Telus Garden

[rofina]

I have to admit that this is one of 3 condo projects I have ever gotten excited about in Vancouver. Previous two being Shangri-La and Woodwards developments.

Prime location, incredible amenities planned, new office spaces all wrapped up in a visually stimulating and ecologically sustainable package.

Any thoughts on this development here?

[curious]

I also like this project, but would not buy in this location to live in - the area is noisy and polluted.
Someone would probably be interested to buy for investment, but let's wait and see prices.
My concern is that units might be very pricey and with high maintenance fees.

[Fabien]

I also like this project, but would not buy in this location to live in - the area is noisy and polluted.

??? Its in the heart of downtown, yes..but the area is noisy and polluted...? I fear the answer to this one...

Anyway fwiw back to rofinas original question:

Like the location; like the developer / and design of whole block. Same as W and Shangri La

I too concerned about pricing. Will have to see pricing and unit size layout, maintenance fees etc. Keeping a watching brief on this one.

[curious]

??? Its in the heart of downtown, yes..but the area is noisy and polluted...?

If I were looking for a place to live, I would better buy in Yaletown or North False Creek - there is a sense of neighbourhood, it is more clean, safe and quiet location.

[OneSource]

What is the average $ per sqft in the area? $600?

I heard the L'hermitage (which was just across the street) maint fees was somewhere in the $500?

[curious]

Are you kidding? Prices in the area are definitely higher than $600/sq.ft.

L'Hermitage is around $700/sq.ft. Atelier is approximately the same. Raffles also is 700/sq.ft. and up.
TV Towers are cheaper, can get a $630/sq.ft. for a unit without a parking stall.

I guess, Telus Garden will go higher than $700/sq.ft.

[DAB]

I have to admit that this is one of 3 condo projects I have ever gotten excited about in Vancouver. Previous two being Shangri-La and Woodwards developments.

Prime location, incredible amenities planned, new office spaces all wrapped up in a visually stimulating and ecologically sustainable package.

Any thoughts on this development here?

Prime location. Love the fact that the residential building is on Robson. Lots of new features with this building and will definitely improve the area. Not your typical condo building. If the price is right, would consider buying in as an investment.

[DAB]

I also like this project, but would not buy in this location to live in - the area is noisy and polluted.
.

This is one of the more quieter areas of downtown compared to Yaletown, or buildings along Richards & Seymour.

[DAB]

What is the average $ per sqft in the area? $600?

I heard the L'hermitage (which was just across the street) maint fees was somewhere in the $500?

$600 was long time ago. We are looking closer to $700+ for newer buildings around the neigbhourhood. Maybe TV towers you can get them at around $650 but there is a reason for that.

L'hermitage residences are attached to the hotel and offer hotel services along with A/C hence the high strata. more of an upscale building in the neighbourhood.

[DAB]

Are you kidding? Prices in the area are definitely higher than $600/sq.ft.

L'Hermitage is around $700/sq.ft. Atelier is approximately the same. Raffles also is 700/sq.ft. and up.
TV Towers are cheaper, can get a $630/sq.ft. for a unit without a parking stall.

I guess, Telus Garden will go higher than $700/sq.ft.

I don't know why Raffles can justify such high square footage, they lack the amenities that other buildings have.

As for TV towers, most units have very poor layouts. I would try to stay away from any less than 600 sq fee in tv towers. some of the triangular shaped floor plans are horrible. but the amenities are probably the BEST around the area. They've got sauna, steam room, hot tub, yoga room, huge gym, theatre and games room.

The newest building around the area is Capitol. They are EXPENSIVE! Most of the units don't even come with parking and are asking around $800/sq ft!

[Taipan]

I think you should all buy half a dozen each. Wife buy 3 I buy 3. You know the MO

You cant lose. Real estate only ever goes up.

(its like a cancer now - so ingrained into your pschye)

There are a whole bunch of you who deserve to be well and truly done over. Im sorry but its the only way many of you will learn. Learn the hard way.

So what is it - pre sales hype being wound up. Completion when? 3 years

But please report back and tell me what the developer wants on contract exchange.

[curious]

If the price is right, would consider buying in as an investment.

What price would you consider as "right"?

[Taipan]

Perth Western Australia has been the major beneficiary of the global mining boom. Far more then Vancouver.

Now as a few of you get all horny and excited about this new development wouldnt it have been nice to have somebody say "you really should just sit back, watch and wait. Things arent as good as they say."

Meanwhile the spruikers continue to get in your ear, in the media, on the internet, on forums like this. Of course only spruikers posting on this forum would be upset by my comments here, wouldnt they!

So a cautionary tail. Why buy retail, when you could actually buy below cost? And believe me - Western Australia with its massive mineral resources makes BC look positively poor.

Not Fooled By Property Spruikers Hype



Prime Apartment complex right in the centre of Perth CBD. Opposite the Perth Town Hall with views across the Town Hall & Supreme Court Gardens to the Swan River that can never be built out. So the location just does not get any better than this.


Luxury Apartment with quality fittings, ample sizes & many with 2 car bays included. In 2008 these apartments were flogged off the plans to overseas "Investors" {Speculators} when the AU dollar was low. If you were a "Overseas Speculator" & you bought one of these Apts in Jan 2009 for $1million AU you would only have to actually pay $600K in US Dollars & a $60K US deposit.


Fast Forward 3 years & its time to settle & make final payment. Guess what the Au dollar has gone through the roof & that US$600K apart you were going to buy in the heart of Perth is now going to cost you US$1,050,000 or 75% more.


In 2008 these speculators might have thought it was pretty good value at US$600K but @ US$1.05 mil in 2011 when the time had come to settle on completion of the project it was quite simply not worth it. Besides many may have had $600K US to invest or the ability to borrow that much, but most could not get access to the $1 million plus they would need to go through with the deal even if they wanted to.


Now these overseas speculators paying with US Dollars have only put a US$60,000 deposit, so thats all they really have at stake, so they have simply walked away & forfeited their deposits rather than pay 75% more for a apartment that since also fallen in value from when they first signed up in 2008. Not really a hard choice for them to make pay US$1 mil for a Apartment in 2011, that will be worth US$500K or less in 2012 or forfeit your $60K deposit & walk away. It is a no brainer!


But all is not lost for some overseas speculators. Had they paid cash up front say US$600K in 2008 for their AU$1 million Dollar Apartments & these apartments have now dropped to say AU$650K they can still sell at this price & with the higher rate of exchange still walk away with US$600K. But the "MUM & DAD" Aussie property speculator buying & selling in AU Dollars don't get this "Get Out Of Jail" one off escape.


(Remember that this applies also to the tens of thousands of overseas investors who bought property right around Australia in the last few years if AU property implodes they can sell at 40% or 50% discounts & still make money but Aussie cannot they are trapped with the losses)


Anyway back to EQUUS Apartments


Now 2 months have passed since the receivers were called in & they have now started advertising these apartments in a "Low Key" manner with no reference to it being a disposal or fire sale.



A friend of mine spotted this advert in today's West Australian & rang their number to find out a bit more info on prices. He was given the usual spiel that there was huge interest with many sales & offers streaming through the door so better hurry or miss out etc etc etc ...{Yeah right}


See examples below of some of the before & after prices provided to him on the phone. Discounts on offer typically 30% -50% off original off the plan prices that people had signed up to just 3 years earlier.


Apartments that were $715K (US$429K) now $599K
( Overseas owners can Still dump at this price & make a profit but the Aussie buyer is trapped )


Levels 18 – 25 2 bedroom + study, 2 bathroom 106m2 living, 72m2 balcony, 11m2 storage and 2 car bays
Panoramic views to the North and over the Perth Skyline
Were $1.6 million (US$960K) now from $950K ( OS owners can sell & Still dump & break even)





Apartment on floors #20 & #25 that were $2,200,000 now slashed to $1,175,000 (That's a $1m discount)


Apartments on other floors that were sold or selling for $1.2 million to $2.0 mill are now being offered at prices from $750K to $1.3 mil.


Now remember the receivers are "Duty Bound" to try & get the best price they can for the banks etc that have been left holding this steaming pile of debt, so they are going to market with these prices to test the water & may find no buyer or little interest, they would then adjust prices down further to meet the market.

Perth is awash with failed "Luxury" apartments that have not sold (Oceanique 40% discounts, One Brighton 35% discounts, Mirvac Leighton Beach 30% discounts, Multiplex Living Leighton 40%, North Bank 45% , etc etc etc)

But if you have middle level or priced apartments in the Perth CBD either completed recently or about to be completed shortly I would not be feeling too Smug, these EQUUS Apartments that were priced at the luxury end of the price scale have now dropped in price to the middle level scale causing apartments at this level to look overpriced.

My banking contacts have reported 30 apartments in the middle price range (Under $500K) in the Perth CBD that have come up for settlement in January that have failed to meet Bank Valuations by 25% !!! In other words an apartment which sold in 2010 off the plans for $500K that may have been approved for finance up to $400K is now lucky to get bank approval for $300K in 2012 when the construction has been completed & settlement needs to go through.

A big gap to be made up by potential buyers & that's just the finance, the property's overall value has actually dropped by 25% or $100,000 so many are simply throwing their hands up in the air & looking for clauses or excuses to walk away from their obligations. Few will get away with the "Bank Won't Give Finance" excuse because they were not astute enough to put a "Subject to Bank Valuation at Settlement" clause in the contract they signed up to a few years earlier, why would they? "Property Only ever Goes Up" so the need for this was deemed unnecessary!!

If your about to sign up for a "Off the plan" contract in today's property market test your developers (or better still their Bankers) confidence in the value & stability of their project & insist on this safety clause being a part of your new contract. "Subject to Bank Valuation at Settlement"

But I ask this question again. What is happening in [s]Perth[/s]Vancouver we are supposed to be in a "Mining Boom" & these apartments were all being built on "SPEC" that hordes of "Rich" "Cashed Up" [s]miners[/s] sic read here chinese HAM would descend in droves snapping up all these apartments at any price?

Just think if this is happening in the so called "Boom State" what hope for the rest of Australia.

[DAB]

If the price is right, would consider buying in as an investment.

What price would you consider as "right"?

Any prices that are the same or lower as the comparables for newer buildings around the area. I do not believe in paying a premium in a building that has not been built unless they have certain features that really stand out (ie views, finishings)

[OneSource]

So under $700/sqft is a good buy?