Found on Ziprealty.com: 633 NW 8th St, Ballard/Loyal Heights (98117)
A developer from California has purchased a 1978 six unit apartment complex and began converting to condos in June. They’ve been working on a unit by unit basis and appear to be close to finishing unit #201, listed 3 days ago.
There’s no image posted on ziprealty, but I’ve posted a satellite shot here. Note the green barn-like pattern on the North face of the structure.
From Ziprealty.com:
Newbury north in greenwood is nearly complete & now selling! Beautifully appointed 2 bed 1.75 bath unit in a cozy 6 unit bldg in a great location near hip 85th & greenwood ave intersection. Stainless appliances, granite countertops, hardwood floors, fireplace, balcony, and designer paint. 10 minute commute to seattle via i-5, or take aurora ave or 15th ave. Walking distance to greenlake; a bike ride away from ballard and u.W. Don’t miss out-quality at this price doesn’t come along very often!
Records indicate the property was purchased on 06/23/06 for $800,000. Five of the Six units are 2 bed/1.75bt with 950 sq ft, while one unit is a 1/1 and 650 sq ft.
I drove by this unit a few weeks ago and noticed that they were installing cheap vinyl siding over the original 3-story rectangular 1978 concrete stucco. Property Shark lists the property in “average” condition and judging by what I saw, it requires a total overhaul. In addition, the building is 2 doors down from a self car wash and the overall area looks to be in general disrepair.
Let’s be generous and say it’ll cost $65,000 per unit, not including holding costs or realtor commissions. That would bring the cost of the project to about $1,190,000.
If the developer is able to sell all 5 units at $275,500, and the 1 bedroom unit for $229,000, that would be $1,606,500 – or a profit of $416,500. Not too shabby.
Comparable units for sale in the area:
8354 11TH Ave NW #2, 98117
$ 284,950 (reduced 10/19/06)
939 SqFt, 2bd/1bt
59 Days on Market
MLS# 26156431
8721 2ND Ave NW, 98117
$ 289,900 (reduced 10/19 – Bank Owned)
1370 SqFt, 3bd/2bt
37 Days on Market
MLS# 26169242
4102 Stone Way N, 98117
$ 229,500 (has been relisted)
Condo Conversion 1bd/1bt
Sq Footage not Shown
MLS# 26177048
On the surface it would appear that the pricing is considerably less (under $300,000) than other condos in the area. However, we’re talking a conversion here and as the market tightens one could easily assume that buyers are becoming increasingly picky in their decisions. Still, I think he’s got a good shot at turning a profit since these units are priced near the KC Median of $259,700. (down slightly from a high of $269,500 in August)
Questions for readers:
How much do you think the actual cost of a full renovation of this unit would be? Is NW 85th/8th Ave in Greenwood a desirable area? Are people willing to purchase a quickly thrown together conversion at these prices? Where can I find comparable units that have already sold in this area? (I’ll add them to this post)
It’s hip, cozy and has granite countertops! What more could anyone want?