Portland Tower - 516 S. 8th St.
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- Capella Tower
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Re: Portland Tower - 516 S. 8th St.
That's very cool that he's so willing to work with the neighborhood to make his project a win for everybody.
Re: Portland Tower - 516 S. 8th St.
Yay !!! More life for this area, and the design tweak looks great.
Born in Minneapolis.
Re: Portland Tower - 516 S. 8th St.
I like the horizontal look better than this. It creates more movement in that large of a plane and I feel it relates better to the brick above. I am not really a fan of the colors they had shown, but I like something other than grey.
Re: Portland Tower - 516 S. 8th St.
I agree that the color the selected in this new rendering makes this tower a little monotonous. It seems they were at two ends of the spectrum here. With the horizontal cladding they had something that seemed out of place but with the new gray material it seems a little boring. Overall, the new rendering is better than the previous ones.
Additionally, if this project gets approved it could really help other developers know what the market for condos are in the downtown area.
Additionally, if this project gets approved it could really help other developers know what the market for condos are in the downtown area.
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- Moderator
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Re: Portland Tower - 516 S. 8th St.
This project was approved in November and is now underway.
Re: Portland Tower - 516 S. 8th St.
It would be great if we had more condos in the lower end of the price range for downtown office workers who can't afford $250,000 and up.I agree that the color the selected in this new rendering makes this tower a little monotonous. It seems they were at two ends of the spectrum here. With the horizontal cladding they had something that seemed out of place but with the new gray material it seems a little boring. Overall, the new rendering is better than the previous ones.
Additionally, if this project gets approved it could really help other developers know what the market for condos are in the downtown area.
This looks like a great addition to the area.
Born in Minneapolis.
Re: Portland Tower - 516 S. 8th St.
This project was approved in November and is now underway.
My bad.
Re: Portland Tower - 516 S. 8th St.
Is it economically viable for condos to be built that are cheaper than $250,000 in downtown? I assume (and perhaps wrongly) that the initial barrier of taxes, land value and upfront construction costs make it more difficult for such a project to be economically viable.It would be great if we had more condos in the lower end of the price range for downtown office workers who can't afford $250,000 and up.I agree that the color the selected in this new rendering makes this tower a little monotonous. It seems they were at two ends of the spectrum here. With the horizontal cladding they had something that seemed out of place but with the new gray material it seems a little boring. Overall, the new rendering is better than the previous ones.
Additionally, if this project gets approved it could really help other developers know what the market for condos are in the downtown area.
This looks like a great addition to the area.
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- Moderator
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Re: Portland Tower - 516 S. 8th St.
A while back, I posted some links in the "Apartment Boom" topic (found under Anything Goes) that you might find interesting: https://forum.streets.mn/viewtopic.php?f=6&t ... ndo#p37346
The MinnPost article is really informative with regards to the cost of construction, etc.
That said, Stanton (Portland Tower developer) seems to be somewhat operating on his own terms. It seems he self-finances (can anyone confirm that?), which would obviously cut some costs. It's also possible that he is comfortable with lower rates of return than other developers/financiers. But as for "affordable condos" being built, no, I don't see how that could possibly work. For brand new units, $250,000, or the stated $330/sf (if not higher) is probably the absolute price floor.
The MinnPost article is really informative with regards to the cost of construction, etc.
That said, Stanton (Portland Tower developer) seems to be somewhat operating on his own terms. It seems he self-finances (can anyone confirm that?), which would obviously cut some costs. It's also possible that he is comfortable with lower rates of return than other developers/financiers. But as for "affordable condos" being built, no, I don't see how that could possibly work. For brand new units, $250,000, or the stated $330/sf (if not higher) is probably the absolute price floor.
Re: Portland Tower - 516 S. 8th St.
Dont mean to continue off topic, but is there any indication that lower fuel costs will drive down construction costs? Fuel is such a large part of everything that goes into construction. Just curious if it will actually impact costs at all, if anyone has experience in that field.
Re: Portland Tower - 516 S. 8th St.
Heard at recent conference from engineer/consultant: "...many people might extrapolate that lower fuel costs would lead to reduced construction costs, but we're not seeing it. Contractors are busy, and labor shortages are driving costs up, along with general inflation."
Re: Portland Tower - 516 S. 8th St.
Ehh. Stanton has sold a ton of units in the $250/sq ft range. He could easily do smaller units under $250K. But he has found a formula which works so he keeps hammering it. We'll see how much the formula is tweaked here given its inferior location.A while back, I posted some links in the "Apartment Boom" topic (found under Anything Goes) that you might find interesting: https://forum.streets.mn/viewtopic.php?f=6&t ... ndo#p37346
The MinnPost article is really informative with regards to the cost of construction, etc.
That said, Stanton (Portland Tower developer) seems to be somewhat operating on his own terms. It seems he self-finances (can anyone confirm that?), which would obviously cut some costs. It's also possible that he is comfortable with lower rates of return than other developers/financiers. But as for "affordable condos" being built, no, I don't see how that could possibly work. For brand new units, $250,000, or the stated $330/sf (if not higher) is probably the absolute price floor.
Towns!
Re: Portland Tower - 516 S. 8th St.
I think in the periphery you could get under $250,000 quite easily. A while back I was searching for condos just for fun (as if I can afford real estate), and there were a number of updated units under $200,000. I have to imagine a location right by the hospital and an area of town that's still not quite there in terms of "hipness" could drive prices down (even if they're not under $250K).
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- Stone Arch Bridge
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Re: Portland Tower - 516 S. 8th St.
There were plenty of condos in the Sexton for well under $100k after the bust. If only their association wasn't in such legal and financial shambles, I was tempted to pick up a unit as an investment.
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Re: Portland Tower - 516 S. 8th St.
Kind of irrelevant to new construction though, right?
Sherman straight up said he would not build for under $335/sf, if not higher. I'd put him in the same class as Stanton, with the possible ability to self-finance (again, not sure on this), take a lower margin, experience of having done it before, etc. Saying it could be done for less kinda seems like wishful thinking, unless you're asking for tiny studio units.
750 sf * $300/sf = $225,000 = wishful thinking
750 sf * $333/sf = $250,000
FYI: Portland Tower's FB page says "mid-300s to $1MM +"
Sherman straight up said he would not build for under $335/sf, if not higher. I'd put him in the same class as Stanton, with the possible ability to self-finance (again, not sure on this), take a lower margin, experience of having done it before, etc. Saying it could be done for less kinda seems like wishful thinking, unless you're asking for tiny studio units.
750 sf * $300/sf = $225,000 = wishful thinking
750 sf * $333/sf = $250,000
FYI: Portland Tower's FB page says "mid-300s to $1MM +"
Re: Portland Tower - 516 S. 8th St.
Sherman is not self financing his projects. 100% sure he did not self finance Zenith, at least. They have very different building philosophy's anyways. And I'm not saying it could be done for less. I'm saying Stanton already has been doing it for less. The floor isn't the floor if it isn't the floor. Ya dig?
Towns!
Re: Portland Tower - 516 S. 8th St.
I'd also like to point out that when price per square ft is discussed usually it's referencing the average in the building. A building with an average of $300/sf will have a bunch of units more affordable than that.
Towns!
Re: Portland Tower - 516 S. 8th St.
I think an affordable condos in downtown are possible, but the building would have to sacrifice a lot of amenities and the finished in the units would need to be cheap. While someone who makes $50- $70k per year on their own would like to live downtown, I don't think many of them would choose a condo with cheap finishes.
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- Stone Arch Bridge
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Re: Portland Tower - 516 S. 8th St.
A condo with cheap finishes screams equitybuilding opportunity.
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- Capella Tower
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- Joined: June 1st, 2012, 9:19 am
Re: Portland Tower - 516 S. 8th St.
My buddy and his father bought a 1st floor condo at one of the twin residential towers in Loring Park close to I-94, and he basically has a private backyard, since his sliding glass door opens up to the yard and nobody else seems to use it. So he like the best of both worlds (suburban ideology, urban setting), and he got it for ~$100K. It's only 1 BR/1 BA though.I think in the periphery you could get under $250,000 quite easily. A while back I was searching for condos just for fun (as if I can afford real estate), and there were a number of updated units under $200,000. I have to imagine a location right by the hospital and an area of town that's still not quite there in terms of "hipness" could drive prices down (even if they're not under $250K).
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