[Gullfoss]

This building is now for sale

Interesting - any idea of the ask price?

I'd back of envelope valuation at around 20,000 sf of unfinished residential at $450 psf and $1m x 6 retail bays. So that's like $15m +/- 20%?

Disclaimer - I know nothing about valuing real estate

 

[Nawads]

Interesting - any idea of the ask price?

I'd back of envelope valuation at around 20,000 sf of unfinished residential at $450 psf and $1m x 6 retail bays. So that's like $15m +/- 20%?

Disclaimer - I know nothing about valuing real estate

Look to be asking 22.5 million

 

[Atticus]

This building is now for sale

I hope they can at least finish the building while trying to sell, but at least it’s at a point where the building is finished on the outside and the sidewalk is back to normal.

 

[JonnyCanuck]

I hope they can at least finish the building while trying to sell, but at least it’s at a point where the building is finished on the outside and the sidewalk is back to normal.

There is a lot of interior work left to do. It looks to me like Indevelopments have run out of cash and perhaps there are suppliers/trades that have not been paid.

 

[artvandelay]

Interesting - any idea of the ask price?

I'd back of envelope valuation at around 20,000 sf of unfinished residential at $450 psf and $1m x 6 retail bays. So that's like $15m +/- 20%?

Disclaimer - I know nothing about valuing real estate

Sounds like you know more about it than most people!

 

[Surrealplaces]

No change except the construction fencing is gone which is nice.

 

[badc0ffee]

Looks like there is another thread for this development, not updated in years: https://calgary.skyrisecities.com/forum/threads/calgary-the-block-on-4th-m-4s-indevelopments.26495/

 

[Tarsus]

Looks like there is another thread for this development, not updated in years: https://calgary.skyrisecities.com/forum/threads/calgary-the-block-on-4th-m-4s-indevelopments.26495/

There was originally a different design by a different developer an architect, so that’s probably why there was a separate thread forward at the time. Same name, but a different project altogether.

 

[darwink]

"The building is being offered for sale on an “as is” basis, with the buyer to take over and complete construction. Alternatively, the Seller would consider completing construction for a buyer with a forward sale contract in place."
Sale Link

 

[MichaelS]

Well, 80% complete like that is better than the pit we had for a decade to the south.

 

[artvandelay]

Haha, did they Photoshop out the yellow panels?

 

[Surrealplaces]

Haha, did they Photoshop out the yellow panels?

I was thinking the sellers could at least choose a better photo. lol.

 

[Nawads]

View attachment 513929
"The building is being offered for sale on an “as is” basis, with the buyer to take over and complete construction. Alternatively, the Seller would consider completing construction for a buyer with a forward sale contract in place."
Sale Link

Big reduction in price, and a name change. Must be having a hard time selling it.

 

[haltcatchfire]

Haha, did they Photoshop out the yellow panels?

They also photoshopped in some snow!

 

[darwink]

Big reduction in price, and a name change. Must be having a hard time selling it.

Interest rates. If it was finished the price would be a cap rate of around 6%.

The old finished price of $22.5 had a cap rate of 4.8%.

Residential seems to be trading hands below financing prices right now, with people assuming further appreciation/near term interest rates cuts, but I would expect instead expect it to sell for a 7% cap, especially given the completion risk. So $12 million if completion is another $3 million?

Really sucks for the financiers and the developer. In a 4% cap environment, they could expect to flip the completed building for $26 million.