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-   -   CHICAGO | 1000M (1000 S Michigan) | 805 FT | 73 FLOORS | ON HOLD (https://skyscraperpage.com/forum/showthread.php?t=218947)

pianowizard Oct 24, 2019 11:49 AM

Quote:

Originally Posted by Tom In Chicago (Post 8726922)
305 sq/ft is very small. . . like Manhattan-apartment small. . .

Yes this would be too small for me as well, but big enough for some people.

Quote:

Originally Posted by Tom In Chicago (Post 8726922)
unless I'm calculating this wrong price per sq/ft at $850 seems to be on the high end. . .. .

For the units listed on Redfin.com, the range is $601/sqft - 1476/sqft.

Handro Oct 24, 2019 2:23 PM

Quote:

Originally Posted by pianowizard (Post 8727803)
Yes this would be too small for me as well, but big enough for some people.



For the units listed on Redfin.com, the range is $601/sqft - 1476/sqft.

When I was (extremely briefly) in the downtown apartment business, I had a few clients who specifically wanted as small as possible in a nice building and nice location. They weren't going to be in the unit much so they didn't care about the size of the space, but when they did stay they wanted ultra-convenience. $260K seems like a great price for that size for a retired couple who simply wants to have a cool place to stay for a weekend now and then in downtown Chicago, across from the park, and close to the train.

gebs Oct 24, 2019 3:40 PM

23 October, 2019 -- evening

https://i.imgur.com/RqYkN9Oh.jpg

https://i.imgur.com/1O3xlANh.jpg

jc5680 Oct 24, 2019 5:03 PM

Crains has a good article up today questioning what is really going on here. It is a good summary of a lot of the details that keep me skeptical of this development, even if the marketing team is trying to present everything as moving forward as planned.

I can't really tell what is likely to happen at this point, but this falling through wouldn't be a bad outcome. The thumb on a pedestal design is underwhelming and ill proportioned (and drastically inferior to the original proposal).

The sales numbers Crains estimates look just OK. Wiith such a large percentage being smaller units I wonder if part of the programming change was done as bulk sale to an investor that will effectively run them as apartments. The numbers look quite bad if that is the case.

Quote:

Will this Helmut Jahn tower get built?
A ceremonial groundbreaking was set for today at 1000 S. Michigan Ave. for the 74-story condo tower the architect designed. The start of actual construction hasn't been announced. Crain's has some questions.
Quote:

Typically, around the time of a groundbreaking, developers like to talk up their pre-sale figures. As an example: When ground was being broken for 95-story Vista Tower in Lakeshore East in 2016, the developers reported that about 80 condos, or 20 percent, were already under contract. These developers, Time Equities based in New York City and JK Equities based in the New York suburbs, “are not speaking about financing or pre-sales,” spokeswoman Marisa Monte said in an email to Crain’s last week.
Quote:

The developers have marked 97 units as being under contract to buyers, Crain’s found by sifting through the listings database maintained by Midwest Real Estate Data. If accurate, that’s about 23 percent of the planned 421 units.

Of those marked sold, 53, or more than half, are studios and one-bedrooms priced between $259,000 and $700,000.
Quote:

“Any time you’ve got a product that’s more expensive than what has historically sold in the area, you have to get creative in the marketing,” said Ryan Preuett, a Jameson Sotheby’s International Realty agent who was one of two representing the record-priced Prairie Avenue condo. The buyers there had been looking in neighborhoods north of the park.

Tom In Chicago Oct 24, 2019 7:15 PM

This was interesting. . . specifically related to financing. . .

Quote:

Originally Posted by Crains
Typically, around the time of a groundbreaking, developers like to talk up their pre-sale figures. As an example: When ground was being broken for 95-story Vista Tower in Lakeshore East in 2016, the developers reported that about 80 condos, or 20 percent, were already under contract. These developers, Time Equities based in New York City and JK Equities based in the New York suburbs, “are not speaking about financing or pre-sales,” spokeswoman Marisa Monte said in an email to Crain’s last week.

...

In her email, Monte said the developers are “in the process of finalizing the project financing.”

So they're not interested in talking about specifics to the public. . . I get that. . . it's taken a long time to sell a luxury product in a non-luxury location. . . hopefully the banks will agree with their scheme. . .

. . .

r18tdi Oct 24, 2019 7:19 PM

Quote:

Originally Posted by Tom In Chicago (Post 8728215)
. . .hopefully the banks will agree with their scheme. . .

Interesting, this is saying GS is financing 1000M: https://chicago.curbed.com/2019/10/2...groundbreaking

Quote:

The South Loop project has also secured financing from Goldman Sachs, the development team announced on Thursday.

Tom In Chicago Oct 24, 2019 7:21 PM

Quote:

Originally Posted by r18tdi (Post 8728219)
Interesting, this is saying GS is financing 1000M: https://chicago.curbed.com/2019/10/2...groundbreaking

Well there ya go. . . I can bump up my odds for this getting built. . .

. . .

Steely Dan Oct 24, 2019 7:23 PM

Quote:

Originally Posted by r18tdi (Post 8728219)
Interesting, this is saying GS is financing 1000M: https://chicago.curbed.com/2019/10/2...groundbreaking

from the arcticle:

Quote:

At 1000M, an excavator is on-site, and the start of caisson drilling is “imminent,” Jordan Karlik of JK Equities tells Curbed Chicago. The South Loop project has also secured financing from Goldman Sachs, the development team announced on Thursday.
that's a gigantically huge announcement, if true.

that's a proper reason to throw a ceremonial groundbreaking shindig.

cozy Oct 24, 2019 8:02 PM

Quote:

Chi-Larry
….This building will make a handsome addition to the skyline of Chicago! ….Now, let’s Hurry, Hurry, Hurry, and get this thing built, before the next real estate downturn gives this building an unwanted height reduction (Hair-Cut), as has happened in the past, with other buildings here.

Posted on Oct 24, 2019 | 2:39 PM
Which buildings is this user referencing?

kolchak Oct 24, 2019 8:03 PM

https://www.chicagotribune.com/colum...outputType=amp

Financing has not been finalized yet according to this article. It also looks like it would be financed in phases...

gebs Oct 24, 2019 9:00 PM

Quote:

Originally Posted by cozy (Post 8728282)
Which buildings is this user referencing?

I believe the original building pitched for this site several years before 1000M was a concept was much taller and thinner? I'm 80% sure of this.

Donnie77 Oct 24, 2019 9:02 PM

Numbers just don't add up imo..

BrinChi Oct 24, 2019 9:08 PM

Quote:

Originally Posted by gebs (Post 8728351)
I believe the original building pitched for this site several years before 1000M was a concept was much taller and thinner? I'm 80% sure of this.

Not quite. See the image in the top left of the thread for the original proposal. A landmarks commission didn't think it respected the Michigan Ave streetwall so it was downsized and Jahn said the design looked bad when shrunk.

The user above was referring to waterview, which stalled during the financial crisis and sat embarassingly unfinished until 2011.

rgolch Oct 25, 2019 1:04 AM

Quote:

Originally Posted by Donnie77 (Post 8728356)
Numbers just don't add up imo..

Yeah, I agree. And financing in stages.... has this happened with a major project in recent times? I honestly don't recall something like that happening with any of the buildings now under construction. It points to the fact that they can't land financing for the entirety of the project.

I know there's a lot of people on this forum who keep saying this is a great project, and will have great views, and so on and so forth. But a lot of you are looking at this building in isolation, and not comparing it to the competition. To make an analogy, every time I see a new Cadillac, I think "hey, those are nice cars." And indeed they are. But whenever I put down my hard earned cash, I always end up buying a BMW or Mercedes. I doesn't matter that Cadillacs are nice cars. I prefer what I consider something better.

South of the river is the proverbial "other side of the tracks." At that price point, people almost always go north. At least for downtown condos (maybe not Hyde Park).

The Pimp Oct 25, 2019 4:46 AM

Quote:

Originally Posted by rgolch (Post 8728618)
Yeah, I agree. And financing in stages.... has this happened with a major project in recent times? I honestly don't recall something like that happening with any of the buildings now under construction. It points to the fact that they can't land financing for the entirety of the project.

I know there's a lot of people on this forum who keep saying this is a great project, and will have great views, and so on and so forth. But a lot of you are looking at this building in isolation, and not comparing it to the competition. To make an analogy, every time I see a new Cadillac, I think "hey, those are nice cars." And indeed they are. But whenever I put down my hard earned cash, I always end up buying a BMW or Mercedes. I doesn't matter that Cadillacs are nice cars. I prefer what I consider something better.

South of the river is the proverbial "other side of the tracks." At that price point, people almost always go north. At least for downtown condos (maybe not Hyde Park).

Waterview.

rlw777 Oct 25, 2019 4:39 PM

Quote:

Originally Posted by The Pimp (Post 8728807)
Waterview.

I don't think that was what happened. If I remember correctly Waterview got started without financing secured.

Steely Dan Oct 25, 2019 4:42 PM

Quote:

Originally Posted by rlw777 (Post 8729231)
I don't think that was what happened. If I remember correctly Waterview got started without financing secured.

correct. Teng started work on waterview on their own dime, hoping to eventually secure financing that never materialized after the economic meltdown of 2008. and Teng eventually ran out dimes.

very similar to what Kelleher tried to pull off at the old spire site, though he didn't get as far along in construction before the bust.

chicubs111 Oct 25, 2019 4:42 PM

Quote:

Originally Posted by rlw777 (Post 8729231)
I don't think that was what happened. If I remember correctly Waterview got started without financing secured.

I believe waterview did get a small mezzanine loan during initial construction..

Tom In Chicago Oct 25, 2019 4:49 PM

Quote:

Originally Posted by Steely Dan (Post 8729234)
correct. Teng started work on waterview on their own dime, hoping to eventually secure financing that never materialized after the economic meltdown of 2008. and Teng eventually ran out dimes.

very similar to what Kelleher tried to pull off at the old spire site, though he didn't get as far along in construction before the bust.

. . . Right. . . and let's not forget that Kelleher swooped in only after Fordham started and failed to get anything done there. . .

. . .

Zapatan Oct 25, 2019 6:19 PM

While I'm skeptical of this whole project, I do think this would be a good future neighborhood for luxury high-rises. People say that it isn't at the moment, but I'm talking about 10-20 years down the road. Props to 1000m for starting a trend. I see no reason why park and lake views combined wouldn't be super desirable.

Hopefully NEMA II will happen as well an we'll see tons of them pop up, like Central Park in NYC


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