Back on TRACK
It’s a sign of the times — for the second time. One of the earliest victims of the economic downturn is now one of the first inner-city developments that is back on track and selling briskly, says its new owner.
The 650-unit Midtown condo complex in the inner city was plagued by foreclosure and sinkhole problems when construction was shut down in 2008.
But the first of two towers at 4th Street between 10th and 11th Avenues S.W. is now under construction and sales of units have started by Pointe of View Developments.
The company bought the site after former owner Resiance Corp. was caught in the economic downturn.
“It’s a fresh start,” says Pointe of View president Randy Klapstein.
“The strongest point is the location and price points. Some investors are seeing the value in the project.”
Prices start at $213,000 plus GST, mainly attracting 20-to 30-year-olds who want to get into home ownership, says Klapstein.
stacking washer and dryer, and an opportunity to choose upgrades to customize to make it your own.
The building, itself, has heated and secured underground parking with secure bike storage and a keyless entry, as well as an exercise room.
“Resiance had the right plan, but was hit by the economics,” says Klapstein.
“They designed a very efficient building that is well located and we expect to do well here. At the time they were trying to build, costs were out of control.
“The good news is that the costs are now going the other way and we are able to lower our costs to build — and, in turn, pass those cost savings on to our customers.”
A show suite is under construction and the presentation centre is now open for viewing noon to 7 p.m. Mondays to Thursdays, and noon to 5 p.m. weekends.
It is located just south of the construction site at 4th Street S.W. in a building across the alley.
As for the future, says Klapstein, his company is retrenching and shifting its focus.
“We were trying to diversify geographically, but now we will concentrate more at home and do our business in our own backyard,” he says. “We will be involved not only in condo development, but different types of construction. such as rental and commercial.”
Meanwhile, Pointe of View is finishing up its Vantage Pointe
“It’s a ‘centre-ice’ location that’s downtown, but it’s not downtown — and we’ve had approximately 90 to 100 sales already since we opened the sales centre late last month,” he says. “We bought some of the original units.”
Resiance had pre-sold as many as 500 units before filing for bankruptcy.
Construction is progressing, says Klapstein, adding that the first tower is up to grade and the underground parkade is finished.
“Based on the response we’ve had so far with the price point, I think we are on the right track,” says Klapstein. “We think we will hit the right number in the sales test by the new year and we hope to go vertical in the spring of 2010.”
The development will have the same template as that designed by Resiance, including everything from one-bedroom units starting at 507 square feet to twobedroom, two-bathroom suites of up to 1,004 square feet.
“Our goal is to have the second and third floors as live-work units that we will launch shortly,” says Klapstein.
The west tower, which is now selling, will have 250 units of traditional apartment suites and 70 live-work units of 1,199 and 1,225 square feet.
Some of the features in the suites include glass tile backsplashes in kitchens, granite countertops, a five-foot soaker tub in the main bathroom, a full-sized development in San Diego, where the construction is complete and it is both renting and selling units.
The project also ran into tough times, too, earlier this year when Pointe of View was forced to return deposits and resell the 40-storey building.
It has resort properties as well in Canadian locations — the most notable the development of Windermere Pointe in the Columbia Valley, B.C., where Kennedy Wilson Auction Group auctioned off 40 units this fall. In Calgary, other than the new Midtown, Pointe of View is working on the following condo complexes:
Bridlecrest Pointe, which is in its final phase with 77 units;
Panorama Pointe, which just has a handful of units left;
Varsity Landing, where about half of its 39 units have already sold;
Riverfront, where four buildings were originally planned. The first and second buildings just have a few units left to sell. The third tower of 220 units will begin marketing this spring;
A new project in Airdrie at 8th Street and Railway Avenue will have 300 to 400 units. Marketing of the first phase is just about to start, says Klapstein;
Another 200-unit building in downtown Cochrane will begin marketing this spring.
An artist’s rendering of the Midtown project, which is to include 650 condo units.
Pointe of View president Randy Klapstein says the revived Midtown project ‘is on the right track.’
Construction work has restarted on the site of the development.