The sales office of Shelbourne Development Limited was expected to open Monday in a bid to sell units in what could become the world's tallest residential tower. Shelbourne is marketing 1,194 units for a high end Chicago Spire, a 2,000 foot tower that will sell for a minimum of $1,400 per square foot.
It translates into a minimum of $750,000 per unit, a price which is expected to further boost land prices in downtown Chicago.So far 600 interested buyers have booked appointments for a glimpse of building plans and model units at Shelbourne's sales office.
Shelbourne has joinred hands with Santiago Calatrava to build one of the most audacious architectural designs ever attempted. The building will have a unique seven sided corkscrew design to reduce wind pressure. Construction began in June 2005 and is expected to be completed by 2011.The coolest thing is that the top floor will let you see the curvature of the planet simply by looking out of the window.The project is expensive with estimates of cost reaching half a billion dollars.
A company spokeswoman told the Chicago Tribune: "There's interest in the building because it is one of a kind.' With unit prices ranging from $750,000 to $15 million, the high end tower, will appeal to a specific audience, she added.
After initially opening its office to American investors Shelbourne will offer its development overseas where it expects to sell at least 1000 units. Shelbourne chief executive Garrett Kelleher said the international road show kicks off January 23rd where it will visit London, Dublin,Moscow, Shanghai, Johannesburg,Hong Kong and other major capitals.
With the American real estate market on the downtrend skeptics are wary of the project's viability.They point out visits and actual sales are vastly different.James Kinney, president of Rubloff Residential Properties, a Chicago based high end property broker, told the newspaper, 'In this market for the Spire to get several hundred contracts to move ahead with construction will be difficult.'
To counter the slow pace of sales growth across the country, developers are throwing in discounts, which typically range from 3 to 5 percent. Also being thrown in are attractions such as free parking and free finishes such as granite counter tops.
When delivered in 2011 with 150 stories it is expected to stand taller than Chicago's Sears Towers, New York's upcoming Freedom Tower and Toronto's CN Tower. It has undergone three major design revisions since its launch in July 2005.
Pros and Cons of SIPs
SIPs or Structural Insulated Panels are becoming more and more popular in home construction. SIPs are made of two structural skins over an insulating structural core (usually expanded polystyrene--EPS). They're built in a factory and shipped to the construction site where the crew can quickly attach them to a house's framework. This can make building a home less expensive than with traditional stick-built methods, and it can also give you higher quality since everything is handled in a factory instead of on the job site. Here's a closer look at the pros and cons of SIPs:
Pros
- Since SIPs arrive to the construction site already built, building time is greatly reduced.
- SIPs are naturally resistant to mold and mildew.
- They are strong enough to resist wind, snow, and earthquakes.
- They have a high R-rating, which reduces the homeowner's energy costs.
- They're well insulated and reduce the amount of outside noise that gets inside.
- SIPs can be built to exact specifications.
- They don't warp or lose their shapes over time.
Cons
- After the panels are constructed, it's hard to make changes.
- It's hard to change wiring after the home construction is complete.
- If the factory is far away, SIPs may be costly to ship.
New York City Beats the Housing Slump
Sounds incredible, doesn't it! Can there be a place in the U.S where you bought a real estate in the last one year and watched your savings actually grow?
The answer is yes, if you were lucky enough to buy in New York City. While new home sales fell 19% nationwide in the second quarter of 2007 in Manhattan new and existing home sales more than doubled in the same period.
As far as prices go, while the national picture almost reminds people of the Depression, in Manhattan they recorded a double digit increase on average. Property dealers feel that 2007 will probably be their most profitable year.
So what has New York City got right which others have got wrong? New York has Wall Street! Its brokers and fund managers and deal makers are simply flooded with cash.The higher the Dow Jones climbs the more money and bonuses they make. Then naturally they want to make themselves as comfortable as they can.The result is that they are buying better and costlier homes. Then there are a lot of new people moving into the city particularly wealthy foreigners from Europe, Russia, China and India. They find New York cheap compared to other international cities. This feeling is helped by a falling U.S. dollar. Then again steep rentals have prompted temporary residents and frequent visitors to invest in small apartments. Not only have they saved on rent but have made a profit when they moved out!
But will things continue to be so rosy in the future? Not all seem to agree. A stronger dollar or a slump on Wall Street not to mention a terrorist attack could quickly change things.
More worrisome is the ongoing sub prime crisis. Tightening lending standards could drastically cut the flow of new money into the market causing prices to fall. In fact experts do point to a softening in prices of late. But such declines are presently confined to particular segments of the market while luxury homes and condos have suffered somewhat, the price of an average apartment has held rock steady.
With growing indications that Bernanke may ease sooner than later it probably won't be long before the party starts all over again.
The answer is yes, if you were lucky enough to buy in New York City. While new home sales fell 19% nationwide in the second quarter of 2007 in Manhattan new and existing home sales more than doubled in the same period.
As far as prices go, while the national picture almost reminds people of the Depression, in Manhattan they recorded a double digit increase on average. Property dealers feel that 2007 will probably be their most profitable year.
So what has New York City got right which others have got wrong? New York has Wall Street! Its brokers and fund managers and deal makers are simply flooded with cash.The higher the Dow Jones climbs the more money and bonuses they make. Then naturally they want to make themselves as comfortable as they can.The result is that they are buying better and costlier homes. Then there are a lot of new people moving into the city particularly wealthy foreigners from Europe, Russia, China and India. They find New York cheap compared to other international cities. This feeling is helped by a falling U.S. dollar. Then again steep rentals have prompted temporary residents and frequent visitors to invest in small apartments. Not only have they saved on rent but have made a profit when they moved out!
But will things continue to be so rosy in the future? Not all seem to agree. A stronger dollar or a slump on Wall Street not to mention a terrorist attack could quickly change things.
More worrisome is the ongoing sub prime crisis. Tightening lending standards could drastically cut the flow of new money into the market causing prices to fall. In fact experts do point to a softening in prices of late. But such declines are presently confined to particular segments of the market while luxury homes and condos have suffered somewhat, the price of an average apartment has held rock steady.
With growing indications that Bernanke may ease sooner than later it probably won't be long before the party starts all over again.
Building a House Out of Straw
A house built from straw? Sounds like something the Big Bad Wolf would huff and puff over, doesn't it? But straw bale construction has a 200-year history in the United States, and it's more fashionable than ever as people seek to build eco-friendly homes out of renewable materials.
There are two types of straw bale construction: load-bearing and post-and-beam.
Load Bearing
This is when the straw itself carries the roof load. This completely eliminates the need for wood, but it's not a system that is used often today. The lack of strong structural support limits the number and width of window and door openings. Since most eco-friendly homes are being built to incorporate passive solar strategies (which require large expanses of glass), load-bearing straw bale construction isn't ideal.
Post-and-beam Structure with Straw as an Infill Material
This method is far more common. The straw is not relied upon for structural purposes, rather it is packed into a post-and-beam frame. The straw acts as a thermal skin, which provides insulation values ranging from R-25 to R-50. Post-and-beam structure straw bale can work in most climates and has been built everywhere from Alaska to the desert Southwest to the East Coast.
When you build a straw bale house, you finish it with natural plasters (no, you don't have walls with straw sticking out all over the place) that make it look fairly normal, though some say "straw bale walls create a comforting, soft enclosure of space that is more organic in nature than formed systems."
US Housing Woes - What Lies Ahead ?
Till the end of 2005 investors in real estate had never had it so good. Bankers were only too happy to lend whatever a borrower needed. They did not go into the details like the person's credit history, whether he had a steady income or not and also if he had any other assets. Most of the time they were not even asking for a down payment. Banks were able to get away with it because they simply sold the loan to Fannie Mae or to buyers of mortgage backed securities. Buyers saw their investments appreciating by double digit figures annually. The resultant feel good factor made them go out and splurge on their credit cards.
But such good times don't last forever. With an overheating economy Bernanke was forced to raise interest rates steadily and given the fears of inflation he is likely to keep them there in the near future. The results of continuously high interest rates on the housing market have been devastating. Real Estate prices started declining since the end of 2005 and continue to decline. This decline in asset prices coupled with high interest rates and a slowing economy has hit the sub-prime market real hard. Lenders have suddenly woken up to the fact that up to 25% of the loans given by them are at risk of defaultl.What is worse is that there are no prospects of recovery in the near future.
Although the US Treasury Secretary has come out and said that sub-prime mortgages do not pose any threat to the overall economy, most investors are not so sure. Some have gone so far as to predict another depression. Although a global meltdown is not likely the risks are growing. All it needs is perhaps a couple of large hedge funds to go under and the world financial system could go into a tailspin.
With October, which is historically the worst month for the US markets, not far away every body will do well to keep his fingers crossed.
But such good times don't last forever. With an overheating economy Bernanke was forced to raise interest rates steadily and given the fears of inflation he is likely to keep them there in the near future. The results of continuously high interest rates on the housing market have been devastating. Real Estate prices started declining since the end of 2005 and continue to decline. This decline in asset prices coupled with high interest rates and a slowing economy has hit the sub-prime market real hard. Lenders have suddenly woken up to the fact that up to 25% of the loans given by them are at risk of defaultl.What is worse is that there are no prospects of recovery in the near future.
Although the US Treasury Secretary has come out and said that sub-prime mortgages do not pose any threat to the overall economy, most investors are not so sure. Some have gone so far as to predict another depression. Although a global meltdown is not likely the risks are growing. All it needs is perhaps a couple of large hedge funds to go under and the world financial system could go into a tailspin.
With October, which is historically the worst month for the US markets, not far away every body will do well to keep his fingers crossed.
Top 7 Advantages of New Construction Over Resale Homes
Once you start house hunting there is no doubt one of your first stops will be at a new homes website or community to see what they have to offer in the area you would like to live in. In fact, new homes have stepped up to win the hearts and minds of homebuyers for the better part of the past decade where we’ve seen an unprecedented explosion in new home construction and buying. What was once considered a luxury reserved for the rich and famous, new construction has opened the door to all price ranges and styles including luxury high-rise condominiums, townhouses, active adult communities and single-family homes.
There are a tremendous number of benefits to owning a new home including the ability to customize the home to your liking, meeting all the new neighbors as they move in and substantial savings in utility costs with new homes now being built to a higher, more energy efficient and green standard.
1. It’s your house. No, REALLY your house. – When you buy a resale home you are purchasing a home that someone else crafted to suit his or her lifestyle. Sometimes it’s just perfect and exactly what you are looking for but more often than not there are a few “Why did they do that?” issues with a home that you will have to renovate or remove when you move in to fit your lifestyle. When you build a new home you will be able to choose exactly what you want and where you want it so you can move in and not have to touch a thing.
2. Everyone else is new too! – Resale communities are great because you can see the neighborhood, how people care for their homes and everything is already established but those same benefits can prove to be cons when you are the only new neighbor on the block. Moving into a new home grants you the privilege of meeting the neighbors when they are also looking to meet new people and settle into the community. There won’t be any pre-established social circles to work your way into and you will be discovering new things about your neighborhood at the same time everyone else does.
3. Newer homes are more attractive when you resell… - Life happens. You might have to relocate or you make a lifestyle change a couple short years after you move in. The good news is that newer homes are more attractive to prospective homebuyers because it’s their opportunity to buy a newer home without the price premium associated with new construction. Better yet, you’ve already purchased all the appliances and upgrades for the home and many parts of the home are still under warranty making the home a great inclusive value. This will compare favorably to older resale homes that may require renovation or updating to make it livable for the modern homebuyer.
4. Location, Location, Location! YOU choose! – When you shop for resale homes the homes you find are obviously fixed to their current location. How many times have you seen a great resale that would be absolutely perfect if it were a little closer to the community clubhouse or offered a larger back yard for the kids to play? New homebuilders typically offer a range of model homes to choose from and you can usually place that model on a lot of your choice. Now you can have the home of your dreams in the cul-de-sac you’ve always dreamed of!
5. In the current market new homes may be a better deal than resale homes. – That’s right, the market shift has turned the tables. Now buyers have the market in the palm of their hands and can get some really outstanding deals on homes but you have to know where to look. Resale home owners may be willing to deal but in the past thirty days I have been able to successfully negotiate $69,117 off the asking price of a new home for a client and then shortly after located a home for another client and negotiated $91,000 off the asking price and we are still in negotiations to get even more from the builder. By the way, these home prices included upgrades! I have never met homeowners who were willing to accept a substantial reduction on the price of their home to the tune of more than $60,000. As a matter of fact, many homeowners have overpriced their homes on the market because they owe more than the home is worth and they cannot afford to go lower in price.
Buying Tip: To score a new home deal you can’t walk in and offer builders $400,000 under what they are asking for the home. Fantastic deals can be found however if you find the right buyer’s agent who specializes in new homes because their experience, relationships with builders and negotiating ability will help you save thousands of dollars.
6. That brown carpet and tiny kitchen? Soooooo 1970s! – Kitchen big enough for one? Small closets, shower only bathrooms and carpet everywhere? Not for today’s homebuyer! The modern lifestyle is drastically different from what it was even ten years ago and resale homes often lack the oomph and space to satisfy. Today’s homebuyer wants a bright, open kitchen with breakfast bar and high-end appliances. We now do most of our living in the kitchen! Soaking tubs in the master suite and walk-in closets are now considered standard staples of the modern home. New homes often feature these amenities as a part of their standard offering and are even starting to prepare homes for the future including the addition of whole house networking and walk-out basements that can be finished as future living space.
7. New homes save money with efficiency and green building techniques. – Many new homes are taking advantage of the Energy Star standard which sets forth a number of requirements that products like windows and doors must adhere to in order to achieve an Energy Star rating. In addition to Energy Star many builders are now offering green building and living options like the installation of solar panels on the roof of a home to harness the sun’s energy and convert it to electricity. If you install enough solar panels you may just have the electric company paying you for the electricity you are producing! These features are often very costly to retrofit a resale home with if it wasn’t initially built to these standards.
The next time you start searching for homes be sure to consider all of your options including new construction. When buying new construction you should take into account the fact that most new homes take approximately four to six months to build. You will also devote more of your personal time to building the home as you will need to choose home upgrades and work with your agent through the inspection and financing processes.
Happy hunting!
Miami Real Estate And The Effect Of Hollywood On Sales
Miami is a major city in the state of Florida, which covers 55.27 square miles, and is the seat of Miami-Dade County. This urban enclave is the largest city within the South Florida metropolitan area and the largest metropolitan area in the Southeastern United States with a population of 5.4 million. Miami and its surrounding cities make up the fifth largest urban area in the United States.
The importance of Miami as an international financial and cultural, and real estate giant has elevated Miami to the status of world city. Miami's cultural and linguistic ties to North, South, and Central America, as well as the Caribbean is well-entrenched, and this city is often times referred to as "The Gateway of the Americas." Florida's large Spanish-speaking population and strong economic ties to Latin America also make Miami and the surrounding region an important center of the Hispanic world.
Miami also has enshrined itself among TV and movie buffs, and on a large number of occasions has the city been the set of a wide array of blockbuster television and movie projects. Emmy-award winning drama shows such as CSI: Miami, Nip/Tuck and Dexter all take place in Miami.
The NBC show Good Morning, Miami was fictionally based around the workings of a Miami television station, as well as popular sitcoms The Golden Girls and "Empty Nest," were also based in outlying Miami Beach. In the 1980s however, one TV show, Miami Vice succeeded in revitalizing the city's image as the 'place to be' for the new generation.
The remake of the new Miami Vice film takes a colder, darker look at the city's underworld, although laid out in a cool and exciting manner. Video games like Grand Theft Auto: Vice City and Grand Theft Auto: Vice City Stories also take place in Vice City, which is a fictional city inspired by Miami, and includes some of the area’s architecture and geography.
Miami is also a mecca for Latin television and film production, owing to it's proximity to the Caribbean and Latin America. As a result, many Spanish-language programs are filmed in the many television production studios, predominantly in Hialeah and Doral. These include game and variety shows, news programs, and telenovelas, as well as daytime talk shows Cristina Saralegui and El Gordo y la Flaca. All these add to the glitzy, seductive and sweetly sinister look most folks would crave of Miami.
Throughout the past decade, Miami has emerged as one of the most vibrant real estate markets in North America. People from overseas have descended into the city and have made an unprecedented revitalization of this long neglected southern jewel. The new dynamism has carried across Biscayne Bay to Miami's worn-out downtown area, up Biscayne Boulevard, and throughout its historic east side neighborhoods.
Currently, along Miami's bay front corridor, there are around an estimated 17,000 new luxury high-rise and loft style condominiums being built or awaiting permits. That upswing has been overflowing into the adjacent Miami neighborhoods. The past decade has seen the Miami cityscape changing dramatically.
A large part of these changes have been made just over the past three years, as the city's skyline is now crowded with a mix of high rises and construction cranes. The city's real estate market has been extremely dynamic, the main Miami preconstruction condos development areas are, Downtown, Brickell, Edgewater, the Miami River as well as Coral Gables. A large number of older Miami buildings are disappearing to give way to luxury hi-rise buildings.
The city's commercial real estate market has also been very strong; it is estimated that over 4 million square feet of brand-new retail space will enter the market in the future. A flurry of real estate investments come from Latin America, the north east of the United States and also from Europe, where European investors are banking on the emerging Euro to acquire large pieces of the Miami real estate market.
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