Sales numbers from the last few years paint the picture of a down market in the Gold Coast – the upscale lakefront pocket that has long been known for ultra high-end condos and co-ops. But another evident trend that sales reveal is a wide gap between new construction and existing housing stock, particularly in dated inventory.
While new construction in the Gold Coast now can hit $1,200 to $1,300 per square foot, a lot of the inventory in ‘last generation’ buildings will be priced at half that level, and older condos will sell for even less.
However, a variety of options and slow sales can present an opportunity for buyers who are willing to put in some sweat equity, says Rick Sobin, managing broker and VP of Brokerage Services for @properties.
“A lot of people are seeing great opportunity in large units with good pricing, who are [then] able to gut a unit down to the studs, start over again, and when it’s finished, end up with a very well appointed unit at a price point with there still being an opportunity for a profit.”
And for the new construction side? Expect to pay top dollar. The cost to build in this exclusive neighborhood is some of the highest in the region, says @properties co-founder Thad Wong.
“The land value in the Gold Coast is the highest in the city,” Wong says. “You’re not able to build anything in the Gold Coast for under $1,000 per square foot.”
What does all of this mean for the Gold Coast market in 2020? Tune in and listen as Rick Sobin, Thad Wong, and Mike Golden offer their insight and predictions for the coming years.