Seattle Condo Review: Blog with News & Advice about Seattle Condos

Seattle Condo Market Update

The April numbers are in and there's good news and bad news.  Let's start with the bad news.

• For the first time in a long time, median prices in Belltown dropped.  If you remember my last update in March, we saw median prices rise over 13% versus March 2007.  In April, we saw median prices drop by 7%.  We'll have to see how the next few months play out to determine if this is the adjustment we've all been waiting for so that buyers on the sidelines can come back in or if prices drop further.

The good news:

• April over Apil inventory (April 2008 as a proportion of April 2007 inventory) has come down compared to March over March numbers.  In March, Belltown inventory was 51% higher than March of 2007.  In April, Belltown inventory was 41% higher than April of 2007.  If this trend continues, it would suggest that there while we are certainly seeing more units on the market than last year, there does appear to be a ceiling in terms of how much more supply is entering the market and as a result (all else equal), we will have a floor on how low prices will ultimately go. 

Hjarta Update

Thirt-nine out of the total seventy-nine Hjarta homes are sold with buyers moving in since last month.  After touring the building with Sam Ward, the sales manger, I felt like I was given a crash course in green building features. The condo is seeking LEED Silver Certification.  When asked about the higher price per square foot for this building versus other new construction projects in the neighborhood, Sam pointed out that the average price for LEED certified building is 4.8% higher than non-LEED certified building.  In return, you get better air quality, efficient use of energy and long term cost savings for the homeowner association.

Here are some green features in the building:

• Decorative materials in the lobby entrance-recycled glass from Bedrock (a local company)
• Cork floorings in the amenity areas
• Concrete walls in the hall ways which require minimal upkeep
• Recycled glass back splashes in the kitchens
• Low volatile organic compound level in carpets, paints, sealants and adhesive - which also produces better air quality
• Recyclable content tile floors in the bathrooms
• High performance windows which reduce vibration from street noise and heat transfer
• Carpet square floors in the bedroom which use nylon and recycled content and can be replaced more easily when there is stain
• Drought tolerant landscaping
• Electrical car parking in the garage

You don't see a lot of granite materials except for the fireplace and even those pieces are excess granite from other developers.

Olive 8 Hard Hat Tour

I went on an Olive 8 hard hat tour yesterday.  As the construction elevator started rising, the views just get better.

We started the tour on the 26th floor.  It was still in a raw stage with only some structural columns and walls but at least you can try to visualize the unit space with the help of a floor plan.  The northwest units view are good but they are partially block by several high rise buildings including the Westin Hotel towers.  My favorites are the north facing units which look over South Lake Union. You definitely get more water views that way. The 08 floor plan is facing the Qwest building looks right into their offices -- not ideal unless you're a Qwest exec I guess.  On the bright side, the 08's are priced very attractively which may explain why they're almost sold out of that plan. 

According to the project engineer, they are paying great attention to the noise transmission level in the condos.  An audio-acoustic company will be sent in to conduct testing in the units after the insulation is installed.  The condo will be tested three times side by side, top and bottom before drywalls are put up.

Some readers commented about the exterior a while ago.  They are using ceramic fritted glass (ceramic based paint permanently bonded into glass) which also helps hide the columns from the exterior.  Here are some more pics.

Stadium Lofts Update

The redesign of Stadium Lofts is causing the project to take longer to complete.  The developer, Nitze-Stagen, and preservation group, Historic Seattle, had initially proposed the stadium Lofts project to be a two-story building. The new plans calls for four additional stories with 70-80 lofts and flat above retail space. This will bring the condo height to approximately 100 feet. A new developer, Maria Barrientos, will be leading the project, although Nitze-Stagen and Historic Seattle will remain involved.

They are currently getting final approval from the city for the new design. One of the major focus areas of the redesign will be to provide parking for more of the homes by rearranging and/or eliminating some of the first floor units. A focus group will be held in May to get a better idea of what sort of finish packages and design elements they will use going forward. The sales center is likely to open either late 2008 or early 2009. Based on the current schedule, the building will be ready early to mid 2010.

Previous Posts:

Stadium Lofts
Stadium Lofts update
Stadium Lofts- Coming soon

-Wendy

The Danielle

The Danielle will be the latest addition to the Ballard neighborhood (5803 24th Ave NW).  The building is designed by award winning Seattle architect, Roger Newell and it is only a couple blocks away from Noma.  Prices for these 31 homes start from the $200,000's to $900,000's.  Interiors of the homes will feature the following:

• Granite countertops, stainless steel appliances, hardwood floors, tall windows and smart-home wiring
• Radiant floors in kitchen and master bathroom
• Advanced security system
• Walk in closets 
• Large decks, patios or terraces
• Amenities such as roof top deck

The condo is slated for completion in 2009 with sales beginning in fall 2008.

Condos in the same neighborhood: Noma, Canal Station and Hjarta.

-Wendy

The Marlborough Update

After rolling out Queen's Court, the Pittsburgh, Nord and Betsy Ross, Live Historic launched their 5th conversion projects, the Marlborough yesterday.  This time the project is on First Hill.

Earlier yesterday before the launch party, workers were busy cleaning up the place and finishing last minute touch ups to the lobby while stagers were prepping the model units.  The vintage charms were evident from the Marlborough seals on the lobby windows, old school mail boxes, crown molding, original french doors, coffered ceilings, and arched windows.

According to Ben Rankin, Principal of Pioneer Property Group, a handful of the units are sold and they are retaining the rest of the inventory for the launch party. The building has been extensively remodeled including new wiring, plumbing, electrical, refinishing of hardwood floors, and replicating of some of the vintage details.  The main envelope work includes the new roof, windows, and cleaning and repairing of the terra cotta carvings.

Conversions and Rental Market Report

Dupre + Scott Apartment Advisor has reported on the rental market for King County and Seattle for March 2008. Here are some interesting highlights from their report.

1. In March, 4.1 percent of King County apartments and 3.1 percent of those in Seattle were vacant, only up a smidgen from March 2007 when vacancies were at 3.9 percent in the county and 2.8 percent in Seattle and still less than half of the 2003 vacancy rates.
2. One big reason vacancies have started increasing is that the housing slump has dramatically slowed down new conversions of apartments into condominiums.
3. 2006 conversion bonanza: conversions hitting the market went from 900 in 2003 to 1,800 in 2004; 3,600 in 2005 and more than 6,000 in 2006 -- fueled the drop in the vacancy rate during those years. But conversions fell to 2,800 last year (subtracting 1,200 units that started to convert, then reverted to rentals) and just 168 units have converted or are scheduled to convert so far this year.
4. Conversions in the past three years outpaced new development by a total of 5,400 units.
5. Apartment rents averaged $1,026 in King County and $1,071 in Seattle in March 2008, up about 8.5 percent in both cases from March 2007.

Overall, this is good news for condo owners who are already renting out their units or considering renting them out in the near future.  For renters, it appears that while rents won't be going down anytime soon, they are not likely to be continuing to increase as much as they did last year.

-Wendy

Live Historic Launch Party - The Marlborough

Live Historic will be throwing a launch party for their latest conversion, The Marlborough on First Hill (1224 Boren Ave) tomorrow from 5.30pm to 9.00pm. The 13-story building is designed by London-born architect Bertram Dudley Stuart and will feature 83 homes with studio, one bedroom and two bedroom floor plans priced from $225,000 to $1,165,000. More information coming up. Stay tuned.

-Wendy