It seems to me that the condo/loft market is in fine shape in Minneapolis. I would imagine that appreciation of these units is leveling off, but demand seems to be high enough to fuel this development for a long time.
Admittedly, there's only so long the high-end condo market can sustain itself. What I'm really looking forward to is the appearance of mid-range condos. Anything in the ballpark of $200K has been snatched up faster than you can say "condominium." And I'm no development expert, but I would imagine that there's plenty of profit to be made from condos in the 150s. I like David Brauer's points: > 1. Demographics. Ten of the ten fastest-growing subgroups are people > without children (sort of a dumbbell shape - lots of 20-30-somethings > and 55-60-70-somthings). These groups are more likely to go to condos > and townhomes - and in the city, Downtown has the best combo of > undeveloped land near significant amenities. True, you can get > overpriced spikes going forward, but longterm, the demand for this type > of house should remain strong. > > After all, G.R. ended up Downtown, not Southwest or Northeast. > > 2. Population movement. Everyone has seen the demographic predictions > from folks such as the Met Council: 1 million more people will move > into the Twin Cities in the coming couple of decades. Only a sliver may > move into the cities, but it only takes a relative sliver to float the > boat in places like Downtown and near-Downtown neighborhoods such as > Whittier. Both right on. To add to your second point, I think we'll see more people moving into the cities than people are forecasting. It's my contention (and I won't get into it to much on the list, because it's not Mpls specific) that we are at the beginning of a shift in attitudes, where people are once again beginning to see the advantages of dense urban living. I expect this to fuel the development market in Minneapolis for a long time to come. Also, a quick word to Bill Dooley's question: > I just wish I had a handle on whether the empty nesters are > suburbanites coming to the city or city folks that want to stay in the city. > The condo > boom with have a significant impact on at least city property tax revenues > and voting patterns in the years ahead. At the Tower Lofts on the Loft Living Tour, they had a map with stickers placed by each household that had reserved a loft. I can't say how representative it is of the loft market as a whole, but it was very interesting. A few people from downtown, and a large number of people from SW Mpls. However, people moving within the city were probably about 40%, and the other 60% were scattered all over the Twin Cities metro. --Jeff Rosenberg East Isles --Who wants to move into a loft, but is a poor college student who can barely afford association fees. REMINDERS: 1. Think a member has violated the rules? Email the list manager at [EMAIL PROTECTED] before continuing it on the list. 2. Don't feed the troll! Ignore obvious flame-bait. For state and national discussions see: http://e-democracy.org/discuss.html For external forums, see: http://e-democracy.org/mninteract ________________________________ Minneapolis Issues Forum - A City-focused Civic Discussion - Mn E-Democracy Post messages to: mailto:[EMAIL PROTECTED] Subscribe, Un-subscribe, etc. at: http://e-democracy.org/mpls
