CHICAGO | One Chicago | 971 FT & 574 FT | 78 & 49 FLOORS

[Fvn]

Originally Posted by KWillChicago

I know this a very vague question but what type of timline are we looking at if we already got approval from the alderman? I'm thinking a year before they break ground and start digging if everything keeps moving at the pace it is?

If I recall they said they were aiming for a ground breaking in late summer/fall 2018. I could be wrong though

[Randomguy34]

^ They plan to start construction in the fall and wrap up by 2021. About three years for a project this big is pretty reasonable.

[IrishIllini]

Ah, I did not realize it was only 70 or so condos. That's very low given the building will have nearly 600 units. Lets just get it built.

[the urban politician]

Originally Posted by IrishIllini

Ah, I did not realize it was only 70 or so condos. That's very low given the building will have nearly 600 units. Lets just get it built.

No, well over 800 units in both buildings

[Kngkyle]

Are they intending to build both towers simultaneously?

[IrishIllini]

Originally Posted by the urban politician

No, well over 800 units in both buildings

What?! 70 condo units in an 800+ unit building? I'm assuming they'll be penthouse luxury units.

I understand there are reservations about large-scale condo developments, but there can't be more than a few hundred condo units added to the city in the past few years. There may even be losses with a few high rise developments reverting back to apartments. It's seems as though rents are increasing faster than sales prices. I wonder what's causing that. I wonder how long it'll hold true...

[Freefall]

Originally Posted by the urban politician

No, well over 800 units in both buildings

In both buildings? No. 870ish units for the whole project. Not in each building.

[the urban politician]

Originally Posted by Freefall

In both buildings? No. 870ish units for the whole project. Not in each building.

That's what I meant. That's why I didn't say 800 units in each building.

[left of center]

Originally Posted by IrishIllini

I understand there are reservations about large-scale condo developments, but there can't be more than a few hundred condo units added to the city in the past few years. There may even be losses with a few high rise developments reverting back to apartments. It's seems as though rents are increasing faster than sales prices. I wonder what's causing that. I wonder how long it'll hold true...

A big part of it is demographics.

Millennials are renting for a lot longer than other generations. Some of that is due to the inability to get loans. Banks hold their purse strings tighter than they did before the recession, and its a lot harder to get 20% down considering how high housing prices are.
Another part of it is that Millennials are also putting off big life decisions, such as marriage and having kids. Those two decisions right there typically are big drivers for people to purchase a home or a condo that has more space than a smaller apartment.
And yet another part of it is that some Millennials prefer to rent. They prefer to not have to worry about fixing or repairing something that has broken, and calling the landlord instead. I've been called in for some really stupid shit (dishwasher is broken, in reality the touch panel had been locked. sink is leaking, the pvc drain pipe just needed to be hand tightened. I could go on and on).

As long as all the above continue to hold true, then apartments > condos

These are just my thoughts on the matter. (Source: Am Millennial )

[the urban politician]

I think people are also learning that condos in Chicago aren’t a very good investment in really large buildings unless you go upscale.

In outlying neighborhoods where you’re talking about charming 3-6 unit walk ups on a leafy street they seem to hold up well. But in large buildings where after about 40 years the maintenance costs become massive, they can be a problem (unless you lease them out and are in an area that sees continued rent growth). Upscale is where they seem to hold their value, plus it may actually benefit condo owners to live in properties where there are other uses such as rentals/commercial so that they can kind of divvy up the cost of building maintenance.

[jc5680]

Originally Posted by left of center

Some of that is due to the inability to get loans. Banks hold their purse strings tighter than they did before the recession, and its a lot harder to get 20% down

This is one of those things I hear repeated a lot, but I don't really know that it is all that true. At least not now that we are close to a decade removed of the recession of 2008.

When I bought about 4 years ago I assumed the same thing. Only after talking to a lender did I find out that I needed nowhere near the size of downpayment I thought. As long as you aren't carrying a ton of debt there it was pretty easy to get approved. They were willing to approve me for quite a bit more than I was wanted to spend.

I had to pay mortgage insurance for a couple years, but that $100 a month was a drop in the bucket compared to how much my place appreciated over that time.

[left of center]

Don't forget what a well known yet tone deaf real estate mogul thinks of our generation; we prefer avocado toast to home ownership. There is a bit of truth to that oft maligned statement. When it comes to a lot of people under the age of 35, experiences outweigh asset growth in priority. Not everyone of course, but enough where its causing the market to take notice and respond to the trend.

Avocado toast > PMI

[JK47]

Originally Posted by jc5680

This is one of those things I hear repeated a lot, but I don't really know that it is all that true. At least not now that we are close to a decade removed of the recession of 2008.

When I bought about 4 years ago I assumed the same thing. Only after talking to a lender did I find out that I needed nowhere near the size of downpayment I thought. As long as you aren't carrying a ton of debt there it was pretty easy to get approved. They were willing to approve me for quite a bit more than I was wanted to spend.

I bought my place right at the tail end of the Recession and only needed to put 5% down. Avoided having to pay PMI by choosing to go with a slightly higher interest rate (like an additional 0.25%), the increased cost was less than half of what PMI would have been. The underwriting process took an eternity as they turned my finances inside out but otherwise went fine.

Subsequent encounters and discussions with several lenders (I went through a couple rounds of refinancing) gave me the impression that debt loads are their biggest concern now. One of the bigger changes is that student loans went from a positive pre-Recession (viewed as a sign of impending high earning potential) to a big negative.

[HomrQT]

Originally Posted by left of center

A big part of it is demographics.

Millennials are renting for a lot longer than other generations. Some of that is due to the inability to get loans. Banks hold their purse strings tighter than they did before the recession, and its a lot harder to get 20% down considering how high housing prices are.
Another part of it is that Millennials are also putting off big life decisions, such as marriage and having kids. Those two decisions right there typically are big drivers for people to purchase a home or a condo that has more space than a smaller apartment.
And yet another part of it is that some Millennials prefer to rent. They prefer to not have to worry about fixing or repairing something that has broken, and calling the landlord instead. I've been called in for some really stupid shit (dishwasher is broken, in reality the touch panel had been locked. sink is leaking, the pvc drain pipe just needed to be hand tightened. I could go on and on).

As long as all the above continue to hold true, then apartments > condos

These are just my thoughts on the matter. (Source: Am Millennial )

Lending has become much easier, rates are fairly low. Downpayments have been typically no where near 20%. November 2016-2017 ~61% of buyers across the nation put less than 6% down on a purchase. Source: A lot of my clients are real estate agents.

[BVictor1]

APPROVED...!!!

High praise for the developer from the commission.

[woodrow]

I had not seen the skyline pic with the building, as provided by the developer. Oh. MY. GOSH! shivers..... and imagine that pic with 1BP and Vista!

[Kngkyle]

JDL are on top of their game. Less than 1 year from proposal to approved to under construction. Granted the last step hasn't occurred yet but if they keep to their timeline it will easily be within a year. I also don't see them having any issue renting out the apartments. There has been comparatively little apartment development in this area compared to Streeterville, South Loop, and River North.

[the urban politician]

Originally Posted by BVictor1

APPROVED...!!!

High praise for the developer from the commission.

God Bless America!

I'm saving the really spectacular nanners for construction start

[Steely Dan]

nice!

all systems pointing toward chicago's 6th bonafide supertall rising soon.

[Skyguy_7]

That skyline pic is glorious! What a time to be alive.

My only critique for JDL: PLEASE give us the black columns/mullions throughout the main tower. The renderings show both beige and black. Confused.