Downtown Seattle Condos | Blog & Reviews by Wendy & Marco

How Will the New Seattle Tunnel and Removal of the Viaduct Affect Condo Views and Values?

 The Seattle waterfront is undergoing an epic change that will forever change the face of the city from the water’s edge.  That change is the replacement of the aging Alaskan Way Viaduct.  After nearly a decade of debate, deliberation, public comment and vote, as well as even legislative action, the decision was made last year in 2012 to move ahead with the deep bore tunnel option as the replacement method for the two level elevated viaduct that currently runs along the Seattle waterfront.

I am going to do a blog series talking about the good, the bad, and the ugly from the condominium owner and buyer’s perspective with regards to this project.  I’ll hold my opinions until the end of the series, but I want to take you on a photo and map journey through the neighborhoods around the current viaduct that will be most impacted. Hopefully, this series will help bring some clarity and help folks make decisions about where they might want to live if they are looking into buying. Or if you currently own a Seattle condo in the affected areas, if and when you might want to consider selling and moving up to something different, or even staying put and enjoying what is to come.

We will start with where the tunnel is starting and where the viaduct has already partially been removed, which is Pioneer Square and the Stadium District (also called the south portal). This is the area where you see most of the construction going on currently.  What’s happening here?  They have basically temporarily rerouted highway 99 around an area where they are actively digging and constructing the south portal of the tunnel (aka, the Pit). This is where the big boring machine will be starting its dig to the north deep beneath the city.  You can consider this ground zero, where it all starts.

Building Most Likely Affected In:
PIONEER SQUARE & STADIUM DISTRICT

Client Question of the Week: Is the VA Loan Program Available for Condos?

This week, new clients of mine wondered what their options were for a downtown condo that would qualify for the VA loan program. The Department of Veteran Affairs loan program is available to those military veterans and active duty personnel that have accumulated enough service time to be eligible for the favorable terms afforded by this loan program.  Benefits over conventional loan programs include market interest rates, reduced down payment requirements, no monthly mortgage insurance, as well as more flexibility with debt to income ratios and closing costs.

What’s the catch? Condominium buildings must go through the VA's condo project approval process.  Similar to the FHA approval process, an HOA would need to provide supporting documents verifying the eligibility of the condominium community as a whole.  No longer can an individual condo owner seek VA approval if they are either refinancing or selling their condo.  It's all or nothing.  VA looks at things such as overall financial health of the HOA, percentage of rental units, percentage of units that are delinquent on dues, and level of insurance protection, to name a few.  Currently, very few VA approved condominium buildings exist in the downtown core of Seattle.  Newer condo projects in the Downtown, Belltown, Midtown and South Lake Union area especially, lack this VA approval.  So it can be challenging for those wanting to use the VA loan program to find options in our already low inventory market.

19th Avenue Lofts – Capitol Hill

Recently we have received requests to include other neighborhoods into our Seattle Condo stats and condo reviews that are outside of Downtown, Belltown, and Queen Anne. 

We will start on Capitol Hill this week at the 19th Avenue Lofts.  I think this is a forgotten building because of it’s off the beaten path location on the Hill.  But really, it is still very close and walkable to the 12th Ave District, Pike Pine Corridor as well as shops and eateries on 15th Ave. These cool hip lofts can be ideal if you want to be close to everything Capitol Hill has to offer, but not right in the middle of it. Built in 2004, and having only 45 units, it's also a good draw for those who prefer not to live in huge condo communities but it's large enough to give you plenty of neighbors to get to know and socialize with if that's your thing. The architecture and design are based on industrial spaces and work lofts and feature very minimalist interiors. Most units still have the original polished concrete floors, wood planked ceilings, exposed timbers and open kitchens.

FHA Changes Mean Help for Condo Buyers, Sellers and HOAs

The Federal Housing Authority (FHA) recently changed several of its outdated and controversial guidelines, which might help those looking to buy or sell a condo.  Rule changes are “temporary” but include things such as increases to the allowance on percentage of commercial space within a condo project, increased flexibility on percentage of delinquent HOA dues, less liability for HOA Board Members who sign off on the FHA application, as well as allowances for increases in the number of units that can be rented at one time or owned by one person in a building. All of these changes have the ability to help condo buildings, condo owners, and of course buyers who are using FHA loans.

A recent article in the Seattle Times summarized some of the key relaxed guidelines the FHA recently announced.   I wanted to share this article with you and go into more detail about how it affects us here in Seattle. If you are a buyer, seller, or HOA board member, and FHA has been a topic of recent discussions, you might want to revisit it. As of September 13^th you now have more options so I’d take another look to see if your condo building or one you thought about buying in might now be in a position to get FHA approval.

Client Question of the Week: My condo's tax assessed value went down, does that mean my condo value decreased?

Recently a client emailed me a great question that we felt many people would benefit from knowing the answer to.

“Marco, I recently received a tax assessment notice in the mail and it showed my condo value has gone down since I bought it earlier this year. But I'm seeing condo prices in the area are increasing. Should I appeal to the tax assessor’s office to increase my tax assessment to be more in line with recent market sales, as I'm afraid this might hurt my condo's value now and in the future? I realize this might mean my annual taxes may go up, but I'm just not sure what is best.”

Great question!

Belltown Condos: Belltown Lofts

Belltown Lofts is an interesting 6-story condo tucked in the corner of Bell St and Western Ave. It received a green honor award by AIA, the Built Smart certification from Seattle City Light, and obtained historic landmark status. The condo is comprised of two portions: a renovation of an existing building and an addition. 

The south portion was an old warehouse built in 1914 and was renovated by Driscoll Architects and U-Arc Design. It was completed in 2000. This 3 floor portion houses 25 loft homes. The majority of them are 2 story lofts with exposed brick walls and wood beams. Penthouses come with their own private rooft top deck.

The north portion is a new building that was added during the renovation and has 33 traditional flat units featuring one and two bedroom floor plans. The lobby has a display of art work that resembles an art gallery. The community shares a common rooftop deck and a bamboo courtyard with water fountains. A few of the units on the street level are live/work lofts and have access directly to Western Ave. 

Belltown Lofts' location is a mixed blessing. It's conveniently located close to Pike Place Market and the waterfront but it's also right next to the Alaskan Viaduct Way, creating a little bit of road noise for homes on the east side of the building. The proposed new tunnel going underground should greatly improve curb appeal. The layout of the traditional flats are functional and open with big windows. Loft homes have ceiling heights as high as 20 feet, which is kind of neat. Belltown Lofts is a great one to check out if you're fond of the brick style loft homes, since there are a limited selection for this type of homes in the neighborhood. The biggest drawback for this building is probably the lack of parking spots, only about half of them come with parking :-( 

One bedroom 569 - 726 square feet

Two bedroom 825-831 square feet

2 Story lofts 661-1,781 square feet

Condos near to Belltown Lofts:

Pomeroy
Site 17

Belltown Condos: Austin Bell

Austin Bell is a historic landmark located on one of the most vibrant blocks (2324 1s Ave) in Belltown. The building was constructed as a hotel in 1889 and was designed by noted architect, Elmer Fisher. It was named after William Bell's son, Austin. The hotel was almost destroyed by a fire in 1981 but the strong brick facade managed to survive. It was carefully restored from 1997-1999 by Murray Franklyn and Snell Partnership and turned into a condominium complex with a Starbucks on the street level. 
 
Floor plan & square footage               

23 Studio- 333-696 square feet           

16 One bedroom- 501-906 square feet

5 Two bedroom- 1,185-1,395 square feet

1 Three bedroom- 2,000 square feet

The lobby features wood columns with brick walls and pictures of the Austin Bell hotel in the early days. Out of the 45 units in the building, 12 of them are lofts boasting close to 20 foot ceilings. The majority of these homes are on the 2nd floor.  

Comparing Austin Bell and Pomeroy, they actually share some similarities. Both buildings use fob key entry for their lobby entrances as well as elevator, making it feel a little bit more secure than some other condos in Belltown. Both have limited amenities. In Pomeroy's case, it only has a huge common rooftop deck, probably one of the nicest in Belltown. As for Austin Bell, the rooftop deck is a little smaller but it has a central courtyard on the 2nd floor. Pomeroy has higher quality finishes and central air-conditioning but it does not have any lofts. Austin Bell has higher number of petite studios. They are small but well laid out and it's ideal for a first time home buyer or someone looking for an in city pied-a-terre.  

Related post:

Pomeroy

Monique Lofts

(Pictures contributed by Joseph Hill and archived under Seattle Condo Gallery)

Monique Lofts is a funky and hip condo in the Pike/Pine District (1024 E Pike St).  It was a warehouse office (1913) and was converted to a loft-style condo in 1999.  There are 24 residential homes in this three-story condo and two commercial spaces on street level. 

The interior has some interesting industrial elements including exposed concrete columns which add some nice accents to the walls.  Heavy wood beams hang across the ceilings, wood floors are throughout the open space and ceiling heights for these homes go as high as 20 feet! The smallest homes start at 467 square feet and the largest one is 1,989 square.

19th Ave Lofts

19th Ave Lofts is one of the few newer loft buildings in Capitol Hill (1812 19th Ave).  The condo is situated on the east edge of the neighborhood and was built in 2003.  It was designed by Val Thomas, who also developed Eastlake Lofts which has a similar look.  This 3-story condominium complex is a concrete and brick construction with 45 residential units. 

The Florentine- Pioneer Square Condo

 

The Florentine Condominium is a historic building located on the south edge of Pioneer Square on 526 1st Ave South.  It was built in 1909 and converted from a warehouse into 116 condos in 1990. 

During the conversion, an additional floor was built on top of this four story building as the penthouse homes (2 level townhomes).  Some might like to call it a loft style home.  Floor plans go from one bedroom, one bathroom to two bedroom penthouses.

One Bedroom plus den & Two bedroom     1,036-1,644 sq ft

Penthouse Homes                                 1,253-2,106 sq ft