November 17, 2009 – With only about six weeks left in 2009, we probably have all of the major Chicago real estate auctions out of the way for this year. There certainly could be more next year, but in the immediate future what buyers of Chicago condos may see more of is price cuts on existing inventory and uncertainty for the few developments that are set to deliver next year.

The most recognizable projects that are due to deliver in 2010 and 2011 with a combined total of about 1,000 units are the Ritz-Carlton Residences with 86 luxury condos, Ten East Delaware with 121 units, Walton on the Park with 198 condos and One Museum Park West with 298 condos.

The Ritz still has a long way to go on the construction side and had been stalled for some time until financing was secured. Sales hovered around 40% to 45% for a lengthy period of marketing, and haven’t gone through the roof since construction picked up speed. Prices have remained steady with no reductions and starting at about $1.25 million.

Ten East Delaware prices have been running anywhere from about the $560,000s to $2.25 million. Deliveries were supposed to start this fall, according to the building website.

For One Museum Park West, there has already been speculation of it converting to a rental tower, but it is just speculation. The last public sales numbers put unit contracts just over 200 of the 298 available. Prices on the remaining unsold condos there are listed from the low $500,000s to over $2 million.

Lastly, unless the housing market improves in a hurry Walton on the Park will probably be a single tower. The one building that is under construction is around 45% sold, and prices on the condos that are left run from the upper $400,000s to more than $2.7 million. Both Walton on the Park and Ten East Delaware could be affected by the Corus Bank fiasco as well.

The landscape of Pre Construction Condos in Chicago seems to be constantly changing, and we’ll keep you posted about all the ups and downs so check back regularly.

[tags]Walton on the Park, Pre-Construction Chicago Condos, Chicago Real Estate[/tags]

November 16, 2009 – The other major Chicago real estate auction that took place this past weekend was for around 40 Chicago condos at the Michigan Avenue Tower II. According to the data being posted about the event, all of the units were sold and even though they went for around 25% to 26% less than list price, they still brought more than expected. Below is a list of what was sold, to the best of our knowledge.

Studio/1BA/580SqFt/was $135,900/Min Bid $99,000/Sold for $160,000
1BR/1Bath/692SqFt/was $239,000/Min Bid $120,000/Sold for $180,000
1BR/1Bath/629SqFt/was $238,900/Min Bid $120,000/Sold for $182,000
1BR/1Bath/692SqFt/was $238,900/Min Bid $120,000/Sold for $182,000
1BR/1Bath/692SqFt/was $240,900/Min Bid $120,000/Sold for $186,000
1BR/1Bath/692SqFt/was $241,900/Min Bid $120,000/Sold for $185,000
1BR/1Bath/692SqFt/was $243,900/Min Bid $120,000/Sold for $188,000
1BR/1Bath/692SqFt/was $246,900/Min Bid $120,000/Sold for $183,000
1BR/1Bath/692SqFt/was $246,900/Min Bid $120,000/Sold for $188,000
1BR/1Bath/692SqFt/was $252,900/Min Bid $120,000/Sold for $182,000
1BR/1Bath/783SqFt/was $302,900/Min Bid $135,000/Sold for $218,000
1BR/1Bath/783SqFt/was $305,900/Min Bid $135,000/Sold for $221,000
1BR/1Bath/783SqFt/was $308,900/Min Bid $135,000/Sold for $219,000
1BR/1Bath/783SqFt/was $314,900/Min Bid $135,000/Sold for $220,000
1BR/1Bath/783SqFt/was $320,900/Min Bid $135,000/Sold for $220,000
1BR/1Bath/751SqFt/was $264,900/Min Bid $135,000/Sold for $198,000
1BR/1Bath/751SqFt/was $266,000/Min Bid $135,000/Sold for $202,000
1BR/1Bath/751SqFt/was $276,000/Min Bid $135,000/Sold for $204,000
1BR/1Bath/751SqFt/was $279,900/Min Bid $135,000/Sold for $211,000
1BR/1Bath/751SqFt/was $282,900/Min Bid $135,000/Sold for $208,000
1BR/1Bath/751SqFt/was $285,900/Min Bid $135,000/Sold for $212,000
1BR/1Bath/751SqFt/was $306,900/Min Bid $135,000/Sold for $222,000
1BR/1Bath/825SqFt/was $305,000/Min Bid $150,000/Sold for $243,000
1BR/1Bath/825SqFt/was $316,000/Min Bid $150,000/Sold for $251,000
2BR/2Bath/1,027SqFt/was $345,900/Min Bid $175,000/Sold for $274,000
2BR/2Bath/1,027SqFt/was $363,900/Min Bid $175,000/Sold for $279,000
2BR/2Bath/1,027SqFt/was $366,900/Min Bid $175,000/Sold for $281,000
2BR/2Bath/1,027SqFt/was $381,900/Min Bid $175,000/Sold for $286,000
2BR/2Bath/1,027SqFt/was $390,900/Min Bid $175,000/Sold for $285,000
2BR/2Bath/1,027SqFt/was $395,900/Min Bid $175,000/Sold for $297,000
2BR/2Bath/1,027SqFt/was $391,900/Min Bid $175,000/Sold for $305,000
2BR/2Bath/1,115SqFt/was $439,900/Min Bid $200,000/Sold for $317,000
2BR/2Bath/1,144SqFt/was $520,000/Min Bid $200,000/Sold for $296,000
2BR/2Bath/1,144SqFt/was $525,000/Min Bid $200,000/Sold for $317,000
2BR/2Bath/1,259SqFt/was $559,000/Min Bid $235,000/Sold for $338,000
2BR/2Bath/1,259SqFt/was $446,900/Min Bid $235,000/Sold for $327,000
2BR/2Bath/1,259SqFt/was $559,000/Min Bid $235,000/Sold for $336,000
2BR/2Bath/1,260SqFt/was $429,900/Min Bid $235,000/Sold for $302,000
2BR/2Bath/1,260SqFt/was $435,900/Min Bid $235,000/Sold for $326,000
3BR/3Bath/2,120SqFt/was $682,000/Min Bid $375,000/Sold for $601,000

It will be interesting to see what these two auctions do to the prices of other Chicago Condos that are for sale right now.

[tags]Michigan Avenue Tower II, Chicago Condos, Chicago Real Estate[/tags]

November 15, 2009 – With the Motor Row Lofts auction now history, we thought you might be interested in seeing how much some of these Chicago condos sold for today. These aren’t all of the units that went up for bid at this Chicago real estate auction, but this is all the infomation available this early after the event. To the best of our knowledge the numbers are correct.

Unit#303/1BR/1Bath, 1,057 SqFt, Was $312,900, reserve auction price. Sold for $187,000.

Unit#317/1BR/1Bath, 926 SqFt, Was $279,900, Min Bid $140,000. Sold for $187,000.

Unit#206/2BR/2Bath, 1,440 SqFt, Was $431,900, Min Bid $210,000. Sold for $250,000.

Unit#212/2BR/2Bath, 1,418 SqFt, Was $428,000, Min Bid $210,000. Sold for $237,000.

Unit#302/2BR/2Bath, 1,389 SqFt, Was $421,000, Min Bid $210,000, Sold for $250,000.

Unit#304/2BR/2Bath, 1,253 SqFt, Was $363,900, Min Bid $180,000. Sold for $207,000.

Unit#306/2BR/2Bath, 1,140 SqFt, Was $434,900, Min Bid $210,000. Sold for $286,000.

Unit#311/2BR/2Bath, 1,294 SqFt, Was $394,000, Min Bid $180,000. Sold for $206,500.

Unit#313/2BR/2Bath, 1,215 SqFt, Was $391,900, Min Bid $180,000. Sold for $215,000.

Unit#315/2BR/2Bath, 1,227 SqFt, Was $394,000, Min Bid $180,000. Sold for $206,500.

Unit#404/2BR/2Bath, 1,253 SqFt, Was $371,000, Min Bid $180,000. Sold for $207,000.

Unit#503/2BR/2Bath, 1,359 SqFt, Was $474,00, Min Bid $240,000. Sold for $247,000.

Unit#507/2BR/2Bath, 1,175 SqFt, Was $407,000, Min Bid $210,000. Sold for $250,000.

Unit#508/2BR/2Bath, 1,591 SqFt, Was $589,000, Min Bid $295,000. Sold for $313,000.

Unit#201/3BR/2Bath, 1,649 SqFt, Was $472,900, Min Bid $240,000. Sold for $286,000.

Unit#501/3BR/2Bath, 2,049 SqFt, Was $659,000, Min Bid $359,000. Sold for $316,000.

Unit#504/3BR/2Bath, 1,657 SqFt, Was $589,000, Min Bid $295,000. Sold for $285,000.

Unit#506/3BR/3Bath, 1,755 SqFt, Was $609,000, Min Bid $295,000. Sold for $313,000.

We’ll have to wait and see if these auction prices have any affect on how much other developers list their unsold Chicago Condo Lofts for in the near future.

[tags]Motor Row Lofts, Chicago Condos, Chicago Real Estate[/tags]

November 13, 2009 – Since there has been so much buzz about Chicago lofts lately, we thought we’d have a refresher on one of the soft loft projects under development right now. Ecologic Lofts, planned for 2359 North Seeley Avenue in Bucktown, is a product of Chicago real estate developer Senco Properties. When completed, the low-rise building will have seven stories and 94 one to two bedroom and bath units that are priced from the $210,000s to $400,000s.

Although the building isn’t a warehouse conversion and so technically not a hard loft, there are still design elements like exposed ductwork and concrete that should satisfy a loft lover. And with the green, earth-friendly features as the name implies, these condos should also appeal to that market.

There are no CFC refrigerants in the building and the wind turbines on the rooftop will generate up to 2% of the building’s energy. The low E insulated window glass, insulated exterior concrete and high R value wall insulation are energy saving features. Over 20% of the materials used in construction will be recycled materials and over 20% of the building materials were purchased within 500 miles of Chicago. During construction, at least 75% of the excess building supplies will be used for recycling and not trashed. Waste water will be reduced up to 30% through eco-friendly features like dual or low flush toilets and low flow faucets. And bamboo flooring will reduce the impact on hardwood forests.

Anyone shopping for Chicago Lofts right now has quite a few developments from which to pick. Some are ready for delivery while others are still under construction. A high percentage are offering reduced prices or even rent-to-own programs as well.

[tags]Ecologic Lofts, Chicago Lofts, Chicago Real Estate[/tags]

November 12, 2009 – The latest chapter in the Chicago Spire saga has hit the press. Not too long ago the Spire made the news over an ongoing dispute with the owner of the NBC Tower, where the full floor sales center is located and could face eviction. Now, Garrett Kelleher of Shelbourne has filed a counter law suit against the Bank of America in response to their $4.9 million suit filed in August over unpaid loans, according to a Crain’s report.

Shelbourne Development is stating in the counter suit that Bank of America has miscalculated the interest on the two loans for early development costs for the Chicago real estate project, and says that they are quote, “concealing the true interest rate the bank intended to charge for a calendar year.” The developer claims that the interest was calculated on a 360 day year, not 365 days, and is over charged. Shelbourne also claims that even though a construction loan wasn’t secured by a November 1, 2008 deadline, that isn’t a default either because of quote, “an unforeseeable and unprecedented economic downturn.”

Shelbourne Development also disputes Bank of America’s claim that nothing has been paid on the loans in question since November of last year because B of A used a $3.5 million certificate of deposit of Shelbourne’s and applied that to the loans.

With so many liens, lawsuits and counter suits, including an $11 million suit filed by architect Santiago Calatrava, it may be hard for this luxury Chicago condo project to dig itself out of the financial hole it’s in. And even if it does manage to get off the ground, it will be at least two or three years before those condos are ready for delivery. Until then, you can check out the other finished Chicago Condos in Streeterville.

[tags]Chicago Spire, Chicago Condos, Chicago Real Estate[/tags]

November 11, 2009 – More Chicago real estate developments with hotel condos are feeling the pinch when it comes to investors walking away from contracts. The latest reported project to alter plans is the Elysian, located on 11 East Walton Street in the Gold Coast. According to an article in Crain’s, the Elysian’s developer David Pisor has been unable to reach an agreement with the German based bank that financed a $203 million construction loan and will cancel the hotel condo portion of the high-rise.

Because of the failure to refinance or restructure the loan, the developer plans to cancel sales contracts for the hotel condo suites. “We’ve made the decision with our lender to eliminate the hotel-condo business model at the Elysian and focus purely on the hotel operation,” Pisor was quoted as saying.

The report also stated that there were indications that some of the buyers of the hotel condos wouldn’t be able to close. About 130 of the 188 hotel units had been under contract and the 60 story luxury tower had planned on opening this past July. The building will now open in December. Closings on the Chicago condo units in the tower are set for next week, and 48 of the 52 condos are currently under contract.

Canceling the 130 hotel condo contracts will cost the developer around $84 to $102 million according to the article. Without that income, just the residential condo sales and hotel operation income will be available to repay the construction loan. If Pisor continues to be unable to renegotiate the loan, there may be more problems down the road for the Elysian.

You can find out more about other Gold Coast Chicago Condos by following the link.

[tags]Elysian Hotel, Chicago Condos, Chicago Real Estate[/tags]

November 10, 2009 – It looks as though Chicago real estate developers aren’t the only ones who think the rental market will improve soon. Investors are showing some interest again as well. In what is being called the “biggest downtown real estate deal of the year” by Crain’s, the 480 unit Cityfront Place on 400 North McClurg Court was bought by Crescent Heights Inc of Miami for $83 million. According to the article, this is the first downtown apartment building to sell in over two years and a definite sign that the rental section may rebound before anything else in the housing market.

Crescent Heights has been known for Chicago condo conversions, including 30 East Huron and 655 West Irving Park Road. But Tomer Bitton of Crescent Heights was quoted in the article as saying that, “The condo market is dead. The rental market is at the bottom and is beginning to improve. We’re now going after multifamily rental properties nationwide.”

And according to Appraisal Research Counselors, just 25 condos were converted in the first nine months of this year. It’s assumed that Crescent Heights will keep the 39 story Cityfront Place as a rental building until the housing market and condo prices improve. The only comment Bitton would make about the possibility was that, “I don’t think anybody should think about selling condos anytime soon.”

If you are shopping for a rental unit, there is a wide selection of Chicago Apartments and condos for rent at the moment.

[tags]Cityfront Place, Chicago Condos, Chicago Real Estate[/tags]

November 9, 2009 – There were only 56 downtown Chicago condos and townhomes sold during the third quarter this year. That number dropped from the 313 that were sold during the second quarter, according to the latest report from Appraisal Research Counselors. In all, a estimated total of 600 units will be sold this year. Only 900 units are expected to be completed next year, a drastic decline from the 4,061 units of this year and 4,155 that were completed in 2008. For the year 2011, Chicago real estate developers will only add 86 new downtown condos and Chicago townhomes to the market.

In a recent Crain’s article that highlighted the ARC report, Belgravia Group’s Alan Lev was quoted as saying that, “2010’s going to be a better year than 2009. Nothing new is getting built. It seems as though things are stabilizing.”

But the ARC report also stated that to get buyers to actually purchase a unit, developers have had to cut prices by at least 30% or opt for an auction. In the third quarter of this year the walk-away rate from contracts was fairly high. About 23% of the new downtown projects confirmed that they had nets losses in sales. On the flip side, 52% said they had an increase in sales and 25% stated there was no change in sales numbers.

Gail Lissner of ARC stated that although there is over a six year supply of new condos right now if the sales continue at this slow rate, she believes that the market will improve and in two to three years the oversupply of Chicago New Construction Condos will even out.

[tags]Chicago Townhomes, Chicago Condos, Chicago Real Estate[/tags]

November 7, 2009 – If you’ve had any interest in purchasing a Chicago condo at 1720 South Michigan then you’re going to run out of options pretty soon, at least where units for sale from the developer are concerned. According to a recent press release, Chicago real estate developer CMK Companies has only four condos left for sale in the 498 unit high-rise.

The 33 story tower’s website lists what is left of the one bedroom condos from $219,900. The remaining two bedroom unit is listed in the $280,000 range. The three bedroom condos, which are sold out from the developer anyway, were priced from $359,900. An indoor parking spot is included with the purchase price of these condos.

Condos at 1720 South Michigan come pre-wired cabling for high-speed internet, cable and phone service, have thermal pane glass windows, 10′ ceilings, washer/dryer hook-ups and European kitchens with stainless steel appliances granite counter tops and double bowl sinks. Units also have designer lighting, oak hardwood flooring, vinyl covered shelving in the closets,
carpeted bedrooms and marble vanity tops plus ceramic tile flooring and surround in the baths.

Building amenities include a 24 hour doorman, bike storage room and dog run as the building is pet-friendly.

If you want to compare buildings and units with 1720 South Michigan, there are some other great Downtown Chicago Condos also available.

[tags]1720 South Michigan, Downtown Chicago Condos, Chicago Real Estate[/tags]

November 6, 2009 – It looks as though Motor Row Lofts isn’t the only Chicago real estate loft development that is lowering prices. Prairie District Lofts has around 20 units that are being listed with up to 25% reductions. Kargil Development is calling this the final closeout sale on the remaining available lofts in the 116 unit building. In a Tribune press release, Keith Giles of Frankel & Giles states that, “Prairie District Lofts is one of the last true-loft buildings remaining in the South Loop.”

The lofts are located on 1727 South Indiana in a five story converted brick structure that dates back to 1905, according to the article. The classic loft design includes plenty of exposed brick, wooden beams and concrete. The condo lofts also come with hardwood flooring and carpeted bedrooms, 12′ to 20′ high ceilings, fireplaces, oversized windows, track lighting plus washer and dryer hook-up. Mr. Giles stated that the condo lofts on floor four come with oversized rooftop decks while others have a balcony or garden terrace.

Building amenities at Prairie District Lofts include a fitness center, landscaped atrium, laundry rooms, rooftop sundeck, bike room and storage lockers.

The one to four bedroom, one to two bath condo lofts now range in price anywhere from about $227,800 to $379,800 and the development is FHA approved.

You can check out the other Chicago Condo Lofts for sale right now and see which ones best suit your budget and lifestyle.

[tags]Prairie District Lofts, Chicago Condo Lofts, Chicago Real Estate[/tags]