Chris_Hull
Active Member
compared 1000 bay with yorkville plaza, which one is better in terms of potential investment value? price of the two is similar. one is newer, one is at better location. how you folks think about this?
|
|
|
1000 Bay or Yorkville Plaza, which one is better?
- Thread starter Chris_Hull
- Start date
Southcore
Active Member
compared 1000 bay with yorkville plaza, which one is better in terms of potential investment value? price of the two is similar. one is newer, one is at better location. how you folks think about this?
As an investment, neither are amazing. It will be impossible to cash flow with 20-30% down because the PSF is very high (unless you buy outright, but if you've got that kind of capital what they hell as are you doing thinking about buying pre con?)
Bear in mind too that some lux product outside Yorkville has not fared well (see: Ritz Carlton, Trump - suites going for waaaayy less than orignally expected). A few suites at Casa and Festival Tower sold for more than a suite at the Ritz (in terms of PSF). If you are lookin at capital appreciation, no doubt stick with Yorkville. Bay St is overrated. Sure, those who got in earlier and bought at College Park + others made a killing, but $800+ PSF for Bay St is highway robbery. Yorkville on the other hand is king, and will be for a while still.
Projects like River City II, Rise (though you've probably missed the boat on those two in terms of vip pricing and suite choice), maybe even Context King West or Monde are better.
Most of all get the opinion of a pre con expert. Since I don't have a dog in that race I'll leave that up to you to figure out, just do your due diligence.
Chris_Hull
Active Member
i really like yorkville, it's just so charming.
GraceCondos
Active Member
What's your investment goal/strategy? We can help you understand your options better after we know what your plan is.
FreddyMak
New Member
1000 Bay is very overpriced IMO, unless you manage to scoop a high-floor unit that's facing the park, with an unobstructed view protected by the historical buildings. Also the Yorkville Plaza has a sort of nostalgia attached to it.
GraceCondos
Active Member
We attended an event where 1000 Bay was being pitched to Realtors yesterday. We couldn't believe the lack of hard facts and the amount of "hype" they were pushing:
You have to see our tweet to believe it: https://twitter.com/gracecondos/status/161871402595651584
You have to see our tweet to believe it: https://twitter.com/gracecondos/status/161871402595651584
Southcore
Active Member
I'm not Garth Turner/Ben Rabidoux disciple, but $800+ PSF and $65K parking for non-premium areas, as well as hilarious info sessions such as that tweet suggest are reasons for concern in pre con these days. Why would anyone buy here when there are much better options (both for speculation or if you want monthly cash flow) in pre con and resale. Of course, this building will still be 70% sold in no time...but surely this cannot be sustainable.
KA1
Senior Member
I fully agree with your post that, regardless, 70% will be sold in no time although this can not be sustainable.
I will appreciate if a R/E agent or two could post sales numbers as things move along.
cdr108
Senior Member
GraceCondos
Active Member
Of course! A real estate broker hired by the builder was giving a seminar to a group of Realtors, who mostly have not sold pre-construction, about how easy it is. How they just bring their clients in to the sales centre, the sales agents for the builder do all the paperwork and the buying Realtor makes x% with little effort. One of his slides discussed the rental income and cash flow of these units and he said what I quoted and just advanced to the next slide. So basically he was trying to get these agents hyped on the money they can make, and wasn't actually going through the numbers of a unit as a rental investment.
Make more sense?
drewp
Active Member
I was at the same event. I know some people who were going to promote the sales launch. It was less about the project and more about how much money you will make. I am so tired of the traditional salesman.
cdr108
Senior Member
yes, i didn't know what you said earlier was verbatim from the sales / marketing rep ...
the reality is the numbers don't work as rentals
Chris_Hull
Active Member
i truly like the yorkville but how do you think about the price of yorkville plaza? is it overpriced or fair price?
KA1
Senior Member
My understanding is that the units are being sold at around $ 800psf.
I would appreciate if someone in R/E industry could, please, keep posting latest sales figures/any incentives by the builder to move units
interested
Senior Member
Happily it sounds like some of you are actually thinking of your customer besides just lining your own pockets.
If you seriously wish to be considered a "profession", then it behooves you to outwardly chastise this type of tactic.
Is it little wonder that there is so much anger towards real estate commissions when stories like this are put forth. I appreciate this is a far different issue than working on a listing with a client and going from location to location with the client.