It’s no secret that Atlanta is starting to see new construction again, especially Intown Atlanta New Construction! But if you are waiting for that new condo tower to rise, you might be waiting awhile!
Intown Atlanta New Construction Everywhere
Midtown Atlanta currently has at least 9 apartment buildings in some state of development, including a completed building, Skyhouse at West Peachtree and 11th Streets. True, there has been a lack of quality apartments in the Midtown/Midtown West area for some time. Your options for upgraded apartment living meant you needed to find a condo being leased by a private owner (and making sure they had a leasing permit to go along with it) if you wanted something decent.
And Midtown is not alone! The Atlanta Business Chronicle (February 15-21 issue) reported that a developer has filed a rezoning request for a 6.5 acre site at the corner of Piedmont Road and Lenox Road (also called the Buckhead Loop.) This new project calls for two TOWERS of 26 stories (380 units) and 19 stories with 322 units! It’s expected to take most of the year to get through the re-zoning process. And just down the street, Cousins Properties is building the 355-unit Circle Terminus in the Terminus complex.
But are we now in apartment overkill mode? We are talking some serious apartment construction! And the $50 question is, can, will and when would any of these buildings convert to condominiums? I’m working with a client right now that used to build apartment buildings and I asked him that very question. His response was that the loan on many of these buildings may be structured such that they cannot convert for 5-10 years. This way, the lender realizes the return on that investment (loan) that they planned on. Now, there could be “out clauses” that involve penalties, and then, the developer would need to get NEW financing for the project as a condominium building.
Needless to say, all of this construction will bear watching over the next few years. That said, with no new condominium building construction on the horizon, expect to see Midtown Atlanta condo prices continue their rise! You can see and monitor the market changes in many of the Midtown Atlanta condo buildings at our Midtown Atlanta Market Reports Page.
