Flipper Alert: First Short Sale in 310 S. Michigan in the Loop
It didn’t take long for flippers to get into trouble in Metropolitan Tower, at 310 S. Michigan, in the Loop.
We last chattered about Metropolitan Tower in March when the building, a conversion of an old office building, first started closings. The building is not sold out.
Interestingly, one of the units we chattered about last March is the first to go to short sale in the building. However, another unit was successfully flipped.
Unit #1206, a 1-bedroom unit with no Millennium Park views (unless you’re out on your balcony looking to your left), is now listed $60,000 below what it closed for in March.
Here’s the listing:
SHORT SALE PRICED BELOW MARKET…LOWEST PRICED 1 BED IN BLDG! BUILDING HAS WORLD CLASS AMENITIES AND UNPARALLELED LOCATION.
UNIT IS VACANT AND THIS LOVELY HOME IS MOVE IN READY-FOR YOU OR YOUR RENTERS. FULLY LOADED AND COMPLETE WITH STUNNING VIEWS OF LAKE MICHIGAN. MAKE AN OFFER!!! SUBJECT TO BANK APPROVAL.
Exit All Pro Realty has the listing. See more pictures here.
Unit #1206: 1 bedroom, 1 bath, 791 square feet
- Sold in February 2008 for $358,500
- Was listed in March 2008 for $349,000
- Reduced
- Currently listed in “short sale” for $298,000 (parking is extra)
- Assessments of $305 a month
- Taxes are “new”
But some flippers got lucky. Unit #1006 was also listed for sale in March.
It sold at a profit of $52,000.
Unit #1006: 1 bedroom, 1 bath, 791 square feet
- Sold in January 2008 for $318,000
- Was listed in March 2008 for $347,900
- Sold in May 2006 for $370,000 (I’m assuming this included a parking space)
Current stats in the building:
- 20 units for sale
- 12 units for rent
Some units may be both for sale and for rent.
looks dark with a lovely alley view.
perfect for a vampire.
No electricity in the unit?
Flash bulbs not working on the camera?
$350k for a large closet.
Ugh. My taxpayer dollars are going to bailout these f___ing idiots? Welcome to hyper-inflation.
right on Trader!
I lived in dorm rooms nice than this. Imagine if they hadn’t used a professional photographer.
Hah this looks directly into my old office.
I’ve been in these 06 units and they are really not that bad. They have a great view of Grant Park and the Lake from the large balcony. (they look over another building, not an alley) Although it’s not even 800 sf, that is not so terrible for a 1BR on Michigan Ave in the loop. It is a beautiful historic building with a great lobby and wide hallways. We seriously considered this place.
SHORT SALE PRICED BELOW MARKET…
Are we going to have a provision in the bailout package that forbids the use of “below market” terminology when there is either no market or a market at which level the price is set, and by definition, market price cannot be below market.
At the right price it isn’t bad for an in-town pied a terre…to live in that unit year round at any price, bleh.
I third trader’s comment above.
YMMV.
YUK!!! I’d rather live with a lovely west view at the Heritage, 130 Garland ct…better location anyway.
‘beautiful historic building’ = code phrase for huge assessments and special assessments. I bet with the current assessments the HOA board hasn’t been turned over from the developer yet.
Bob: I believe (but someone correct me if I’m wrong) that it either has to be at least 70% sold OR 3 years from the first closings to be turned over to HOA board.
Neither is true in this building (yet).
It is 2 yrs or 75%.
The developer loaded this place up with union staff. My guess is the assessments will double when it turns over.
Get ready for a special assessment.
I’ve seen several of the units in the building that are for rent. They are very large and the floors are nice. Other than that there’s really not much to recommend them. Two of the units I saw had no windows *at all* in the bedrooms – one was “soft lofted” behind the kitchen, but the other was just a dark, dark room with no light, no ventilation. Is that even allowed under code??
Agents should be fined by the RE police for posting such horrible pictures of units in short sale. Why even bother when you cannot get any idea of what you are getting for your $$$$? The point is to get buyers interested in considering the place and pics like these only serve to bury any interest in them from potential buyers.
It is a very nice NYC style building which I do love, but if and when I am ready to upgrade to something of this level, it won’t be in a building which has offered short sales.
From my experience agents for short sales and foreclosures are absolutely horrible. Typically one picture, of the outside of the building, is it.
I guess they just think the properties will sell on price alone and don’t really care about trying to market the property and spending 15 minutes to take some quality pics.
Is it so hard to turn the frickin lights on and hold the camera at a decent angle when taking photos? And as a bonus, maybe move the junk out of the shot? It’s not like the realtor commission isn’t enough to justify this.
You’re absolutely right Bob. Some agents are now figuring that short sales are great opportunities to make money in this market. They spend the minimum on marketing, throw on a lockbox and leave all the real work to the attorneys. Inevitably the property will sell under market, then they tout their expertise as a ‘short sale specialist’ to attract new clients and repeat the process.
Banks usually throw all their foreclosures to a select number of ‘preferred’ brokers who operate in a similar fashion.
Ambulance chasing, if you ask me.