lockmat Posted May 7, 2008 Share Posted May 7, 2008 http://www.thepalmilla.com/ http://sanantonio.bizjournals.com/sananton.../05/daily3.html Commercial real estate development firm Koontz McCombs begun laying the groundwork for a new condominium project on the Texas Gulf Coast called The Palmilla at Port Aransas. The condominiums will be built on Mustang Island and the developers say their project will rival some of the top resort communities along the Gulf Coast, the Caribbean and Mexico. Sales of these individual units have already begun. The Palmilla at Port Aransas will be situated on 30 acres of land and will consist of 94 home sites once completed. Prices will start in the $400,000 and the development will have floor plans in the 1,600 square foot- to 3,000 square foot range. In addition to the condominiums, the Palmilla will include one mile of bulkhead walkway with floating hardwood boat docks. ----- I went to Port A almost every summer during high school. It was a nice place to visit, but it seems like it's really gaining in popularity. I'm a little surprised. Link to comment Share on other sites More sharing options...
TheNiche Posted May 7, 2008 Share Posted May 7, 2008 Now isn't exactly the best time to be getting into the condo business. Although waterfront condos in Texas have been a little more stable than their in-city counterparts, their site is on the bay side, and they don't even offset it by having a marina...only by having 'access' to a marina.I hope these guys know what they're getting into. Link to comment Share on other sites More sharing options...
lockmat Posted May 7, 2008 Author Share Posted May 7, 2008 Now isn't exactly the best time to be getting into the condo business. I hope these guys know what they're getting into.I guess lots of condos are not primary residences, but you don't think it's still safe since it's located at a vacation type place and will be a secondary residence? Plus, the condo market can be a totally different place by the time its finished, right? Link to comment Share on other sites More sharing options...
crunchtastic Posted May 7, 2008 Share Posted May 7, 2008 The last time I was down (October) the building pace on the island seemed to have slowed, considerably. It had been booming for quite a while. I sure wouldn't buy on the bay side and assume I could offset the costs by renting it out--I make a few trips to Port A every year and there's always an oversupply of private homes for rent--and this is in the new development on the beach side of 361. Link to comment Share on other sites More sharing options...
MidtownCoog Posted May 7, 2008 Share Posted May 7, 2008 Is there even anything to do in PA? $400K attracts a crowd that likes to dine out, etc. Seems a bit steep. Link to comment Share on other sites More sharing options...
crunchtastic Posted May 7, 2008 Share Posted May 7, 2008 Is there even anything to do in PA? $400K attracts a crowd that likes to dine out, etc. Seems a bit steep.Port A is pretty sleepy, and pretty low rent. You hang on the beach or fish. The few restaurants range from ok to awful. Traditionally, the money, with nice houses and boat slips, went to North Padre or up-coast to Rockport. Link to comment Share on other sites More sharing options...
TheNiche Posted May 7, 2008 Share Posted May 7, 2008 I guess lots of condos are not primary residences, but you don't think it's still safe since it's located at a vacation type place and will be a secondary residence? Plus, the condo market can be a totally different place by the time its finished, right?No, not at all. Vacation homes and second homes need to be thought of as luxury items. Problems with mortgage markets are multiplied for that kind of product.But I'm less concerned with mortgage markets than I am with the fundamentals, chief of among them, location. A bayside condo development works nicely if it has a private marina. Otherwise, I have a very hard time believing that people are going to buy >$400k condos with lots and lots of fees attached for soemthing that isn't on the beach.What are homes on stilts selling for down there, these days? Link to comment Share on other sites More sharing options...
crunchtastic Posted May 7, 2008 Share Posted May 7, 2008 What are homes on stilts selling for down there, these days?The last time I looked, there was quite a range: 300s to Mid 600s, depending how new the development is. Sometimes a much older, smaller place will turn up, closer to town and not part of a development, in the 200s or under. The old, crappy, low and mid-rise apartment style condos right on the beach are in the 200-300 range for a tiny unit--but they're also sure bets on rentals. Link to comment Share on other sites More sharing options...
TheNiche Posted May 7, 2008 Share Posted May 7, 2008 The last time I looked, there was quite a range: 300s to Mid 600s, depending how new the development is. Sometimes a much older, smaller place will turn up, closer to town and not part of a development, in the 200s or under. The old, crappy, low and mid-rise apartment style condos right on the beach are in the 200-300 range for a tiny unit--but they're also sure bets on rentals.Throw in fees to cover the common area and I'll bet that its almost tit for tat compared to single-family.Condos need a key locational advantage to succeed. Period. Link to comment Share on other sites More sharing options...
aslowdodge Posted May 13, 2008 Share Posted May 13, 2008 No, not at all. Vacation homes and second homes need to be thought of as luxury items. Problems with mortgage markets are multiplied for that kind of product.But I'm less concerned with mortgage markets than I am with the fundamentals, chief of among them, location. A bayside condo development works nicely if it has a private marina. Otherwise, I have a very hard time believing that people are going to buy >$400k condos with lots and lots of fees attached for soemthing that isn't on the beach.What are homes on stilts selling for down there, these days?I completely agree. The demand for bayside homes is way less versus beachside homes in Galveston. Everyone want the ocean. if not they want access to the water and the marina would be very important. Link to comment Share on other sites More sharing options...
mrfootball Posted May 14, 2008 Share Posted May 14, 2008 My wife and I honeymooned at the one and only Palmilla in Cabo San Lucas. Absolutely incredible resort.The Palmilla at Port A looks like a glorified apartment complex. Link to comment Share on other sites More sharing options...
missmsry Posted May 19, 2008 Share Posted May 19, 2008 I completely agree. The demand for bayside homes is way less versus beachside homes in Galveston. Everyone want the ocean. if not they want access to the water and the marina would be very important.It's a little different on Mustang and North Padre than Galveston Island. On Galveston there are no large dunes to limit access to the beach, so it is more likely to want a Gulf view home. Plus on Galveston, bay side homes have more limited access to the Gulf. Homes along the Laguna Madre can get to the Gulf at PA or thru Packery Channel. The building along this coast has been phenominal in the last 6 years, with a lot of buyers from out of the country.Not to mention, the water is better around Rockport, Corpus and points south. Link to comment Share on other sites More sharing options...
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