stlien wrote:dredger wrote:Maybe a sales office will pop up in the first Phase, but still think they are behind the eight ball and a legitimate proposal for new downtown residential infill is going to hit the street before the year is out.
I don't think they're behind the eight ball and even if a "legitimate proposal for new downtown residential infill" is announced, it wouldn't have a negative effect on residential at BPV. If anything, it'll have a positive effect.
Downtown is expected to have new housing in the near future. The Arcade-Wright is to build new artists' lofts along the lines of the Leather Trades in DTW and the Metropolitan in Midtown. The Roberts Tower has new ownership focused on redeveloping the empty shell as something residential that actually works. And, the Chemical remains viable to be redone. Add-in the inflow of SLU Law personnel and students, and it's quite reasonable to see new residential building up momentum... And it is this momentum, increasing neighboring Downtown residential demographics, that will both build-up the valuation of the site and provide more validation to Downtown residential to prospective purchasers.
And, there's value to having residential come after something more significant than the Bullriding Bar and parking lots. Otherwise, it's just a tower next to a Bullriding Bar and parking lots. Not the image to fill a residential tower by far...
It also has to be said that residential today is a pretty crappy place to put one's disposable monies. Many purchasers of a residential unit here will be doing so for investment purposes, just as many lofts in Downtown were purchased as "second homes" that were later rented out, not for the primary purpose of generating rental income, but for increased real estate market pricings. This was common pre-2008, and we are still feeling these effects today.
Right now, money is super cheap, and stasis assets suck. More so, the US Dollar is cheap. Consider that a typical savings account may be generating 1%, at most, annual interest. Inflation, meanwhile, is closer to 1.8%. This tells me that this is not a good time to be buying a house in general, let alone as an investment-worthy property.
I do see residential coming, but not yet, not until the economy really turns around.