Downtown population is single, young and growing
By Tavia Evans
Of the Post-Dispatch
01/27/2005
Downtown's newest residents are an enviable bunch: twentysomething, single with incomes of up to $50,000 a year.
And more of them are on the way, according to a report being released today by the Downtown St. Louis Partnership. A housing boom will occur in 2006, when more than 1,500 new residential units will open in the downtown market, the report predicts.
That's almost equal to the total units developed there in the last five years, said Jim Cloar, president of Downtown St. Louis Partnership, a nonprofit organization that focuses on improving downtown.
Residential development has focused on renovated historic buildings. But as the older buildings are depleted, developers will have to consider new construction in and around downtown to keep pace with the growth, the report said.
"We're already seeing a place in the downtown core where we're running out of small developments in buildings between 100,000 and 150,000 square feet," said Matt O'Leary, vice president for commercial development for Pyramid Construction Inc.
"You'll start to see developers go after the larger projects, like the Syndicate Trust Building, and looking farther afield," he said. "We're already seeing rehabs in the Locust Business District and others on the downtown fringe like Cupples Station."
In the past, developers have relied on historic tax credits to help finance extensive renovations. That won't be the case with new construction, however, so developers will have to consider other options for financing, the report said.
Recent developments also are trending toward a broader price range, aimed at residents with higher incomes who want more amenities.
The Denim Lofts, set to open in March 2006, is part of that trend. Developer John Carroll plans to offer 24 lofts for sale at 1308 Washington Avenue in what once was the Knickerbocker jeans factory.
The $5 million development will include 7,000 square feet of street-level retail; a major furniture retailer plans to move there in the next four months, Carroll said.
The lofts will be 1,200 square feet or 2,200 square feet. Units on the south side will have the larger footprints as well as balconies overlooking the city. Prices will range from $175,000 to $350,000.
National City Bank is financing the project; about $500,000 will come from Missouri historic tax credits.
Residents in properties developed since 2000 have higher incomes - 66 percent of them earn more than $50,000 a year and a quarter of them bring home more than $100,000, the partnership's report found.
Since 1999, developers have invested $500 million in residential development downtown. Nearly 10,000 residents call the area home; the bulk of the newcomers dates back only to 2000.
Before that, downtown residents numbered around 8,000, according to previous housing reports. Much of the market-rate housing consisted of apartments, such as Plaza Square, or single-family town houses, such as Columbus Square, just north of the financial district.
As the market appreciates, more apartments are expected to be converted into condominiums, a marked change.
Fifty-nine percent of the housing units expected to open this year will be owned, the study said. By contrast, only 10 percent of the total housing was owned through December 2004.
Housing that will be ready in 2006 is expected to be 54 percent owned and 46 percent rental.
"We're starting to see a greater balance in the year-by-year report for sale units of condos as opposed to apartments, and that reflects an increased stability in the market," Cloar said.
New construction also will address the needs of an older population that wants to live in the city but expects more amenities, Cloar said.
"Not everyone is a candidate for loft living, and that may mean assembling land or in-fill sites for a good, quality developer," he said. "There's a demand from a larger group of empty-nesters who prefer a more urban setting."
In a survey, downtown residents said panhandlers and the lack of "goods and services" are the downsides of city living.
The "urban experience," distance to work and proximity to cultural and sports ranked high among the positive aspects.
Moving in
About 10,000 residents call downtown St. Louis home. Here's the profile of a typical downtown dweller:
Single
Male (56% men, 44% women)
Twentysomething
Income of $25,000 to $50,000 a year
Doesn't work downtown, though a third walk to work
Pays $500 to $750 a month for rent or mortgage
Source: Downtown St. Louis Partnership
Reporter Tavia Evans
E-mail: tevans@post-dispatch.com
Phone: 314-340-8159
By Tavia Evans
Of the Post-Dispatch
01/27/2005
Downtown's newest residents are an enviable bunch: twentysomething, single with incomes of up to $50,000 a year.
And more of them are on the way, according to a report being released today by the Downtown St. Louis Partnership. A housing boom will occur in 2006, when more than 1,500 new residential units will open in the downtown market, the report predicts.
That's almost equal to the total units developed there in the last five years, said Jim Cloar, president of Downtown St. Louis Partnership, a nonprofit organization that focuses on improving downtown.
Residential development has focused on renovated historic buildings. But as the older buildings are depleted, developers will have to consider new construction in and around downtown to keep pace with the growth, the report said.
"We're already seeing a place in the downtown core where we're running out of small developments in buildings between 100,000 and 150,000 square feet," said Matt O'Leary, vice president for commercial development for Pyramid Construction Inc.
"You'll start to see developers go after the larger projects, like the Syndicate Trust Building, and looking farther afield," he said. "We're already seeing rehabs in the Locust Business District and others on the downtown fringe like Cupples Station."
In the past, developers have relied on historic tax credits to help finance extensive renovations. That won't be the case with new construction, however, so developers will have to consider other options for financing, the report said.
Recent developments also are trending toward a broader price range, aimed at residents with higher incomes who want more amenities.
The Denim Lofts, set to open in March 2006, is part of that trend. Developer John Carroll plans to offer 24 lofts for sale at 1308 Washington Avenue in what once was the Knickerbocker jeans factory.
The $5 million development will include 7,000 square feet of street-level retail; a major furniture retailer plans to move there in the next four months, Carroll said.
The lofts will be 1,200 square feet or 2,200 square feet. Units on the south side will have the larger footprints as well as balconies overlooking the city. Prices will range from $175,000 to $350,000.
National City Bank is financing the project; about $500,000 will come from Missouri historic tax credits.
Residents in properties developed since 2000 have higher incomes - 66 percent of them earn more than $50,000 a year and a quarter of them bring home more than $100,000, the partnership's report found.
Since 1999, developers have invested $500 million in residential development downtown. Nearly 10,000 residents call the area home; the bulk of the newcomers dates back only to 2000.
Before that, downtown residents numbered around 8,000, according to previous housing reports. Much of the market-rate housing consisted of apartments, such as Plaza Square, or single-family town houses, such as Columbus Square, just north of the financial district.
As the market appreciates, more apartments are expected to be converted into condominiums, a marked change.
Fifty-nine percent of the housing units expected to open this year will be owned, the study said. By contrast, only 10 percent of the total housing was owned through December 2004.
Housing that will be ready in 2006 is expected to be 54 percent owned and 46 percent rental.
"We're starting to see a greater balance in the year-by-year report for sale units of condos as opposed to apartments, and that reflects an increased stability in the market," Cloar said.
New construction also will address the needs of an older population that wants to live in the city but expects more amenities, Cloar said.
"Not everyone is a candidate for loft living, and that may mean assembling land or in-fill sites for a good, quality developer," he said. "There's a demand from a larger group of empty-nesters who prefer a more urban setting."
In a survey, downtown residents said panhandlers and the lack of "goods and services" are the downsides of city living.
The "urban experience," distance to work and proximity to cultural and sports ranked high among the positive aspects.
Moving in
About 10,000 residents call downtown St. Louis home. Here's the profile of a typical downtown dweller:
Single
Male (56% men, 44% women)
Twentysomething
Income of $25,000 to $50,000 a year
Doesn't work downtown, though a third walk to work
Pays $500 to $750 a month for rent or mortgage
Source: Downtown St. Louis Partnership
Reporter Tavia Evans
E-mail: tevans@post-dispatch.com
Phone: 314-340-8159
