Morning sunshine streams through the beautifully maintained, two-bedroom two-bathroom + den, in the highly sought-after concierge-staffed Wilkes Passage condo development. Unit 507 at Wilkes Passage boasts approximately 1,675 square feet of living space all on one floor and is listed at $1,175,000.

This modern unit contains many custom upgrades, which include wall lighting, hardwood floors, California closets, built-in book cases, hardwood entertainment wall unit and ceiling speakers, and cushioned window seats with storage.

Unit 507 at Wilkes Passage is accompanied by a deeded, heated, tandem garage parking space that can accommodate two (2) cars, and is ideally situated close to elevators for maximum convenience. Residents also enjoy great city views from the common roof deck.

Open Houses in Boston Today

Unit 507 at Wilkes Passage, located at 1313 Washington Street in Boston’s South End, will be held open on March 7, 2010 from 1:00 PM to 3:00 PM. Private showings are also available by appointment. For additional photos, a visual tour, printable floor plans and more, please visit www.WilkesPassageUnit507.com.

22 Upton Street Unit 4, located in the historic Eight Streets District of the South End, is a wonderful, unique, and beautifully maintained 2-story penthouse that boasts high ceilings and maple floors throughout. Large eat-in kitchen has adjacent private deck and full bath. Generous living room with gas fireplace and custom built-ins offers a flexible floor plan. Two large bedrooms have ensuite baths, and the third bedroom is ideal for a home office or study. Wide staircase leads to glorious private roof deck. Laundry, abundant closets, 2 skylights, central A/C, ceiling fans, and a parking space provide added value and convenience.

The penthouse duplex boasts 1,841 square feet, is being listed at $1,175,000 ($638 per square foot), and comes with a low HOA fee of $200.

Open Houses in Boston Today

22 Upton Street Unit 4 will be held open on Sunday March 7, 2010 from 1:00 PM to 3:00 PM. Private showings available by appointment. For additional photos, a visual tour, printable floor plans and more, please visit www.22UptonUnit4.com.

With talk of the Nouvelle at Natick condo auction scheduled for October 4, 2009, the 1850 lofts auction that took place in late June 2009 almost seems like it is in the distant past (see Buyers Prepare for 1850 Condo Auction). It was June 28, 2009 when the 1850, a South End loft-style condo development, went to auction selling out the remaining 35 units in the building, and it was in August that units in the building actually closed.

On August 7, 2009, unit 511, a 780 square foot loft closed at a purchase price of $325,000.  Unit 511 was one of the 35 units sold at the 1850 auction, with a price per square foot of $417, well below the average price per square foot sales price of $582 in the South End during 2009.  Fast forward just over one month, and unit 511 is now listed as a resale in the 1850, and represents the first flip in the building, pre or post auction.

Coupled with the presence of a deeded onsite parking space, sold at a flat $35,000 each during the auction, unit 511 represents a quick flip of an auction property without the large profit expectations some flippers had following the last downtown Boston condo auction at the Broadluxe (see Flip That Condo at Broadluxe).

On a typical weekend in downtown Boston, Buyers have, on average, anywhere from 200 to 500 open houses to choose from.  With the Labor Day holiday weekend in full swing, Bostonians have a scarce 18 open houses to visit this weekend.

Half of the 18 open houses taking place this weekend are in the South End., most notably at 10 Dwight Street, which is a recently renovated three-unit development in the heart of the South End.  Units are priced from $369,000 for a 474 square foot one-bedroom to $680,000 for a 1,050 square foot two-bedroom with outdoor patio space.  Units 1 and 2 feature the same fit and finishes, while unit 3 (the penthouse two-bedroom) offers a unique look with sloped ceilings and dormer windows and is priced at $665,000.

10 Dwight Street in the South End will be held open on Sunday, September 6, 2009 from 1:00 PM to 2:00 PM.

Laconia Lofts is one of the South End’s most sought after loft-style condo developments in the SOWA (south of Washington) area. Constructed in 2000, the lofts were originally unfinished when sold, and each has taken on a unique flair, comprising a dazzling set of unique spaces.

Unit 223 is a 2,116 square foot 3 bedroom 3 bathroom corner unit that boasts custom architecture, numerous upgrades, huge windows, and a single deeded garage parking space. The unit is priced at $1,199,000 ($567 per square foot), and has monthly HOA condo fees of $706.

The 99-unit development is capped by a common roof deck with stunning city views. An open house will take place at 1180-1200 Washington Street Unit 223 on Sunday, August 23, 2009 from 11:30 AM to 1:00 PM.

Just over a year ago, Buyers and Investors had the opportunity to participate in the last downtown Boston condo auction at the Broadluxe (see Broadluxe Condo Auction Results).  On Sunday, June 28th, those interested in purchasing downtown Boston real estate will again have a chance to do so at auction prices when the 1850, a 60-unit loft-style condo development in the South End, goes to auction.

High Level Auction Information

• What: 35 condos at the 1850 Lofts
  
• Minimum Bids: $175,000 for some units
• Auction Date: Sunday, June 28, 2009 with check in at noon
• Auction Location: Westin Boston Waterfront (map)
• Prerequisites: Auction Registration Form & $5,000 cash equivalent

Registration is required to attend the auction and to become eligible to bid. Interested bidders are encouraged to tour the 1850 prior to the auction (tours are available daily starting at 1pm at 90 Wareham Street in the South End), and during the visit complete and return the Auction Registration Form, which will qualify you to bid.  On auction day, all approved registered bidders must present a separate Cashier’s Check, Traveler’s Check, Certified Check or Money Order (“Cash Equivalent”) in the amount of $5,000 (Cash Equivalents should be made payable to yourself). Each bidder is also required to bring a blank personal check, which will be used to bring your total down payment to 5% of the winning bid price.

The auction has the potential to provide Buyers and Investors with a significant discount on price per square foot and average selling price in the South End.  Over the past 3 and 6 months respectively, the South End has seen modest price improvements across average and median prices, as well as price per square foot at the neighborhood level – see information below.

Last 3 Months – South End
Number of Condos Sold: 158
Average Selling Price: $594,727
Median Selling Price: $513,750
Average Price per Square Foot: $575
Average Days on Market: 94

Last 6 Months – South End
Number of Condos Sold: 225
Average Selling Price: $584,875
Median Selling Price: $510,000
Average Price per Square Foot: $568
Average Days on Market:  100

Bear in mind that the 1850 is located in one of the most southern points in the South End, and therefore, this fact and others may need to be accounted for when trying to draw price comparisons.  Contact your Buyer’s Agent for more information (note that a Buyer’s Agent must be present at the time of registration and first visit to the Auction Information Center in order to work with a Buyer).

Bidders should be warned that a condo auction bypasses many of the contingencies that a Buyer is afforded during a “typical” real estate transaction.  It should be noted that proper due diligence, including inspection of the property as well as other items standard in a transaction (including consultation with a real estate attorney) should still be conducted, however, these items need to be conducted ahead of the auction and by the Bidder.  Bear in mind that a Purchase and Sale Agreement, typically signed after a fair amount of du diligence is done, will be signed on auction day by winning Bidders.

Following the last closing at the Modern, a 25-unit condo development that opened in 2007, that took place in August 2008, Buyer are only now seeing the first resale condo available for sale in the building.  Unit 203, a 1,000 square foot one-bedroom one-bathroom unit was listed for sale in late January 2009, and recently underwent a $10,000 price reduction, bringing its list price to $479,000 (approximately $479 per square foot).

The unit is well equipped, with some additional upgrades, including a Bosch washer / dryer, custom Hunter Douglas blinds, custom closet system, small private terrace, and one garage parking space.  The Seller is offering six months of condo fees as an incentive to purchase, which equates to a $1,455 credit at the closing table.

Perhaps the one negative aspect to the south-facing unit (see floorplan 147 KB PDF) is that it overlooks the adjacent gas station.  The building itself is elevator-served, has a large common roofdeck, and there are still plans on the table to do a second phase of the development sometime in the future.

After a South End Wilkes Passage condo sold for full asking price in early February, it was time to take a look at pricing at the development.  Wilkes Passage is a 158-unit high-end loft-style condo development in Boston’s South End.  Over the past several years, the building has seen a turnover rate of approximately 10% per year, and given the development’s size, there are almost always units on the market for sale.

According the Boston MLS, on February 2, 2009, unit 509, a 1,889 square foot two-bedroom two-bathroom unit sold for full (original) asking price of $1,050,000.  That’s approximately $556 a square foot, and is in line with the $563 per per square foot seen for the four units in the building that sold over the past 3 months.  However, a year on year comparison shows that average price per square foot at Wilkes Passage has gone down.

For the same three month period in 2007-2008, there were again four units that sold at Wilkes Passage, however, a year ago, the average price per square foot was approximately $636, a 13% decrease year on year for the South End condo development.  Two of the four units (in both years) were luxury $1 million+ units, and based on a recent article (see Downtown Boston Market Slows in Piecemeal), the luxury market has seen slowdowns in the past year versus appreciation seen in the under $1 million market.

There are currently three condos for sale at Wilkes Passage, priced from $429,000 (790 square foot one-bedroom) to $775,000 (1,459 square foot one-bedroom), with an average price per square foot of $514. Additionally, there are multiple deeded garage parking spaces for sale in Wilkes’ underground parking garage.

In addition to the 8 current for sale listings at the 2007 700 Harrison condo development, some units in the building have turned to rentals to fill vacancies. Rather than let the newly constructed condos remain empty through typically a slow season for sales, Mitchell Properties LLC has opted to allow prospective tenants to sign 9-12 month leases with the option to sign a “lease to purchase contract” to contribute some of their rent towards a future purchase. Even if renters decide to stick with a standard lease, it gives the developer the ability to have positive cash flow until they can try out the luxury condo market again next year.

The opportunity for renters in a lease to buy situation is compelling. With rents starting at $1,950 for a 1,081 square foot two-bedroom two-bathroom unit on the fourth floor, renters can live in luxury with floor to ceiling walls of glass, sweeping skyline views, open and contemporary kitchens, laundry in unit, as well as beautifully architect-designed baths, all for an affordable price.

To put this in perspective, the average rent for a two-bedroom unt in the South End is approximately $2,600, and will most likely not compare in size or finishes to what is being offered at 700 Harrison. For instance, a comparable rental unit at 216 West Springfield Street, which was recently rented for $2,500, had only one bathroom and 610 square feet of living space. A high-end contemporary option for South End renters, Church Park, which is located at 221 Massachusetts Avenue boasts between 954 and 1,275 square feet of living in their two-bedroom two-bathroom apartments for $2,950-$3,800 depending on the size and view.

The only downside is that at such an attractive price point and in such a great location, 700 Harrison condo rentals are moving fast. Since last week, four units were rented after being on the market for only three days. There are still two-bedroom units available for $2,200-$2,300 with immediate occupancy.

- Jay Alberino is the Founder & CEO of Eleven Park Realty, and has recently launched myCityApartment, a guide to houses and apartments for rent in Boston, Brookline, and Cambridge.

The Modern South End, a 25-unit condo development that opened in 2007 to residents, attempted to push the border of upscale South End living west of the Massachusetts Avenue border that currently separates the South End and Roxbury.  Developers attempted to fuse stylish (Dennis Duffy) design and contemporary living spaces, with quality finishes and amenities like a common roof deck and small parking garage at the 255 Northampton Street address. The outcome of the development’s success is perhaps different for different people, but it recently sold out, and developers are considering phase 2 of the project on the adjacent lot next door to the current site of the Modern.

The Modern gained solid sales velocity starting in September 2007, when 7 units (approximately 30% of the building) that went Under Agreement in the building’s preconstruction phase closed and residents moved in.  Through the winter months and early part of 2008, sales momentum slowed slightly, and the developer of the Modern partnered with Accelerated Marketing Partners, a spinoff of Boston-based The Collaborative Companies, to plan a condo auction to sell off the last 10 units on Sunday, May 18, 2008 at 1PM at the Colonnade Hotel in Boston’s Back Bay. The auction, however, was canceled several days before it was scheduled to take place – the developer commented that they received enough inquiries and early bid submittal interest (it was reported that 3 units went Under Agreement during this time), that they pulled plans to hold the actual auction event in an effort to save costs.  Instead, offers were solicited via a sealed bid process on the remaining units up through 7pm on Sunday May 18, 2008, at which time the developer reviewed all offers. Following this effort, the units that still remained for sale were repriced and eventually sold through a standard listing process by the same firm that represented the property before the auction happenings.  Some of the data points specific to the Modern sales effort are noted below.

• First closing was September 4, 2007
• Last closing was August 22, 2008
• Approximate average price per square foot was $466
• Sales value of $12 million +

At the top end of the price per square foot scale in the development ($670), the Skyhouse (unit 701) that sits atop the entire building boasting 1,341 square feet (the largest single unit) was the first unit to close at the Modern.  This is somewhat typical, that is, the premier unit in a development sells early – we’ve seen the same thing happen at places like Zero Marlborough and the Providence on Newbury to name several Back Bay examples.

Unit 503 was the last unit to close at the Modern on August 22, 2008, with an original list price of $699,000 and a final sales price of $575,000 – 1,330 square feet, equating to $432 per square foot. The largest single price drop (according to the Boston MLS) recorded during the building’s sales cycle was $168,000 for unit 601, a 1,040 square foot unit that was originally priced at $635,000, but sold for $467,000 (this was one of the final units to sell in the building).

Some residents of the Modern have been unhappy with the mix of units that ended up in the hands of renters, with the majority of the complaints surrounding noise from parties. However, the building was never touted as a rental development, and the significant majority of the units are owned by single individuals, rather than a contingent of developers and/or investors. According to the public record, there are only two multiple unit owners in the Modern – one owner has three separate units, while a different owner has two separate units.

An unfortunate site has been the graffiti that has marked the north side of the finished condo development.  Graffiti tags are splattered several feet from the front door entrance to the new condo development, and leave residents and neighbors frustrated, but not deterred from pushing forward with further development in this area west of Massachusetts Avenue.

Developers are in talks, and the banners are visible (see photo), regarding a second phase of the Modern.  The additional cost of adding underground parking to a development is significant, but the second phase of the Modern may be well served by having a full-size parking garage that can accommodate vehicles of all sizes (the small garage and system of car lifts in the current garage have deterred some Buyers from purchasing in the first phase of the Modern simply from a practicality standpoint).  While the existing development partially overlooks a rather busy gas station to the south, the proposed second phase of the development would not be burdened with this, and outdoor space that accompanies many units in the existing building would be more desirable in a new second phase.

In looking at the goals of the developers at the Modern South End, many of them were accomplished, and the overall project has pushed the boundaries of South End condo development west of Massachusetts Avenue, into Roxbury, and sets the tone for more bold and cutting edge design and development to enrich the city.