Crib Chatter

This converted loft space has been on not one but two HGTV shows (ReZoned and Look What I Did) according to this Craigslist post.

Not only that- it was featured in the Chicago Tribune Magazine on July 29th, complete with pictures and a discussion on how the owner converted the old warehouse into a unique loft residence.

And yet this loft has been for sale for months.  Maybe a year?  I remember seeing it a long time ago.

As far as I can tell, the owner doesn’t have it listed with a realtor.  But so far he seems to be doing a pretty good job of marketing it- at least if the HGTV and Tribune spread are any indication.  But does HGTV even matter?  Or is it simply a sign of desperation?  There are three listings on Craigslist that have been on HGTV programs.

The problem is likely the location (in the South Shore area where most loft buyers are not usually going to be looking.  It’s at 75th and Yates) and the price.

It’s listed at $443,000.

Isn’t it almost always about the price?

From my recollection, I don’t believe he’s lowered the price at all during that time period.

From the Craigslist post:

5000 sq.ft (40×125) artist/architect gut rehabbed one story brick building with storefront/exhibition space, interior garden, 2 baths, laundry room, live space and work space, performance space/garage with 10ft.overhead door.
All custom rehab and design elements including stainless steel and granite kitchen, 3 skylights, custom sinks and lighting, 12-13 ft. ceilings, radiant floor heat, security system,custom built in bookshelves and storage, and more. Zoned Commercial/Residential.

What kind of marketing tactic will this owner try next? Maybe there is a third HGTV show he can be on. Maybe “Sell This House” or “Buy Me.”

8 W. Monroe had such promise.  Otherwise known as The Metropolis, it was a conversion of a loop office building into loft-ish units with high ceilings and, for some of the units, peek-a-boo views of the lake.  The building is located in the heart of the State Street shopping and theater corridor at State and Monroe.  It even has deeded parking spaces available in the building.

What went wrong?

For one, the finishes are awful.  Truly cheap and nasty looking.  (Sorry to anyone who owns in the building- but the truth hurts.)  The granite is the cheapest granite I have ever seen and the kitchen cabinets are ugly oak wood.  Plus- Black or White Appliances!  ‘Nuff said.

Also, the units are very small.  There are one bedrooms that I swear are not more than 675 square feet.  Many of the two bedrooms are also on the small size- under 1100.

Now, small isn’t necessarily a bad thing- if the price is right.  But here, the prices are way too high for the product you are getting.

Add on top of that that investors have bought up dozens of units in the building and are trying to sell or rent.  With that you have a recipe for a failed condo building.  I was in this building over a year ago and saw five units all owned by a “New York investment group.”  The agent showing the units told me that the New Yorkers thought it would be a good investment because it was right near the subway.  Clearly- they had no idea what they were doing.

At the time, the investors were “motivated” and were willing to take a look at “any offer”.

When many of these investor owned units failed to sell, they simply rented them out (at any given time there seems to be nearly a dozen units for rent in the building, out of a total of 170 units available.)  The developer is also renting out units.  It seems at least half of the building has never closed so I’m assuming most of those have been turned into rental units.

Some poor owners who were not flippers or investors are trying to sell.  Pity them.

Unit #1008: 2 bedroom, 2 bath, 1065 square feet

• Sold in June 2006 for $350,500
• Currently listed for $419,000
• Parking available in the building for $38,000
• Has been on the market for forever (well over 6 months)
• Jerry Sider at Coldwell Banker has the listing

The one bedrooms are also struggling. 

Unit #1106: 1 bedroom, 1 bath, 700 square feet

• Sold in June 2006 for $232,000
• Currently listed for $259,900
• Sergio and Banks has the listing

It’s much cheaper to rent in this building than to ever buy here.  There is a one bedroom rental for only $1350 a month.  And you can probably get it even cheaper than that.

More than a year after closings first began at 150 W. Superior in River North, the developer has yet to sell about 25 of the 54 units in the building.  This building is yet another “luxury” mid-rise but has some unique duplex units with 20 foot high floor to ceiling windows.

Outside of the developer’s units, there is one re-sale in the building.

Unit #504: 2 bedroom, 2 bath, 1530 square feet

• Originally sold in October 2006 for $820,605
• Currently listed for $835,000 with the parking extra for $45,000

Katherine Chez at Coldwell Banker has the listing.

The developer is trying to sell Unit #604 but it’s a larger unit.

Unit #604: 3 bedroom, 2.5 baths, 1938 square feet

• Currently listed for $900,000 plus $45,000 for parking
• With the 7% discount- the “real” price is $837,000

With the 7% “discount”- why not just buy the bigger 3 bedroom unit for the same price?  The discounts are going to really mess with anyone who is trying to re-sell in the building.  There are also several other similarly sized two bedroom units also with the discount from the developer.

Unit #702: 2 bedroom, 2 bath, 1511 square feet, duplex unit

• Currently listed for $760,000 plus the $45,000 for parking
• With the 7% discount- the “real” price is now $706,800 (plus the parking)

What do you tell Unit #504?  Sorry?

Yep- it’s not going to be pretty being a seller in 150 W. Superior.

We’ve already looked at how New York lofts stack up against Chicago lofts (in a price per square footage basis.)  I thought, given the cold wintery feel in the air, I’d look at a comparison between Chicago and sunny, warm(er) Northern California- specifically the San Francisco loft.

Yes, amongst all of those Painted Ladies, a few old industrial loft buildings managed to survive.

One of my favorites is the Oriental Warehouse building at 650 Delancey Street in the South of Market neighborhood. 

 Because of, um, earthquakes, there are few brick buildings in San Francisco. From the Lofts Unlimited website:

The Oriental Warehouse is one of the premier loft conversion buildings in San Francisco’s prime South Beach location. Designated as an historic landmark, this unique property, originally built in 1867 was converted to 66 live/work lofts in 1996, boasts exposed brick and timber with stunning architectural details.

Unit #409: 2 bedrooms, 2 baths, 1372 square feet

• Currently listed for $1,099,000
• Assessments of $478
• Parking included
• Washer/Dryer in the unit
• Lofts Unlimited has the listing

In Chicago, there are too many brick loft buildings to know where to even begin.  But Chicago’s equivalent to the South of Market neighborhood could be River North which is also close to downtown, shopping and restaurants.  There are numerous brick and timber loft buildings in River North.

420 W. Grand #3H: 2 bedrooms, 2 baths,  1800 square feet

• Currently listed for $539,900
• Parking included in the price
• One of the oldest loft conversions in River North
• Washer/Dryer in the unit
• Re/Max Exclusive Properties has the listing

You get more space for about half the cost in Chicago (although, don’t get me wrong, there are lofts more expensive than 420 W. Grand also in River North.)

Or perhaps the West Loop, with its soon to get Sundance Theater, is more to your liking.

14 N Peoria, Unit #6E: 2 bedrooms, 2 baths, 1800 square feet

• Currently listed at $440,000
• Parking is $20,000 extra
• Washer/Dryer in the unit
• Near Harpo Studios and Randolph Street restaurants
• Koenig & Strey has the listing

Chicago is a much better deal on loft living.  There is, obviously, just more to choose from due to the industrial nature of Chicago (versus San Francisco).  And they are at many different price points and sizes.  But you won’t find the cable cars in Chicago.

There is a building going up for foreclosure sale tomorrow at the Daley Center at the following address:

1925 N. Lincoln

The foreclosure price? 

$6,872,000

It is listed on the foreclosure list as a “condominium” (not an apartment building) with one pin number which I found odd until I attempted to find the listing.  After an investigation, it would seem to be this building below:

This is 1926 N. Lincoln Park West on the edge of Old Town and Lincoln Park.  If you walk by this building, you can still see the banner on the outside announcing that condos are for sale (as you can in the picture.)

There are 15 units in the building and I can’t find any record of a single one having sold.  They’ve had the sign on the side of the building for forever- for at least a year.

Two of them are listed on the MLS.  They’re 2 bedroom, 2.5 baths at 1650 square feet priced from $524,000 to $540,000. Here’s the listing:

WELCOME TO 1926LPW!! UNIQUE URBAN LIVING NEW CONST. IN BEST LINCOLN PARK LOCALE! THIS STUNNING END-TRIPLEX HOME OFFERS 2 BEDROOMS PLUS DEN, 2 1/2 BATHS AND 2 PRIVATE OUTDOOR SPACES ULTRA MODERN FINISHES INCLUDE CUSTOM BUILT CABINETRY, THERMODORE, BOSCH & GROHE FINISHES, LIGHTING DESIGN BY LIGHTOLOGY, STONE BATHS W/ JACZ & BODY SPRAY SHOWERS! GARAGE PARKING $10K. 30 DAY DELIVERY!!

Two of them appear to be under contract however.  It’s a tight market out there for anything over $500,000- even in a great location (as this building is.) If I do say so- the building leaves much to be desired. The architecture, well, simply blows.  Maybe that has something to do with the slow sales as well.

Anyone know anything else about a possible foreclosure on this building?  Has anyone even been inside this building?  I’d love to hear more.

It’s tough out there for the smaller developers.

@Properties is handling the listings and marketing.

Just an update for those of you who are interested in the newly closing downtown buildings.  A lot can change in a few weeks!

There are now 29 units for sale and 21 for rent at 340 on the Park.  That is the  highest number of rentals and/or for sale units I have seen so far (and some of the rentals have rented.  New units continue to be listed however.)  Have any of the flipped units sold yet?  One or two was under contract a few weeks back.  The data is always delayed.  Realtors- please let me know.

There are currently 12 units for sale at 600 N. Fairbanks, the Helmut Jahn building in Streeterville, which started closings yesterday.  There are several for sale on the 15th floor- which is conducting closings this week.  I’m most interested to watch the one bedroom units in this building because there were a lot of them and they’re already asking very high prices for the square footage.  One bedrooms are re-selling from $449,000 plus $55,000 for parking for only 873 square feet.

The largest number of flippers (per the size of the building) seems to be in 160 E. Illinois, or Avenue East, probably due to its location right next to the Mag Mile.  Currently there are now 22 units for sale and/or 8 units for rent in the building- some of those are also from the developer.

If selling the normal For Sale By Owner methods don’t work on selling your condo – what about trying an auction on eBay?

One Chicago condo owner is trying just that according to a posting on Craigslist.  It says that it’s a “$165,000 Luxury Gold Coast Studio for auction- current bid of $115,600.” He posted:

Larger-than-average studio with great closet space, nice white kitchen, HUGE balcony and skyline view. Pets up to 50 lbs ok. Full-amenity building features workout room, business center, dry cleaners, sundeck, 24-hour doorman, laundry room, indoor garage. Parking is rental (approx $225/mo), and not included in sale price.

To see more details or to make an offer on this home, please visit eBay and do a search in “real estate” for “luxury Chicago Condo”. The home will be sold to the highest bidder on November 18.

This property is not bank-owned, but is being offered FSBO by an Illinois licensed realtor with Exit Team Realty.

The address of the property is 33 W. Delaware, a 185 unit building constructed in 1988, located in the Washington Park/Gold Coast area.  It was converted from apartments into condos in 2003-2004.  It’s a great downtown location.

There are currently about 14 units for sale in the building, including several other studios. Here are some pictures of the unit available on eBay from the Craigslist post:

The other studios for sale look similar.  The picture below is of Unit #21C, currently on the market for $177,900.

These studios are about 540 square feet.  Assessments run $300 to 330 a month.

Interestingly, Unit #21C claims it would be a great investment in their listing:

Unit Rented Until May 2008 For $960. Good Investment Option. Easy To Rent. Could Be $1100 Easily. 24 Hour Notice For Showing. Special Buyer Incentive For Full Price Offer. Call For Details.

But if you even put 20% down on this unit and have a loan of $142,320- according to the Baird and Warner mortgage tracker– you could not even come close to covering your costs by renting out this unit.

You would have the following payments (including mortgage, assessments, taxes and insurance):

• 3/1 ARM at 6.910%- $1,447 a month
• 30 Year Fixed Interest Only at 6.62%- $1,387 a month
• 5/1 ARM Interest Only at 6.975%- $1,372 a month
• 30 Year Fixed at 6.378%- $1,492 a month

As an “investor” – if you get $950 a month, you’re losing quite a bit of money.  Heck, even if you’re getting $1100- you’re likely losing at least $300 a month or $3600 a year.

So maybe the current bid on this studio on eBay of $120,100 doesn’t sound so unrealistic after all? 

According to the eBay listing, the owner paid $198,000 for it in late 2003.  The building is also mainly a rental building- only being 38% owner occupied.

The bidding closes on November 18th.  I’ll watch it to see what happens.

Given that we just celebrated Halloween, Coldwell Banker realtor Joe Nudo seems to have a sense of humor about a property in West Town.  Or maybe he’s trying to send a message about the actual property itself?  The following are pictures from the listing:

Below are pictures of the actual home.  Spot any resemblence?

1025 N. Wood: 6 bedrooms, 4 baths, multi-unit fixer

• Currently listed for $599,000
• Building has a two car garage

Joe Nudo at Coldwell Banker has the listing.

For some reason, some buildings in Chicago just seem tainted.  Even during what was, undoubtedly, one of the greatest real estate booms the Chicagoland area has ever seen, some buildings and homes just don’t appreciate.

Take the Fisher Studio Houses at 1209 N. State Parkway. This 12 unit building in the Gold Coast (nearly at the corner of State and Division) is unique once you go through the metal gate. Built in 1936, it was designated a landmark in 1996. From the Chicago Landmark website:

One of the city’s finest pre-World War II modern designs, this is an exceptional—and rare—example of the Art Moderne style of architecture, which was influenced by European modernism. The unique layout of the 12 units and their common courtyard–which, together, occupy an extremely narrow site running perpendicular to the street–has contributed to their desirability as residential apartments. Further distinguishing the building is its handcrafted ornamentation by prominent artist Edgar Miller. The building was commissioned by Frank Fisher, Jr., an executive of Marshall Field & Co.

Nine of the units are one bedroom duplexes, two are two bedroom units and one is a three bedroom unit. The building was renovated and the units gutted in 2000. There are only two or three parking spaces, deeded to the larger units, in the building. I’ve seen washer/dryers in the units- but not in all of them (but presumably you can put one in.)

These units are unique- with embedded stone staircases and glass block lighting. The one bedrooms probably range in size from 650 to 725 square feet (the kitchens are small.)  Because they’re duplexed, they feel larger than they are.

The interior staircase for the building is pictured below:

But the condos have never sold well. Units that have come on the market since the original sale have sat for years. Here’s some price histories:

Unit #4: 1 bedroom, 1 bath

• Sold in March 2002 for $230,000
• Sold in December 2004 for $248,000
• Sold in June 2006 for $260,000

Unit #9: 1 bedroom, 1 bath

• Sold in August 2004 for $239,000
• Sold in June 2006 for $250,000

Unit #7: 2 bedroom, 2.5 baths

• Sold in October 2000 for $530,000
• Sold in April 2007 for $475,000

Unit #11 has mysteriously appeared on the foreclosure auction list for tomorrow.  I say mysteriously, because it recently sold (or did it?)

Unit #11: 1 bedroom,  1 bath

• Sold in August 2000 for $259,000
• Sold in September 2007 for $246,000
• Auction price for $210,164 (????)

Perhaps there is a typo and it should read Unit #1, instead of #11.  We’ll soon see.

But over 7 years, these owners are seeing very little gains and, some of them, are seeing losses.  And all of this during the biggest boom ever in Chicago.

Fisher Studio Houses is a neat historic building but it’s been a bad investment.

I love to see people take commercial buildings and convert them into living space.  Such is the case with this former storefront in West Town.

1549 W. Chestnut: 2 bedrooms, 2.5 baths

• Currently listed for $624,900
• Restored tin ceilings
• 2 car garage
• Rooftop deck on top of the garage

Your living room is essentially the bottom floor of the store.

This is single family home living for the price of a condo.

Rubloff has the listing.