Portland State University’s Center for Real Estate’s third Quarter Report can be viewed here. Since we’re just talking about the Portland condo market in this post, this is the applicable chapter by Greg LeBlanc.
No real surprise that it isn’t pretty. We’ve already talked about the Wyatt being converted to apartments and that the entire project has been sold by Bob Ball to an unnamed buyer. There are massive amounts of new units coming online in the next year and the market has slowed both in number of units sold and the average selling price per square foot. It will be interesting to see if the Wyatt gets converted to condos. There has often been some backlash on apartment to condo conversion that was originally built and planned as apartments. These were designed and built as condos and became apartments. Will there be a “conversion stigma?” The market (especially current owners) should also breathe a collective sigh of relief that there are 244 few condos in the market. Will other developments head the same direction? Are there enough renters out there to fill the void left by buyers? It is impressive that the average sales price in the Pearl District is $427/SQFT.