Vulcan has announced that Rollin will be officially converted into an apartment building. With only 25% presale, they were unable to meet Fannie Mae's new requirement of 70% pre-sale. Matt has more here.
One thing that comes to mind is requiring the high pre-sale threshold of 70% makes a lot of sense long term (it used to be 51%).
The question I have is: is that the right thing to implement when the market is still trying to find it's footing? I wonder if it would have been better to ratchet the more stringent requirements up over a couple of years in line with the market recovery.
It’s a great thing, it removes something like 200 condos off the market and puts ~50 potential buyers back on the market.
Having Rollins stay on an overloaded market would delay the market’s recovery by prolonging the time needed to reach the balance between buyers and sellers.
that’s going to be a damn nice apartment building!
Any thoughts about the Enso? Their website shows 55% sold. The building looks almost ready but not sure when they start closing. Do you think it will go apartments as well?
From what I understand from the developer’s office, Enso has a much higher level of pre-sales than Rollin and their goal is to continue to close units in that building as buyers come to the closing table.
Any word on the Marselle Condo? they really have to hurting on the presale front. two months before completion and still no pricing on there website
FYI, rental rates here are through the roof. 2020/mo for a 910 sq ft east facing unit. Or 2430/mo for a 1080 sq ft west facing unit.
It’ll be just as empty of an apartment building as it was a condo building.