Anyone buying one bedrooms in the Fairbanks?

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Apparently, this poster on Craigslist thinks if he/she just asks if anyone is interested- people will respond.

Are there any interested parties out there who are looking for a high floor one-bedroom in the new Jahn building at 600 N Fairbanks?

I don’t have the exact numbers, but I would estimate there are at least 200 1 bedroom units priced between $375,000 and $500,000 (without the parking) in just Streeterville and River North alone.

Can any agents confirm?

And that doesn’t include the new units that keep coming on the market from 600 N. Fairbanks, 600 N. Lake Shore Drive, Avenue East, and Fairbanks at CityFront Plaza and soon, 550 St. Clair and Park View.

550 St. Clair starts closings this week.  There have been a few more creeping onto Craigslist the last few days.

25 Responses to “Anyone buying one bedrooms in the Fairbanks?”

  1. Streeterville Realtor on February 4th, 2008 at 2:50 pm

    I ran your requested search (I allowed for 1.5 bath units) and found 126 in area 8008. If I expand search to $300-$700, I come up with, 340 for sale.

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  2. Have any of the units at 600 N Fairbanks flipped? At what price?

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  3. Thanks Streeterville Realtor. So that doesn’t even include the 1 bedroom units that only have 1 bath that are still priced at the crazy half a million dollar level.

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  4. Kenworthey:

    There has been one official flip, I believe, of a 2/2. They made money on it- something in the area of $100k.

    An upper floor 1 bedroom is under contract (a developer unit) but I don’t believe it’s closed yet so we don’t have an actual second closing price yet.

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  5. I’m interested in this bldg but am waiting to get in at “the right price” if there is such a thing! Does anyone think that the flippers will sell at or below what they bought at?

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  6. Mack: There are currently around 45 units for sale and/or for rent in the building and the building is still seeing closings.

    Since closings began in November, I believe only one unit has flipped (and another is pending.)

    If I were you, I would like my odds that a couple of these flippers won’t be able to hang on for a year or two paying those mortgages.

    But that’s just my guess.

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  7. Thanks Sabrina… so it sounds like the timeframe for flippers is more like a year than 6mth or so. Is this a safe assumption? I would guess that the “flippers” would not want to pay large mortgages, asst, etc. and have the added stress of worrying if the market is going up or going down!

    340 on the park is nice too and that started closing on units in the summer so now we’re at 6mths+.

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  8. Streeterville Realtor on February 13th, 2008 at 5:02 pm

    Hi Mack,

    You’ll need to wait a year or more to buy one of these units at cost. The cheapest 1 bed at 340 is 599K plus parking….I promise they didn’t pay that preconstruction.

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  9. Mack:

    That’s right. I agree with Streeterville Realtor. Prices will come down on the flips only as they get desperate.

    Maybe no one else has realized that in about 8 months only 2 units have flipped in 340 OTP- even though everyone has raved about the building.

    But it will take much longer than that for prices to come down.

    Look at 1620 S. Michigan. That building closed in 2006. Only now are they lowering the prices considerably in the building and are we seeing stresses by some sellerse.

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  10. The news about 340 OTP is interesting as well as what is going on in Fairbanks. I hope you keep us posted on both buildings as I am seriously interested in both, but every day it seems as if some new housing bubble horror story comes out that makes me think I may just renew my lease in May for another year. I wonder how many people there are out there like myself who can put 20% down, have good credit, but are choosing to rent and “throw our money away”?
    (A phrase that I hate, and is not accurate)

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  11. Morgan: I will certainly be updating all of the new buildings downtown as much as I can.

    The sales numbers are interesting. Flipping in any of these buildings has been a bust.

    I would just wait it out. Better deals will be coming in 2009. We’re starting to see some now, but it’s only just begun. The “deals” out there now- won’t look too hot in another year.

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  12. I suspect that the failure of flippers will accelerate. A building that closed in 2006 may not be a good indicator of the speed at which new flippers will go down with 2007 and 2008 deliveries. Just compare their situations: the new flippers bought at higher prices, lending standards (and ability to repay) were at their lowest, sales numbers in sharp decline, etc. The buildings delivered in 2006 were mostly sold-out, so collapse only comes from capitulation of the flippers. Some of the buildings that are currently closing have many unsold units. It is only a matter of time before the developers start dropping their prices and resetting the comparables for their prior buyers.

    Morgan, you are in a very good position. Why not just rent a new unit in a building that you are thinking of buying in? It is a unique moment when this luxury is available to a potential buyer. You will not be sorry to stay a renter when you are saving an awful lot over owning every month while prices drop. The path to financial security currently favors renters over buyers in a big way.

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  13. Just an observation…

    Some of you may have read the Yo article about the concrete at 235 W. VanBuren. It elicited a lot of crumbling about ugly concrete at CMK’s other projects at 1620 and 1720 South Michigan.

    Anyway, I checked out some photos of the CMK listings and you’d swear you are looking at units from 600 N. Fairbanks. (Except, of course, for the views and the snob-appeal appliances.)

    Check it out.

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  14. Wally, I’m with you and have said so before: I think the CMK projects are quite nice. But there ARE differences that extend beyond views and snobby appliances: CMK units have cheaper cabinets, hollow-core doors, are less roomy, often have a bedroom behind the kitchen in a loft-like layout (so no window), balconies aren’t as nice, etc. Still, they aren’t *pretending* to be luxury, and they are well-made products (contrast that with awful developers like American Invsco). I don’t think you would go very wrong with any of CMK’s buildings–if you could get them for 25% less than asking!

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  15. Like Morgan, I am also interested in both the 340 on the park and 600 North Fairbanks buildings, so to Sabrina, what do you mean by “better deals will be coming in 2009”? Elaborate more please 😉
    What do you guys think a 1BR unit 03 tier in 600 NF fairbanks on 30+ floor should be priced at, really? How much did those sellers pay for 30+ foors 1BR and 2BR originally, 03 and 02 tiers?

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  16. HOT OFF THE PRESS!

    A friend of mine’s offer for a HIGH FLOOR 1 BR at 600 North Fairbanks was accepted. He just told me!

    Here’s the scoop:

    12% lower then asking price!

    The SAME EXACT unit above my friend’s unit was closed at ~$100K HIGHER than what my friend’s offer

    This is going to have a MASSIVE impact to this building!!!!!

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  17. Unless he is paying well under the original developer’s price, he will be a knife-catcher. They will continue to fall in price.

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  18. Streeterville Realtor on May 21st, 2008 at 3:53 pm

    Hi,

    Is it either 27004 or 3004? Even with the 12% off, they are both pricey 1 bedrooms

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  19. Yup, that’s a knifecatcher. When these prices fall 50%, I could possibly be interested. Depending on inventory levels and how far the market falls, half price might not be too inconceivable.

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  20. Yes- Little Boi. Please tell us the unit number.

    Also, is the sale including the parking?

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  21. All of the high floor one bedrooms are priced in the lower to mid 400’s. Nobody has paid in The 500’s for these units thus far. Perhaps the higher floor bought additional parking and had upgraded flooring, which was expensive, trust me. I figure it is still about 500/sq foot at your friend’s purchases price since it is the midsize one bedroom. If it is , that is the going rate. But either way I welcome your friend to the building, I love living here. Tell him there is a condo board meeting this Wednesday.

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  22. Streeterville Realtor,

    My friend told me it is NEITHER 2704 NOR 3004. He said it is HIGHER than that! I am not sure what exposure though.. North or South.. He also does not want to tell me what unit number yet. I tried asking him, but he said the offer was JUST accepted today via the phone and he wanted to have everything fully documented first and all signed off first. My friend’s attorney and the seller’s attorney are in the process of finalizing the details.

    I will do my best and keep you guys posted. PLEASE CHECK BACK SOON!

    Wow … I am so excited for him! Maybe he will let me use the amenities there!!

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  23. Thanks for the update. We’ll wait to see what goes under contract then.

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  24. I’m a new buyer in Streeterville, looking for a 1BD. and this building is very appealing. I’ve been reading the above comments from a year ago and am wondering about the current state of the building. For the most part, in the past 12 months, pessimistic predictions about the housing market came true…and then some. Any sales figures for 1 or 2bd would be very informative.

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  25. Rosin:

    There have been a few units selling in recent months- but most have been renting (rather than selling.) I think there is one 1-bedroom under contract right now.

    You can see recent sales prices on the Chicago Tribune’s website.

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