We have seen very strong absorption in a number of downtown neighborhoods over the last two years. New-construction inventory is way down, and there are areas where pricing is definitely firming up.
Chicago, IL (PRWEB) May 17, 2012
Chicago real estate brokerage firm, @properties, today released its inaugural @report, an overview of market trends and pricing for condominiums in downtown Chicago. @properties co-founders Michael Golden and Thaddeus Wong said the @report will give residential developers, investors and institutions a clear picture of hyper-local market conditions in order to help them make more informed decisions regarding future development, investment and asset dispositions.
The 2011 @report covers attached residential (condominium and townhome) sales in the Gold Coast, River North, Streeterville, the West Loop, the South Loop, Lincoln Park and Lakeview. It tracks average price per square foot (PSF), market times and inventory levels for a number of product categories including new construction and existing-home sales.
Golden and Wong said the report reveals a market that overall lost value in 2011 but showed signs of stabilization. Among the findings in the @report:
- Gold Coast condominium prices fell 8% on a per-square-foot basis; however, the drop-off was confined to new-construction, which averaged $738 PSF for the year, down from $801 in the prior year. Resale prices actually rose 1% to $403 PSF.
- River North PSF was also down roughly 8%, largely as a result of discounting in new-construction. The average price per square foot for a condominium in River North in 2011, including resales and new-construction, was $295.
- In the South Loop, the spread between the asking price and closed price for new-construction condos is almost $100 per square foot, with active listings averaging $434 PSF and closed listings averaging $336 PSF. The overall price per square foot in the neighborhood fell 16.8%, year over year, to $233.
- The price of Lincoln Park new construction rose 2.71% to $341 PSF. Larger floor plans were in favor as buyers learned on increased affordability and took a longer-term view of their housing situations.
“We have seen very strong absorption in a number of downtown neighborhoods over the last two years. New-construction inventory is way down, and there are areas where pricing is definitely firming up," said Golden.
“While the market is still recovering, we believe demand is starting to build for the next cycle. The @report will help us keep a close eye on pricing and spot emerging trends,” said Wong.
Golden and Wong said the @report will be updated on a semi-annual basis.
To obtain a copy of the @report, contact Michael Golden (mikegolden(at)atproperties(dot)com) or Thaddeus Wong (thadwong(at)atproperties(dot)com).
@properties is the No. 1 Chicago real estate brokerage firm and the city’s leading firm for the sales and marketing of new-construction and condominium-conversion developments. Since 2000, @properties has successfully represented more than 150 residential developments totaling more than 5,000 residential units with an aggregate value of more than $2.2 billion. Recent projects include: R+D659, 770 Lofts and 565 Quincy (co-marketed with Belgravia Realty) in the West Loop; Ten East Delaware, 30 West Oak and Elysian Private Residences in the Gold Coast; and Six North Michigan and The Legacy at Millennium Park in the Loop. For more information, visit http://developers.atproperties.com or http://www.atproperties.com.