Winnipeg Condo Market 2013
So far 2013 has shown a strong showing with any/all good resale listings selling quickly. In fact there has been a real shortage of good product, particularly lofts in warehouse conversions have all but been missing in action.
Part of that can be attributed to people staying longer which is a very healthy change. The Ashdown Warehouse for example now boasts 6 families, people staying and raising their families.
That's the good news. Now for some sobering thoughts on the new projects. 100 Princess had nothing but problems selling units. I sold the first portion but only to investors. Once the building was complete and the developer attempted to sell at over $300.00 per square things did not go well.
H20 at 500 Waterfront Drive had a different route but ended up with same solution which after attempting sales at aggressive selling points they decided to rent all units.
Other projects, including those proposed at several other addresses, stopped even before they began marketing due to costs of conversion of the warehouse.
What's to make of this? That the new projects, including the large collection owned by Streetside, selling at 2013 prices, without any parking solutions, are really not connecting with the public.
There is a large group of condo buyers out there, mostly young, some empty Nestor's, very interested in downtown, interested in loft living, but given more value, more selection and parking solutions in areas such as the Osborne Village are not buying quickly.
133 Market has sold all units but 2, 120 James has only sold 2, hence Streetside has postponed several extra floors to buildings they planned to develop. They continue to market 120 James, expect to develop several more buildings but have scaled back their plans.
When marketing of Waterfront Drive started the price points at around $260.00 per square foot most buyers thought those to be unrealistic, and it ended up taking virtually years longer than expected. They all eventually sold, pricing at points around $300.00 per square foot.
What to expect going forward? I think there will be more projects, I expect a steady supply of new projects in the downtown, but, as is the case often in Winnipeg, the pace will be modest. As long as you can purchase a nice condo, or single family home, for $200-$250.00 a square foot, then selling downtown condos for over $300.00 a foot without any parking will be tough sledding.