In today’s Puget Sound Business Journal, reporter Jeanne Lang Jones writes about the expanding affluence of in-city condo dwellers referencing research provided by Realogics Sotheby’s International Realty. We wrote about the dramatic rise in penthouse sales since March 2012 resulting in more than $26 million in transactions, which spurred additional research in to where those condos sales have been taking place. The following heat map was also added the Puget Sound Business Journal’s blog post and describes the volume of sales that have occurred since 2000.
The increased consumer confidence has led to increased seller confidence with recent price increases at noted condominium projects including The Sanctuary, Escala and Olive 8. And so it wasn’t that surprising when the Daily Journal of Commerce and The Seattle Times reported B.C.-based Bosa Developments will finally break ground on the first phase of Insignia, downtown Seattle’s first new condominium high-rise in five years.
The following pipeline graphic illustrates the quickly approaching imbalance between supply and demand. Given no new construction has broken ground since 2007 it stands to reason there would be no new inventory added to the skyline until 2015.
For a more complete view of the in-city condo market fundamentals read our blog post based on official NWMLS market performance records for May 2012.