I received a call from a great friend of mine from Portland last week. She wanted to connect me with some buyers from New York. They were here for the weekend and nothing more. My goal was to show them as many good units as possible in less than 48 hours. We saw a number a great units, but one of them stood out and I’m not quite sure why it is still available. Is this one of many good deals that have gone un-noticed?
I think by now you are pretty familiar with The Cosmopolitan. This a steel and concrete building that sits at 8th and Virginia in the Denny Triangle. It is 34 stories, has a concierge, workout facility, roof-top deck, business, spa and much more. When doing my research for the couple from NY, I noticed this 2 bedroom on the 27th floor. As you can see (listing here), the price is set at $464,900. The unit is bank owned and when I went through it, there were a few walls that needed to be touched up, but overall it was in good condition. Keep in mind that this building is only 3 years old.
Now, you obviously want to know why I think its a good deal:
- First and foremost, I think its safe. (Even with the Cosmo’s storied past, its a steel and concrete building with good upside).
- The view is amazing.
- It’s less then $400 per square foot. ( just ran an analysis yesterday for a client wanting a 2 bedroom CMA. The average cost per square foot for 2 bedrooms were $535psf). The analysis only included sales in the last 120 days in buildings that were 2005 or newer. That is a big difference.
- It is bank owned. I would write an offer at $399,000. If they say no, they you can determine what they will take. Even at $464,o00, this condo is a good deal.
- In August of 2008, 2804 which is the neighbor one floor up sold for $715,000. Now, can you convince me that the market reflects a $250,100 drop since 2008 for these units? No.
- This unit originally sold for $735,000 in September 7th of 2007. Does it matter what happened 2-3 years ago? Not really, but to think that values should be down almost $300,000 dollars for this unit is absurd.
So the real question is…..Why do we think this unit is still on the market? Your thoughts?
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