The Link

[fawd]

Originally Posted by RonnieFoos

Construction has officially commenced. Lane closure is in place along 3rd between Moreland and Pierce and dirt is being moved .

That was quick! Wasn't realistically expecting movement for another couple months.

Go baby, go!

[PHXFlyer11]

So cranes in the sky will be The Stewart, The Link and Block 23 in the next few mos with Arizona Center, Derby, CPE, Barrister all pending.

[somethingfast]

Originally Posted by combusean

These things are always built to be sold. Nobody is long-term invested enough to have any ego here.

tell that to the Chinese and the Arabians lol. or Trump! what's 50 more feet? seriously? i just don't get it. but i don't disagree with your take on "value"-oriented Phoenix developers...

[CrestedSaguaro]

Not sure if this was known or not, but it looks like UEB will be handling the construction of the Link. I'm happy with that, they do great work. I'm confident we will also get a webcam from UEB soon.

https://ueb.net/projects/G26/G26.html

[fawd]

Construction signage is going up! (Gate #s, construction warnings, hard hat area etc).

I’d guess this gets started in December!

[muertecaza]

Webcam is up

https://ueb.net/webcam34.html

[nickw252]

Originally Posted by muertecaza

Webcam is up

https://ueb.net/webcam34.html

This is insane how fast this has moved. At this pace they'll have a tower crane up by lunch time today.

The webcam shows how truly awful and inappropriate for the location The Met is.

[Obadno]

Originally Posted by nickw252

This is insane how fast this has moved. At this pace they'll have a tower crane up by lunch time today.

The webcam shows how truly awful and inappropriate for the location The Met is.

Even though it was built in like 1999 or whatever, which I still cant believe because there was NOTHING in downtown in 1999, it was kind of off on its in own in an area without much development until recently.

Im sure it will go in time but not for a while, too many empty lots to fill up before, but im sure in time it will go

[ASUSunDevil]

Originally Posted by Obadno

Even though it was built in like 1999 or whatever, which I still cant believe because there was NOTHING in downtown in 1999, it was kind of off on its in own in an area without much development until recently.

Im sure it will go in time but not for a while, too many empty lots to fill up before, but im sure in time it will go

I'm just glad they're not condo's.

Hopefully the owner has been paying attention and is considering a major exterior remodel. There is no chance they're maximizing their potential revenue in it's current state.

Maybe Biggus has some insight?

[nickw252]

Originally Posted by ASUSunDevil

I'm just glad they're not condo's.

Hopefully the owner has been paying attention and is considering a major exterior remodel. There is no chance they're maximizing their potential revenue in it's current state.

Maybe Biggus has some insight?

Yeah if they were condos I'm sure that it would be much harder to redevelop.

I looked at the Met's website - their leases were surprisingly low. It may be difficult to get people in there when there are so many superior apartment buildings in the area.

As far as the place being redeveloped, Unless there's a major increase in demand for residential properties, I suspect the Met will be around as-is until about 2030. Those types of wood-frame 2-3 floor residential developments usually have about a 30 year lifespan.

[ASUSunDevil]

Originally Posted by nickw252

As far as the place being redeveloped, Unless there's a major increase in demand for residential properties, I suspect the Met will be around as-is until about 2030. Those types of wood-frame 2-3 floor residential developments usually have about a 30 year lifespan.

Not in the center of a burgeoning Downtown. I bet it gets overhauled or sold and demo'd within the next 5 years.

[Sun Belt]

Originally Posted by Obadno

Even though it was built in like 1999 or whatever, which I still cant believe because there was NOTHING in downtown in 1999, it was kind of off on its in own in an area without much development until recently.

Im sure it will go in time but not for a while, too many empty lots to fill up before, but im sure in time it will go

I thought it was earlier? Probably not, but for some reason I was thinking early 1990's. Even so, The Met was a frontier-pioneer at that time. Its no wonder it's walled off from the street. Different time presented different needs to attract tenants brave enough to move to a desolate neighborhood (at that time).

And I agree with you, develop those empty lots first before we start talk about demo-ing apartments.

[biggus diggus]

Met wont be sold to be redeveloped any time soon, too profitable and the return from a major remodel wouldn't make sense.

The easiest way to calculate a return on this stuff is to divide the income from an investment (in this case take a bump in rent of say $20x 150units x 12) and divide it by the amount of money the investment cost (lets say $1,000,000) and you get the gross rate of return. With these numbers I completely made up I see a yearly gross rent roll of $36,000 ($20x150 units x 12 months). If I divide that income by my expenditure I get a gross return of 3.6%.... If you're trying to maximize your income, that's not the way you do it. I won't touch anything less than 6%

Their average advertised rent for a one bedroom at Met is $1273 assuming an even spread of the three types of one-bedrooms.

The average rent on a one bedroom at Proxy, again assuming an even spread of each unit type, is $1,169.

Based on those numbers alone it wouldn't matter what the remodel would cost at Met, they're already getting top of market prices. I think everyone here will agree Proxy is a newer, presumably nicer building with more amenities. There is nothing to indicate they can get a bump in rent at all. If anything happens with Met in the future outside of just keeping it up to date, it'll be a condo conversion.

There are many assumptions and what-ifs in my post because I just don't know their financials but I thought I'd share a little bit of what goes into deciding whether or not to do capital improvements.

[ASUSunDevil]

I don't think Stevie Wonder could be convinced to pay more for a 1 bedroom at The Met instead of Proxy. If he asked two people for their opinion it's game over.

Your math makes sense, I just don't buy that The Met is getting leases signed at higher prices than the new modern options.

I'm hoping it gets renovated and they knock down those walls. Time will tell...

[biggus diggus]

I'm just going by advertised rates. I'm not aware of anyone advertising a rate higher than what they are actually selling. I don't discount my apartments. The advertised price is the price.

[TJPHXskyscraperfan]

The view from that angle of downtown looks pretty cool at night. Well, even San Deigo has a couple complexes like Th Met around their downtown. At least there's residents there, I will change soon, but let's fill these empty lots first.

[CrestedSaguaro]

Originally Posted by nickw252

This is insane how fast this has moved. At this pace they'll have a tower crane up by lunch time today.

The webcam shows how truly awful and inappropriate for the location The Met is.

Ugh. These last couple of construction cam angles have been terrible. The Link cam appears to be down anyway. But I hope we get better views of this and Block 23.

[nickw252]

Originally Posted by RonnieFoos

Ugh. These last couple of construction cam angles have been terrible. The Link cam appears to be down anyway. But I hope we get better views of this and Block 23.

Camera is back up and there is a crew there moving dirt.

[gymratmanaz]

If I recall, the base of this is green. Is that what i see in the camera placed on the dirt, examples of building material finishes?

[nickw252]

Originally Posted by gymratmanaz

If I recall, the base of this is green. Is that what i see in the camera placed on the dirt, examples of building material finishes?

To me those green things look like weights for a crane.