Downtown Rentals

[Grizzly46]

With all of the ongoing and forthcoming residential development in downtown, will the additional supply create aditional demand sufficient to raise condo rental values? In other words, if there are thousands of new apartments, won't the additional supply (unless met by demand) cause rental prices on existing condos to drop dramatically? Do you think that the demand will be there? How about the demand for purchasing existing condos in Downtown?

[downtownian]

1. New development should be complementary with existing housing stock. I think the benefits from having a more neighborhood feel, more amenities that accompany density (restaurants, shops, grocery stores) and less surface lots will raise demand more than the increase in supply, resulting in upward rent pressure.
2. Demand should be there. There are plenty of high-rises outside of downtown that are little islands with few places to walk to and few other nearby high-rises. I’m guessing the people that live in these buildings are comfortable with high-rise living and seeking an urban experience. They could be the typical downtown tenant once amenities take hold. With its tight street grid, nearby entertainment and workplaces and public parks, downtown has the best ingredients for a walkable urban experience. Also, occupancy downtown is already pretty high and the new Skyhouse seems to be leasing successfully.
3. I’m more bullish on condo prices than rental rates. Typical condo sales are ~$200 / sf downtown compared to ~$250+ / sf in Midtown and Montrose. There are no planned condo developments, only rentals so existing condos should get all of the benefits from having new neighbors with only an imperfect substitute good (apartments) increasing in supply.

 

I live downtown so may just be talking my own book as well

[samagon]

Amenities will be the key.

 

There's Randalls in midtown that's accessible by rail, which is a good option, but you have to walk through a 3rd world country (the area around greyhound station) to get to/from. Phoenecia is an option as well, but for fresh vegetables it sucks (well, I haven't been there in over a year, so that may have changed), they do well with pre-arranged meals, and snacky type stuff, but I wouldn't bet it would work as the single place you go to get groceries, unless artisan cheeses, coffee, tea, and summer sausage is the sum total of your sustenance. and then where do you fulfill needs like TP, toothpaste, deodorant, cat litter.

 

It would have been awesome to see a HEB, or central market go in at mcgowen and main (instead of another people aquarium). right on the rail stop, not a 3rd world country. Of course, with the east end line opening this december, and rumors of a grocery store going in at harrisburg and lockwood, there is a stop for the green line there. If the idea is not needing to use your car, yet still have access to amenities, once the green/purple lines open, there will be a lot more at the fingertips of downtown. Of course, these people will have to get beyond the fact that the areas look almost as sketchy as the area around the greyhound station is. 

[mollusk]

Amenities will be the key.

 

There's Randalls in midtown that's accessible by rail, which is a good option, but you have to walk through a 3rd world country (the area around greyhound station) to get to/from. Phoenecia is an option as well, but for fresh vegetables it sucks (well, I haven't been there in over a year, so that may have changed), they do well with pre-arranged meals, and snacky type stuff, but I wouldn't bet it would work as the single place you go to get groceries, unless artisan cheeses, coffee, tea, and summer sausage is the sum total of your sustenance. and then where do you fulfill needs like TP, toothpaste, deodorant, cat litter.

 

It would have been awesome to see a HEB, or central market go in at mcgowen and main (instead of another people aquarium). right on the rail stop, not a 3rd world country. Of course, with the east end line opening this december, and rumors of a grocery store going in at harrisburg and lockwood, there is a stop for the green line there. If the idea is not needing to use your car, yet still have access to amenities, once the green/purple lines open, there will be a lot more at the fingertips of downtown. Of course, these people will have to get beyond the fact that the areas look almost as sketchy as the area around the greyhound station is. 

 

Phonecia's produce has improved in quality, but it's still a very small department.  You've overlooked the meat counter, which is excellent (if a bit light on pig products, since it's mostly halal).  CVS on Main @ McKinney (and elsewhere) and Walgreen's are OK for the assorted non food items.

 

If'n your sensibilities are sturdy enough to handle downtown, there are a couple of Fiestas within a couple blocks of rail stops on the red line north of downtown - the one on Patton at Fulton is closer to its rail stop and seems to have sorta taken a lot of the refugees resulting from closing the one on Studewood, down to some of the employees and occasionally the music selection.  The wine selection is even gradually improving.  There's also a Fiesta just the other side of Sears from the Wheeler transit station.

[samagon]

I didn't even think of the fiesta on san jacinto and wheeler station. that's a pretty decent option. as that area fills in with higher end apartments, it will become a very viable option.

[mkultra25]

If'n your sensibilities are sturdy enough to handle downtown, there are a couple of Fiestas within a couple blocks of rail stops on the red line north of downtown - the one on Patton at Fulton is closer to its rail stop and seems to have sorta taken a lot of the refugees resulting from closing the one on Studewood, down to some of the employees and occasionally the music selection.  The wine selection is even gradually improving.  There's also a Fiesta just the other side of Sears from the Wheeler transit station.

 

There's also the Fiesta at Quitman and Fulton, which is a bit farther away from the nearest rail stop than the Fiesta at Patton and Fulton, but is also two stops closer to downtown.