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Old Posted Sep 1, 2016, 11:01 PM
Martinman Martinman is offline
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Join Date: Jul 2015
Posts: 917
Originally Posted by arctk2014 View Post
The apartment sub-market is starting to show more signs of self-regulation (the bubble some cynics claim will burst- even though it already has burst - it's just a slower deflating bubble instead). Novare announced they're cancelling the Cincinnati Skyhouse project due to rising construction costs and lenders tightening on financing terms - aka cheaper multifamily products (a la Skyhouse, etc) aren't going to cut it in this part of the cycle. You'll expect to hear about more higher quality (while still somewhat limited) projects either announcing or some more interesting projects to finally break ground in the coming few months.
I was just noticing that all of Novare's projects are already topped out and close to being completed. And I was wondering if the seemingly endless run of Skyhouses might finally be winding down. I also think that construction costs have to be a big part of this considering that the original SkyHouse cost just $60 million versus $90 million for the Cincy Skyhouse.
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