lack of homes for buyers.  For all practical purposes, this 'wait and see' game has been going on since 2007, except that this year there are very few distressed sales and other bulk opportunities like we had at the Syndicate.

Pricing continues to trend upwards slowly, with the current average for all of Downtown and Downtown West being $113.55/ square foot.  That increase is only slight, but the average square footage of units sold was 116 square feet larger year over year, keeping the average level.  Pricing is still depressed from the peak of the downtown market, but for many loft owners, the option of selling is substantially more realistic today than it was a few years ago. 

Some encouraging points for 2014

1. The same as last year, the number of condominiums probably won't be             increasing - creating more demand.  
2. Opening of the 'Stan Span' north of Downtown will improve traffic flow in and out of downtown and will make better use of Tucker Boulevard.  In and of itself, just having the work done on Tucker will be a welcome relief both functionally and aesthetically.
3. Due to a 60% reduction in the refinance market, banks are feeling pressure to find ways to make more loans.  The end result is likely to be more investors willing to take on non-warrantable condos and FHA re-implementing the 'spot approval' of condo buildings.  

Here are the Downtown St Louis Lofts sold in 2013:


       Address                                         Unit #      Beds / Baths   sq ft.        Sale Price

Blu City Spaces  210 N 17th Street

210 North 17th 201 1 2 828  $52,000 210 North 17th St 703 1 1  $50,000 210 North 17th 409 1 1  $25,000 210 North 17th St 1207 1 0 427  $27,600 210 North 17TH 705 1 1  $37,255 210 North 17th St 1112 1 1 780  $36,300 210 North 17th 412 1 1  $45,000 Knickerbocker Lofts  507 N 13th Street

507		North	13th	210	1	1	683	$53,000
507		North	13th	401	1	1	814	$55,000
507		North	13th	706	1	1	1035	$56,900
507		North	13th	309	2	2		$104,000
507		North	13th	308	1	1	1023	$57,000
507		North	13th	605	3	2		$50,100

Lofts at 2020 (Sporting News Lofts)  2020 Washington Avenue

2020			Washington	309	1	1	1154	$100,000
2020			Washington	509	1	1	1161	$97,000
2020			Washington	713	2	1	1300	$92,000
2020			Washington	703	1	1	975	$89,000
2020			Washington	305	1	1	1050	$103,000
2020			Washington	701	1	1	1007	$90,750
2020			Washington	604	2	2	1293	$165,927
2020			Washington	607	2	2	1198	$144,000
2020			Washington	104	1	1	1478	$85,000
2020			Washington	501	1	1	1007	$95,000
2020			Washington	602	1	1		$103,000
2020			Washington	811	2	2	1812	$250,000

Motor Lofts 2207 Washington Avenue 

2207

Washington

302

2

2

1356

$83,000

Westgate Lofts  410 N Jefferson Blvd. / 2323 Locust Street

2323			Locust	203	2	3	2438	$215,000
2323			Locust	202	2	3	2289	$189,900
2323			Locust	212	2	3	2421	$179,000
2323			Locust	600	2	2	2366	$380,000

Terra Cotta Lofts 1501 Locust Street

1501			Locust	1008	2	2	1732	$188,500
1501			Locust	1108	2	2	1732	$194,000
1501			Locust	803	1	1	1053	$83,000
1501			Locust	201	1	1	1002	$101,500
1501			Locust	805	2	2	1495	$195,000
1501			Locust	509	2	2	1557	$176,000

Ventana Lofts 1635 Washington Avenue

None (better luck in 2014!)

Railway Lofts 1619 Washington Avenue 

1619			Washington	905	3	2	2605	$280,000
1619			Washington	803	2	1	1470	$120,000
1619			Washington	304	2	2	1595	$223,500
1619			Washington	801	1	2	1321	$189,900

Kingbee Lofts 1709 Washington Avenue 

1709

Washington

300

2

2

3079

$175,000

Windows Lofts 1601 Washington Avenue 

1601			Washington	204	1	2	1221	$149,500
1601			Washington	302	1	1	760	$82,500

Meridian Lofts 1136 Washington Avenue 

1132		Washington	Ave	506	2	2	1218	$187,000
1136		Washington	Ave	501	2	2	1808	$200,000
1136		Washington	Ave	503	2	2	1411	$156,000
1136		Washington	Ave	801	2	2	1872	$219,000
1136		Washington	Ave	510	2	2	1243	$137,000
1136		Washington	Ave	612	2	2	1133	$148,000
1136		Washington	Ave	806	2	2	1218	$135,000
1136		Washington	Ave	711	1	1		$72,500
1136		Washington	Ave	406	2	2	1218	$172,000
1136		Washington	Ave	505	2	2	1509	$148,200
1136		Washington	Ave	910	4	4	3482	$497,500
1136		Washington	Ave	407	2	2	1506	$235,000
1136		Washington	Ave	307	2	2	1508	$245,000
1136		Washington	Ave	210	2	2		$139,900

Lucas Lofts 1123 Washington Avenue 

1113

Washington

Ave

304

1

1

1115

$105,000

Louderman Lofts 315 N 11th Street

315

11th

802

2

3

1984

$195,000

Moon Brothers Carriage Lofts  721 N 17th Street

721		17th		308	2	2	1287	$163,800
721		17th		305	2	2	1316	$155,000
721		17th		206	1	2	1229	$154,000

Good Publicity for Moon Brothers & yours truly in April 2014  - Shot from Moon Bros Roof

 

Marquette Condominiums 314 N Broadway

314		N.Broadway		1706	3	3	2640	$405,000
314		N Broadway		1902	2	2	1128	$158,000
314		N Broadway		1701	2	2	968	$170,000
314		N Broadway		1207	2	2	1210	$245,000
314		N Broadway		1603	2	2	1368	$205,000

Ely Walker Lofts  1520 Washington Avenue

#717   1 / 1   1057    $105,000

Printer's Lofts 1611 Locust Street

1611			Locust	705	3	3	2593	$400,000
1611			Locust	606	2	2	1414	$200,000
1611			Locust	504	2	2	1576	$216,000

Printer's Lofts 1627 Locust Street

1627			Locust	401	2	2	1168	$152,000
1627			Locust	704	1	1		$105,500
1627			Locust	504	1	1	797	$103,000
1627			Locust	706	2	2	1244	$196,500
1627			Locust	702	2	2	1279	$178,000
1627			Locust	601	2	2	1168	$171,000

Annex Lofts 1511 Locust Street

1511			Locust	805	2	2	1671	$223,000
1511			Locust	504	2	2	1404	$145,000

Alexander Lofts 1121 Locust Street

1121

Locust

501

2

2

2268

$380,000

Banker's Lofts  901 Washington Avenue

901		Washington	Ave	304	2	2	1960	$264,000
901		Washington	Ave	502	2	1	1496	$229,900
901		Washington	Ave	205	2	2	1614	$225,000
901		Washington	Ave	308	1	1	1249	$131,000
901		Washington	Ave	307	2	2	1558	$208,000

10th Street Lofts  1010 Saint Charles Street

1010		St Charles	St	1001	2	2	1688	$225,500
1010		St Charles		504	2	2	2936	$275,000
1010		St Charles	St	1003	2	2	3073	$475,000

Dorsa Lofts    1015 Washington Avenue

1015		Washington	Ave	404	2	2	1965	$263,000
1015		Washington	Ave	308	2	1	1290	$170,000
1015		Washington	Ave	305	2	2	1885	$260,000

Edison Condominiums  400 S 14th Street

400		14th		1001	12	3	5863	$725,000
400		14th	St	1104	3	2	1527	$218,000

Syndicate Condominiums   915 Olive Street

915		Olive		1604	3	3	3027	$547,900
915		Olive	St	1009	2	2	1575	$260,000
915		Olive	St	1104	1	1	1017	$169,000
915		Olive		1101	2	2	1664	$265,500
915		Olive		1201	2	2	1664	$267,000
915		Olive		1505	2	2	1543	$259,000
915		Olive		1507	2	2	1496	$260,000
915		Olive		1510	2	2	1414	$257,500
915		Olive		1610	3	2	2792	$600,000

Elder Shirt Lofts  703 North 13th Street

703		13th		503	2	2	3253	$432,000
703		13th		407	2	2	2516	$258,500

Eden Lofts  1720 Chouteau 

1720		Chouteau	Ave	205	2	2	1232	$90,000
1720		Chouteau		105	2	2		$100,000
1720		Chouteau		204	2	2	1396	$100,000
1720		Chouteau	Ave	101	2	1	1232	$60,700
1720		Chouteau	Ave	304	2	2	1379	$82,600

Happy New Year from the Premier Team!

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