The condo as real-estate investment
When his son moved here for university, Boston’s Jeffrey Davis purchased a condo in his hometown of Montreal
Six years ago this spring, Jeffrey Davis purchased a twobedroom condo on Monkland Ave. both as an investment for himself, and as a place for his son to live while studying at Concordia University. It was a decision, he said, that has been paying him back in spades.
“I thought the condo would be a good investment,” said Davis, who has lived in the Boston area since 1980. The former Montrealer grew up in Côte-St-Luc, but left the city in 1977 after graduating from Concordia.
“Little did I know how good an investment it would become. We own property i n Florida, Cape Cod, Western Massachusetts and Montreal outperforms everything. In terms of percentage returns, it’s almost doubled in value.”
He bought the condo at a time when the Canadian dollar was worth 20 per cent less than the American dollar, giving Davis a head start right at the get-go. With a purchase price i n the $300,000 range, the savings on the exchange rate lopped off around $50,000.
During the time his son was applying to different universities, Davis considered the expenses associated with an 18-year-old living on campus in a residence versus living in a property owned by the family. He also factored in the cost of his hotel stays during visits with his son. With a few options on the table, the scales were tipped on the side of a Montreal purchase once Concordia became the designated place of study.
Davis did his research and eventually settled on a two-bedroom, two-bath, 970-square-foot condo on Monkland Ave. in a six-unit building close to public transportation and not far from cafés and grocery stores.
“I looked downtown, in Old Montreal and in N.D.G.,” Davis said.
“This place, as soon as they showed it to me, I wanted it. It’s close to downtown and I thought the area had enough of a life that he wouldn’t get bored on Monkland, which has a French feel. It’s a little bit downtown, a little bit English and a little bit safe. A little bit of everything made it nice.”
The completely renovated unit has hardwood floors, a gleaming, open kitchenette with polished wood cabinetry, stainless-steel appliances and a granite-and-glass-topped, two-tiered island with three stools.
The open living room/dining room is furnished with modern leather seating and glass-and-- metal tables against a neutral backdrop of muted grey walls, accented with white mouldings on the floor and ceiling. Three large windows covered with frosty-white accordion shades are a nice contrast to the dark furnishings, and provide plenty of natural light.
Toward the back of the unit are two good-sized bedrooms, one with a large en-suite, ultra-modern bathroom. There is another full bathroom off the hallway.
Although it’s been two years since his son graduated and moved away, Davis has purposely not rented out the condo. He uses the place as a convenient pied-àterre when he comes up to Montreal in the winter to ski, or in the summer to play tennis.
“I love going to Montreal in July and hanging out in the streets, meeting friends, and playing tennis. It’s just a lot of fun,” he said.
Although he realizes the value of his investment, Davis is not selling it any time soon. For him, the connection to the city runs deeper than any money he may make now on a resale.
“My goal would be to give it to my kids if they want it,” he said.
“They love the fact that they are Canadian citizens and residents of Quebec. My goal is that eventually I won’t be using it and to gift it to my children or, if they are not interested, then to sell it.”
Meanwhile, his daughter, who will be 18 in May, has applied to 12 American and Canadian universities and is waiting to see if she is accepted to McGill. As for Davis, whether his children continue to use the condo or he decides to sell it, the investment he made six years ago has fulfilled a number of personal needs and wishes.
“It’s my connection to my history; it’s for my family, it’s for an investment and it’s for my own personal recreation,” he said.
“I was able to leave, and never leave. It’s still there for me. I had to leave for certain reasons, but I never gave up the city — and because of the financial aspect, the city has given back to me.”