Claridge Icon [505 Preston St] | 143m | 45 fl | Completed

[Urbanarchit]

Originally Posted by Boxster

It's the beginning of the end for the "ICON".

'Tis a shame, actually. I liked the design. Is there anything they could have done to get the building built?

[Stevenson]

Looks like there is something happening on the weekend:

Claridge Condos ‏@ClaridgeCondos May 16
Got #weekend plans? Join us at #ClaridgeIcon with @MAJIC100Ottawa for special pricing & floor plan releases! #TGIF pic.twitter.com/7hRhpDvYP3

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Wait nevermind, i guess that was last weekend

[Harley613]

Originally Posted by defishel

'Tis a shame, actually. I liked the design. Is there anything they could have done to get the building built?

My opinion : It will be built...eventually. Claridge has the $$$ to hold this project and keep marketing it until things heat up again.

[Boxster]

Reduce it down to 30 floors and obtain a higher % of units sold.

Originally Posted by defishel

'Tis a shame, actually. I liked the design. Is there anything they could have done to get the building built?

[canabiz]

Don't forget Richcraft has already secured the Dow Honda land and will also put something up there as well.

Will see if that is going to entice Claridge to adjust the prices with more competition in the immediate vicinity.

[daud]

Originally Posted by canabiz

Don't forget Richcraft has already secured the Dow Honda land and will also put something up there as well.

Will see if that is going to entice Claridge to adjust the prices with more competition in the immediate vicinity.

Market conditions and competition could be a factor in Claridge making any changes but they've set a 3 year sales cycle for this and year 1 had very little advertising, almost a pre-sales year. I lived in a Tridel complex in Etobicoke and phase 4 was very similar in size to Claridge Icon. Being in Etobicoke, larger projects like this Tridel Parc Nuvo can take longer to sell and this tridel phase took 3 years of pre-sales before construction even began. I suspect that while sales on this project are slow to start, Claridge is just ramping up and has every intention to see it built being fully aware that its a 3 year race and you're going to get less buyers in a year 4 years from a completion date than in say 2 or 1 year from completion.

It'll happen...and it'll change the stubby ottawa skyline.

[trhgr]

Originally Posted by daud

It'll happen...and it'll change the stubby ottawa skyline.

I really hope it will. Of all projects underway in the city it is the only one I really want to se reaching completion. I feel like this is a beacon for the things to come in this city I term of architecture. Good or bad. But the city needs this project.

[Stevenson]

46 sold

http://www.claridgeicon.com/uploads/icon-availability.pdf

[Boxster]

WOW they are going FAST!!!!

If you want one, better run down to the sales office NOW!!!

Originally Posted by Stevenson

46 sold

http://www.claridgeicon.com/uploads/icon-availability.pdf

[1overcosc]

So its actually 4 sold in the past 3 weeks. If this rate continues it will take just over two years to sell enough to build. We could realistically see this building finished by 2018.

[OTSkyline]

What I think kills this development a bit is the prices.. It's pretty expensive compared to all the other proposed or in construction developments around Ottawa. I guess they charge more because it's in a "prime location"?

Why aren't there more "low-cost" condos? I think a lot of condos could sell in Ottawa if a developper proposed a 20-30 condo tower with prices ranging from $150K-$250K for 1 and 2 bedrooms.. And don't tell me it can't be done because of economics, just look at the other side of the river in Aylmer or Gatineau!

This could spark a good convo.. Because let's say the condo market is down down in Ottawa right now, if you were Claridge or Tamarack or whatever, would you rather wait it out and not sell much or try to do a curve ball and do a couple of lower-price developments in the meantime to still keep sales and projects going?

[McC]

Another condo product I'm curious about whether we'll see marketed in an established neighbourhood is an 'amenity-free' condo development. The pitch for the buyer could be something like: "let the hottest neighbourhood in town provide the amenities, and pay the lowest condo fees in the City;" while the pitch for the builder is every "every square foot is a sellable square foot" (not literally, obvi, it would still have hallways, and such). This is purely an intellectual curiousity, I'm not in the market for such a thing.

[OTSkyline]

That's actually a pretty good idea. I mean most amenities included are pool, fitness centre and some sort of communal room. When you buy a house or townhouse you don't have your own gym or pool, so it's not like when you buy a condo it's a necessity... Yes, it's nice to have but it should be an option.

If you gave me the option of nice condo with pool and fitness centre and $350/month condo fees or simply nice condo for, I don't know, $40-50 a month for condo fees, I would probably take the second option. I can always pay for a membership at a Gym later on if I want to...

[Boxster]

You will never see a huge gap like you mention just because of the amneties.

Originally Posted by OTSkyline

That's actually a pretty good idea. I mean most amenities included are pool, fitness centre and some sort of communal room. When you buy a house or townhouse you don't have your own gym or pool, so it's not like when you buy a condo it's a necessity... Yes, it's nice to have but it should be an option.

If you gave me the option of nice condo with pool and fitness centre and $350/month condo fees or simply nice condo for, I don't know, $40-50 a month for condo fees, I would probably take the second option. I can always pay for a membership at a Gym later on if I want to...

[OTSkyline]

I guess it would all depend at what the difference in fees would be. So that potential owners can weigh the different options and see if they would rather forego the pool and gym to save money each month or not...

[YOWetal]

Originally Posted by Boxster

You will never see a huge gap like you mention just because of the amneties.

The common areas are often in unsellable areas, but even if the developer could put a unit where they were located you are looking at maybe revenues that work out to $5-$10k per unit. (not all of which would be passed on to buyers)

In terms of condo fees you are looking at a few dollars a month at most, maybe a bit more for a pool.

[1overcosc]

Originally Posted by OTSkyline

What I think kills this development a bit is the prices.. It's pretty expensive compared to all the other proposed or in construction developments around Ottawa. I guess they charge more because it's in a "prime location"?

Why aren't there more "low-cost" condos? I think a lot of condos could sell in Ottawa if a developper proposed a 20-30 condo tower with prices ranging from $150K-$250K for 1 and 2 bedrooms.. And don't tell me it can't be done because of economics, just look at the other side of the river in Aylmer or Gatineau!

This could spark a good convo.. Because let's say the condo market is down down in Ottawa right now, if you were Claridge or Tamarack or whatever, would you rather wait it out and not sell much or try to do a curve ball and do a couple of lower-price developments in the meantime to still keep sales and projects going?

There is definitely a market for cheaper. The Icon, thanks to its sheer size (less profit per unit required) has the potential to a much lower cost building than it is.

There are a lot of cost-saving measures developers could do. They could cut out all marketing & advertising and rely solely on word-of-mouth and a sign at the site to get sales. In the Facebook age, that kind of thing is actually quite feasible. They could choose to not build on-site sales centres and instead rent out a cheap office somewhere in the area. They could choose to build no extra amenities.

There have been a few developments in Toronto following that sort of model, that generally pitched to buyers: "Ya we have a dingy basement sales office and no fancy ads, but we pass the savings onto you and give you affordable units!". Options for Homes (http://www.optionsforhomes.ca/) follows that model and sells 1-bedrooms for around $190k--studios for around $150k--which for Toronto is dirt cheap. Options for Homes has recently moved into the Kingston market with one project almost done and another getting started, so fingers crossed they'll move into Ottawa!

[Urbanarchit]

Originally Posted by OTSkyline

What I think kills this development a bit is the prices.. It's pretty expensive compared to all the other proposed or in construction developments around Ottawa. I guess they charge more because it's in a "prime location"?

Why aren't there more "low-cost" condos? I think a lot of condos could sell in Ottawa if a developper proposed a 20-30 condo tower with prices ranging from $150K-$250K for 1 and 2 bedrooms.. And don't tell me it can't be done because of economics, just look at the other side of the river in Aylmer or Gatineau!

This could spark a good convo.. Because let's say the condo market is down down in Ottawa right now, if you were Claridge or Tamarack or whatever, would you rather wait it out and not sell much or try to do a curve ball and do a couple of lower-price developments in the meantime to still keep sales and projects going?

I can't comment on what all condos were like years ago, but at the beginning of the '90s, my dad told me the condos in the Holland Cross building on Holland/ Spencer were selling for $50,000 per unit (he bought in and we lived there for 11 years). But I doubt real estate would ever be that cheap.

[canabiz]

Originally Posted by OTSkyline

What I think kills this development a bit is the prices.. It's pretty expensive compared to all the other proposed or in construction developments around Ottawa. I guess they charge more because it's in a "prime location"?

Why aren't there more "low-cost" condos? I think a lot of condos could sell in Ottawa if a developper proposed a 20-30 condo tower with prices ranging from $150K-$250K for 1 and 2 bedrooms.. And don't tell me it can't be done because of economics, just look at the other side of the river in Aylmer or Gatineau!

This could spark a good convo.. Because let's say the condo market is down down in Ottawa right now, if you were Claridge or Tamarack or whatever, would you rather wait it out and not sell much or try to do a curve ball and do a couple of lower-price developments in the meantime to still keep sales and projects going?

That would be a nice idea but I don't think it will happen, unfortunately. Like Harley mentioned earlier, Claridge should have the cash to keep this going for a bit. Same with Tamarack, they have been building houses (not condos) all over the city for decades and are fairly established.

Compared this with small(er) players like Tega Homes who sold the Rhombus land to Brigil.

[lenderonabender]

Originally Posted by OTSkyline

Why aren't there more "low-cost" condos? I think a lot of condos could sell in Ottawa if a developper proposed a 20-30 condo tower with prices ranging from $150K-$250K for 1 and 2 bedrooms.. And don't tell me it can't be done because of economics, just look at the other side of the river in Aylmer or Gatineau!

every developer would love to sellout their building quickly. if developers could sell at those prices and make a reasonable profit, they would.

what you are missing is the cost of land - it's a huge factor in the economics of condo projects. the land for this project alone was in excess of $9MM! on a per unit basis, that is a big cost.

land is much cheaper in Aylmer/Gatineau.