According to an article just posted by Matt at urbnlivn, Salt Condominiums will now be built as apartments.
Salt was intended to be a boutique condo building with just 38 units sitting in the heart of Ballard. The reason? Rising construction costs. With the construction around Seattle hitting a peak, construction costs are skyrocketing. And after seeing the plethora of condo building lawsuits between Home Owner Associations and the Builders of those condos in the last few years, construction companies are charging a premium to build condos based on the probability of lawsuits in the future, that premium doesn't get tacked on to build apartments. So that leads to the birth of Salt Apartments and the death of Salt Condos.
Following in the footsteps of Rollin Street, Equinox and many others during the recession, we are seeing our first condo to apartment use switch since the market rebounded. Instead of changing uses due to lack of demand as was the previous reason, as demand is something Seattle actually has a lot of right now, it is due to the rising costs to build. We knew that construction financing for building condos has been tight and tough to get for years preventing a glut of condo buildings from being built in the first place and leading to a lot more apartments under construction around the city. But I am not sure that we expected projects to be announced as condos and have to switch uses mid stream due to rising costs. It is an interesting development.
Thank you Matt for the heads up on this news.
By Marco Kronen with Seattle Condo Review: A guide to Seattle downtown condos.
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