Calgary Condo Talk

[MasterG]

Originally Posted by Electrical Storm

Good insight. I remember looking at Smith when it first came out (after being pretty impressed with Drake). The price points for Smith, which I released after a pre-opening event, were as you said much much higher.
Here's the best example of price bloat: 380k for a 500 sq. ft. unit. And the kicker here is that you can buy a nearly identical 1.5 year old unit Drake for way less even today.

Yeah good catch on my typo, I was referring to Drake v. Smith

Finishing has something to do with it sure, I think they thought (probably rightfully so from their perspective) that they left some money on the table when they released Drake as it sold out very quick with few issues. Probably would have liked to price it a bit higher if they had guessed the demand was higher.

The whole better-finishing argument doesn't really fly with me personally, but I am not one that can tell the difference between most of that stuff so take that with a grain of salt. I think they just realized they could get more for a similar design / costs of construction increased, used "better finishing" argument to cover that they literally have a near-identical building a half-block down that was much cheaper.

Recessions can be wonderful things to build a stock of more reasonably-priced density in an otherwise increasingly un-affordable area. The real successful developers are the ones that can pivot to support a lower priced environment without shutting down until the economy improves.

[The Fisher Account]

Would $462/mo for an 8 year old Bridgeland condo with no amenities aside from underground parking be considered ridiculous condo fees?

[Electrical Storm]

Originally Posted by The Fisher Account

Would $462/mo for an 8 year old Bridgeland condo with no amenities aside from underground parking be considered ridiculous condo fees?

How large is the unit? What is the distribution of units in the building and how large is said unit within the distribution (ie: how many 1beds, how many 2beds etc.)... this will help to answer your question.

$462/mo seems high to me, though not yet in the realm of the ridiculous. If you want to see absurd condo fees, look at units in old luxury buildings from the 70s and 80s with pools, and you'll see how high condo fees can go.

[Halofire]

Originally Posted by The Fisher Account

Would $462/mo for an 8 year old Bridgeland condo with no amenities aside from underground parking be considered ridiculous condo fees?

Age isn't a factor... unit size is. So the best way to tell is compare it to all of the other condos in bridgeland. Bella Citta, Bella Lusso, Pontifino I & II, etc.

Then just do a $/sqft compare. I pay ~$0.45/sqft and don't feel it is unreasonable.

[Electrical Storm]

Originally Posted by MasterG

Yeah good catch on my typo, I was referring to Drake v. Smith

Finishing has something to do with it sure, I think they thought (probably rightfully so from their perspective) that they left some money on the table when they released Drake as it sold out very quick with few issues. Probably would have liked to price it a bit higher if they had guessed the demand was higher.

The whole better-finishing argument doesn't really fly with me personally, but I am not one that can tell the difference between most of that stuff so take that with a grain of salt. I think they just realized they could get more for a similar design / costs of construction increased, used "better finishing" argument to cover that they literally have a near-identical building a half-block down that was much cheaper.

You hit the nail on the head here - better finishing (no matter how dubious) is the ultimate markup.

[Electrical Storm]

Originally Posted by Halofire

Age isn't a factor... unit size is. So the best way to tell is compare it to all of the other condos in bridgeland. Bella Citta, Bella Lusso, Pontifino I & II, etc.

Then just do a $/sqft compare. I pay ~$0.45/sqft and don't feel it is unreasonable.

Age does contribute to a certain degree... As maintenance/upkeep demands tend to increase with age. But this is relative ofcourse, there are buildings where condo fees have remained very stable overtime.

[Spring2008]

The price large difference between Drake and Smith is odd, the market has been too overheated lately.

[suburbia]

Originally Posted by The Fisher Account

Would $462/mo for an 8 year old Bridgeland condo with no amenities aside from underground parking be considered ridiculous condo fees?

Wow! That is a LOT of money. Basically is equiv to a $100,000 mortgage that never gets paid off. And that only if the level remains at $5,600/yr.

[Electrical Storm]

Originally Posted by suburbia

Wow! That is a LOT of money. Basically is equiv to a $100,000 mortgage that never gets paid off. And that only if the level remains at $5,600/yr.

Right. Because a SFH requires absolutely 0 maintenance over its lifespan.

[The Fisher Account]

Originally Posted by Halofire

Age isn't a factor... unit size is. So the best way to tell is compare it to all of the other condos in bridgeland. Bella Citta, Bella Lusso, Pontifino I & II, etc.

Then just do a $/sqft compare. I pay ~$0.45/sqft and don't feel it is unreasonable.

It's around 1050 square feet, 2bdrm, so maybe it's in line with what you're paying.

[MalcolmTucker]

All comes down to the reserve fund study. If the recommended maintenance and replacement is fully funded then you can compare properly. I am paying 56.7 cents per square foot (2 beds, 1 bath, 2 underground stalls) but have reasonable assurance that no special assessment is coming down the pipe.My building was built in '83 and went condo in the mid 90s.

[Electrical Storm]

Originally Posted by MalcolmTucker

All comes down to the reserve fund study. If the recommended maintenance and replacement is fully funded then you can compare properly. I am paying 56.7 cents per square foot (2 beds, 1 bath, 2 underground stalls) but have reasonable assurance that no special assessment is coming down the pipe.My building was built in '83 and went condo in the mid 90s.

I'm assuming it's not a post-tension cable structure?

[MalcolmTucker]

It actually is a post-tension cable structure, but it is wood frame above the parking level so that helps a bit. We have a regular inspection and cable replacement contract is my understanding.

[Electrical Storm]

Originally Posted by MalcolmTucker

It actually is a post-tension cable structure, but it is wood frame above the parking level so that helps a bit. We have a regular inspection and cable replacement contract is my understanding.

I see, so there would be less potential maintenance costs than a similar concrete PTC structure.

[Socguy]

Originally Posted by Electrical Storm

Right. Because a SFH requires absolutely 0 maintenance over its lifespan.

I'm sure it requires some but I doubt a SFH requires $5500 worth of maintenance each and every year.

For a unit with no amenities it sounds high to me, but it very well could be what's required. Look at the budget and ask questions. Is it self managed, or by a company? The worst thing you could do is buy into a building that has not fully funded their reserve obligations because at some point the chickens WILL come home to roost. Even if you try to get out before anything major happens, a savvy buyer will either avoid your unit or hammer you on price due to the unfunded liability.

Lets be honest, you buy a condo for the lifestyle. You want your life to revolve around more than your home and your job, so the trade off is that you're paying for someone else to take care of the building. You can expect that your ongoing expenses will simply be higher.

[RyLucky]

Originally Posted by Electrical Storm

Radius by Bucci seems to be launching pretty soon (Spring 2015) - http://bucci.com/radius/

Originally Posted by Spring2008

Poor exterior color choice. A similar scaled project called Lusso just started along the quickly growing 7th ave hub above Bridgeland.

http://www.buzzbuzzhome.com/lusso


About a block west, Liftt has some site prep going on, no drill yet though.
http://www.liveliftt.com/home/

Bridgeland is becoming quite the little TOD!

Radius, Crossings I, Crossings II, McPherson, Lifft, Steps, and Lusso... That's just within 2-3 blocks of the station built around 2014-2016.

[Electrical Storm]

Originally Posted by Socguy

I'm sure it requires some but I doubt a SFH requires $5500 worth of maintenance each and every year.

I was simply pointing out the obvious to that poster...While it is unlikely that an SFH would require 5.5k/year of maintenance on a consistent basis - significant repairs or additions like redoing a roof or driveway or finishing a basement are big ticket endeavours that would normally be wrapped in with condo fees. Additionally, depending on amenities and utilities included within the fees, there are savings to be had (e.g.: if the building has a pretty good gym, I'm not only saving myself from buying a gym membership but also from the time and hassle of getting to my gym).

Originally Posted by Socguy

For a unit with no amenities it sounds high to me, but it very well could be what's required. Look at the budget and ask questions. Is it self managed, or by a company? The worst thing you could do is buy into a building that has not fully funded their reserve obligations because at some point the chickens WILL come home to roost. Even if you try to get out before anything major happens, a savvy buyer will either avoid your unit or hammer you on price due to the unfunded liability.

Lets be honest, you buy a condo for the lifestyle. You want your life to revolve around more than your home and your job, so the trade off is that you're paying for someone else to take care of the building. You can expect that your ongoing expenses will simply be higher.

Absolutely - and this is the main argument. There is a penalty for the convenience and turn-key lifestyle that [should] come with a condo. But by no means is the alternative to condo living "free".

[Spring2008]

Originally Posted by RyLucky

Bridgeland is becoming quite the little TOD!

Radius, Crossings I, Crossings II, McPherson, Lifft, Steps, and Lusso... That's just within 2-3 blocks of the station built around 2014-2016.

I'd like to see new development along the western part of 1st ave next as well as a few new projects down the lower part of Edm trail.

Park Point is having their public launch this weekend, as are more good looking townhomes in South Calgary.

http://assuredhomes.com/condominiums/current-projects/max-townhomes/

[Electrical Storm]

Originally Posted by Spring2008

I'd like to see new development along the western part of 1st ave next as well as a few new projects down the lower part of Edm trail.

Park Point is having their public launch this weekend, as are more good looking townhomes in South Calgary.

http://assuredhomes.com/condominiums/current-projects/max-townhomes/

As per an email I received from Assured Homes, 'MAX' will be priced in the low 800s, so expect larger/nicer units than in the neighbouring 'Alex'.

Assured email from Feb 21st: "Since you registered your interest in MAX Executive Townhomes we’ve been very busy putting the finishing touches on this limited collection of urban residences. There are only 10 units available in this unique project and they’re going on sale next week!

We’ve taken care to ensure MAX delivers more quality, features and aesthetic design than you’d expect of a million-dollar home in South Calgary – and the price will surprise you. If you’re in the market for a quality urban residence, we invite you to visit our presentation centre on Saturday, February 28th for the unveiling of MAX Executive Townhomes.

We’re in the process of completing the new MAX Presentation Centre at 2719 – 14 St. SW and the doors will open at 12 Noon. The first 3 purchasers will not only have their pick of these beautiful homes, they’ll be able to capture additional pre-construction pricing that makes an attractive price irresistible. We hope to see you there!

– The MAX Sales Team"

[Source: Assured Homes Registrant Email Communication - MAX Is Set To Launch]

[MichaelS]

Originally Posted by RyLucky

Bridgeland is becoming quite the little TOD!

Radius, Crossings I, Crossings II, McPherson, Lifft, Steps, and Lusso... That's just within 2-3 blocks of the station built around 2014-2016.

Lifft and Lusso are up on 7 ave NE, so quite a ways from the train station.