Toronto Nicholas Residences | ?m | 35s | Urban Capital | Core Architects

These sales figures are always misleading. Usually it's "70% sold", for example. They do not say whether that 70% is 70% of the units (70 out of 100) or if it is 70% of the revenue from all the units. 70% of the units could mean a significant amount of the lower priced 1-berm units are sold, but the majority of the higher priced 2 bdrm + units remain unsold, making it only 55% sold of the revenue from all the units.
 
marcus_a_j said:
These sales figures are always misleading. Usually it's "70% sold", for example. They do not say whether that 70% is 70% of the units (70 out of 100) or if it is 70% of the revenue from all the units. 70% of the units could mean a significant amount of the lower priced 1-berm units are sold, but the majority of the higher priced 2 bdrm + units remain unsold, making it only 55% sold of the revenue from all the units.
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Whatever....70% sounds good.
 
marcus_a_j said:
Sure, sounds good to you, but those who may finance the construction want to know what 70% means.
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Those who finance the projects are privy to every last detail of the project. And there is no magic number like some have suggested earlier in this thread as to when/if financing thresholds will occur for various projects - credit availability has improved, but it's a very different and more complex situation than a few years ago.
 
Mike, I agree. I was not suggesting, nor have I ever, that 70% or some other number is some threshold number to acquire financing. As you said it is very complex and beyond my personal knowledge which is why I usually do not comment on financing arrangements. I was just saying that throwing out random numbers is pointless without any backing to what it actually represents. In this instance and most often it's to inform potential buyers that inventory is getting picked up fast and to "act now or miss out!"
 
I was just saying that throwing out random numbers is pointless without any backing to what it actually represents.
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Signage on the kormann house (queen/sherbourn) stated that 70% was sold in the opening weekend....then the project went bust and the property has been for sale for the past year. Perhaps they lied and it bit them in the ass.
 
marcus_a_j said:
Mike, I agree. I was not suggesting, nor have I ever, that 70% or some other number is some threshold number to acquire financing.
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Hi Marcus - my comments on financing certainly weren't directed specifically at you. There were previous posts in this (and many other) threads that seem to hold up this mythological idea that once a certain number of units are sold that financing immediately kicks in. One would think the events over the last year and bit would have killed off any such illusions.

AGTO said:
Signage on the kormann house (queen/sherbourn) stated that 70% was sold in the opening weekend....then the project went bust and the property has been for sale for the past year. Perhaps they lied and it bit them in the ass.
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It sold half decently, the problem was more related to the credit crunch and lack of financing availability for residential projects than the sales. Had the exact same project achieved similar sales absorbsions a couple years earlier it likely would have gone ahead. On an side note I don't really see the point in "lying" about sales - there are plenty of sources for accurate information on sales and it would filter out pretty quickly among those "in the know" if certain developers were blatantly lying about their sales - sure if may generate some short-term attention, but in the long-run dishonest business practices will quickly catch-up with most people/companies - that and financial arrangement aren't possible to secure without full and detailed disclosure of pretty much every last detail regarding any given project.
 
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It sold half decently,
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According to the signage it sold very well....but they still couldn't get financing?

On an side note I don't really see the point in "lying" about sales -
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Neither do I, but they all do it....Streetcar developments claim you get to turn your TV into an hdtv with their coax wired suites....the public is gullible.
 
Automation Gallery said:
Whatever....70% sounds good.
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This seems to be standard quote. I doubt it is 70% sold. They are offering incentives now. The best units are gone and it is hard to sell the lousy floorplans and bad views at $700+ per sq ft. maybe when 1 bloor goes public it will give the project some lift.
 
So sales must be good. I know that the developer had claimed 70% sold back at the beginning of May. I, along with many others, had been sceptical about that number, since 70% seems to be the standard industry sales number, but in this case they must have been telling the truth, and the current number would be higher if an additional 6 floors are desired.

I've said it before, but there seem to be a lot of condos being sold if we are "sliding into a double-dip recession". In fact, the most recent economic news out of the USA indicates just the opposite, with greater than expected economic activity.
 
What do you think is the better project?

St. Nicolas or Five?

Has Core ever done a highrise before? They usually do the smaller loft style buildings.
 
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