Monthly ArchiveOctober 2009
October 31, 2009 - Rental fever seems to be spreading as Jack Berger, the Chicago real estate developer behind the Mondial, also has announced that he may switch that tower’s condos to apartments. Me. Berger recently stated in a Crain’s article that just 50 of the 15 story building’s 141 condos are under contract and he just made the move of canceling those contracts with buyers.
Mr. Berger says he will know by the end of December whether or not he will rent the units. He told Crain’s that he believes there will be a high walk-away rate on what sales contracts he does have, and is already in negotiations with Wells Fargo Bank on the $42 million construction loan that matures around mid 2010.
The Mondial sits on 900 West Huron Street in River West. With 676 to 3,100 square feet of living space, the condos have one to three bedrooms. Finishes include the usual hardwood floors, stainless steel appliances, granite counter tops and marble tile plus oversized tubs in the baths. Building amenities are scaled back a bit, with a 24 hour doorman, indoor garage parking and green roof top deck for residents. The condos have been listed between the $230,000s and $950,000s.
Even with so few new developments, there is still a surplus of Condos In Chicago, many of which have reduced prices. So be sure to check back here for all the latest news about deals and incentives.
October 30, 2009 - There has been quite a bit of speculation about whether or not Trio may switch from for-sale condos to rental apartments. That speculation gained some credence recently when RDM Development said in a Crain’s article that they were indeed considering that option for this Chicago real estate project.
The two mid-rise buildings of the Trio complex have 109 condos between them and around 82 of those are currently sold, according to the article. The final phase of the project, a 22 story high-rise, won’t be ready for residents until February 2010 at the earliest. Only 30 of the 100 condos in that tower are under contract. Add in the fact that Bank of America holds a $30 million construction loan on Trio that will come due about this time next year and RDM has a tough decision to make.
RDM Development president Robert Moskey told Crain’s that he will decide Trio’s fate in the next 180 days. That time frame would probably allow him to cancel purchase agreements and start marketing the high-rise as a rental tower before it’s completed and ready for move-in. Mr. Moskey also stated that if the condo market doesn’t improve he will most likely convert to rental.
The condos at Trio, located on 650 West Wayman Street, range from one to three bedrooms and one to three baths. Pricing runs anywhere from about the $220,000s to $370,000s and it is FHA approved. Hardwood flooring, bedroom carpets, European kitchens with granite counter tops and stainless steel appliances are standard. The condos also come with stone tile in the baths, glass mosaic tiles and a terrace. Trio has a 24 hour doorman, fitness center central landscaped courtyard and roof top garden space.
The sluggish housing market is still causing more developers to switch to rental projects, but you can still find plenty New Chicago Condos for sale.
October 29, 2009 - For any of you who haven’t heard, the $8,000 first-time homebuyer tax credit is going to be extended beyond the original December 1, 2009 deadline. The measure was agreed upon on this past Wednesday, and the credit will now be in effect well into 2010, according to an AP news article.
First time home buyers will be able to sign purchase contracts until the end of April, 2010. Closing would have to take place by the end of June 2010. Also, a reduced tax credit of $6,500 will be offered to repeat home buyers who have owned their current residences for a minimum of five years, according to the article. Most Chicago real estate experts agree that the federal tax credit has been a large incentive to many buyers. According to the National Association of Realtors, an estimated 1.2 million buyers nationwide have applied for the tax credit.
Many Chicago developers have lowered prices or in some cases even offered to match the $8,000 credit in an effort to boost sales before the old deadline. With six more months of eligibility added onto the tax credit, we’ll have to wait and see if developers continue to slash prices on Condos In Chicago. Or they may hold out a little longer in hopes that spring, typically the best time to sell condos, will boost sales right along with the $8,000 federal incentive.