If I correctly understand the terms of this subsidy, I think it is a good investment. My understanding of the terms is that this $2.2 million loan will be forgiven if the project meets its goals. I think the completion of the condos, will improve livability in downtown. The folks who buy these condos will add buying power to downtown that doesn't require people to come to downtown. How will this affect vacancy rates? Well, in the short tem, it might have a small negative affect. However, I would think the completion of this and other housing units in downtown will help with filling these vacant spaces. Of course a recent article in the Pioneer Press by Ed Lotterman on the vacancy rates http://www.twincities.com/mld/twincities/business/columnists/edward_lotterman/9266153.htm points out that rent rates do not fall even with high vacancies. Add to the current vacancies the fact that the state is building three large buildings in the Capitol Complex. This certainly will create significant vacancies. Although most of the employees moving into these building work in buildings on the fringe of downtown. Of course, as noted before in articles on vacancies, the state is moving approximately 700 employees out of a building owned by the government into the First National Bank building. This will have a small but positive impact on the vacancy rate Mike Fratto Payne Phalen
>>> List Manager <[EMAIL PROTECTED]> 07/30/2004 12:56:26 AM >>> Given the high vacancy rate in downtown, that was discussed earlier, this project would appear to have some merit. Anyone have any comment? Is the $2.2 million price tag for the city of St. Paul too expensive or reasonable? Would I be correct in assuming that the conversion of the Lowry building to condo's would decrease (by some small margin) the overall vacancy rate? Also, does anyone know if there is still a market for these condo's in downtown, or is the condo market (in downtown) close to saturation? ------------------------------------------------- City OKs aid for Lowry conversion $2.2 million 'forgivable loan' done in best interests of downtown "St. Paul taxpayers will contribute $2.2 million toward the renovation of the downtown Lowry Professional Building under a deal that won unanimous approval Wednesday from the city's Housing and Redevelopment Authority." http://www.twincities.com/mld/twincities/news/local/9266157.htm?ERIGHTS=-820972851013774440twincities ------------------------------------------------- -- Tim Erickson List Manager St. Paul Issues Forum http://www.e-democracy.org/stpaul/ Hamline Midway Resident 651-643-0722 [EMAIL PROTECTED] St. Paul Links - http://www.e-democracy.org/stpaul/links.html "The St. Paul Issues Forum is a interactive e-mail discussion on important issues about St. Paul public policy. Participation is free and open to anyone. We currently have about 350 concerned citizens and community leaders subscribed to our discussion." _____________________________________________ To Join: St. Paul Issues Forum Rules Discussion Email: [EMAIL PROTECTED] _____________________________________________ NEW ADDRESS FOR LIST: [EMAIL PROTECTED] To subscribe, modify subscription, or get your password - visit: http://www.mnforum.org/mailman/listinfo/stpaul Archive Address: http://www.mnforum.org/mailman/private/stpaul/ _____________________________________________ To Join: St. Paul Issues Forum Rules Discussion Email: [EMAIL PROTECTED] _____________________________________________ NEW ADDRESS FOR LIST: [EMAIL PROTECTED] To subscribe, modify subscription, or get your password - visit: http://www.mnforum.org/mailman/listinfo/stpaul Archive Address: http://www.mnforum.org/mailman/private/stpaul/
