This regularly-scheduled sponsored Q&A column is written by Eli Tucker, Arlington-based Realtor and Rosslyn resident. Please submit your questions to him via email for response in future columns. Enjoy!
Question: Why are there no new big condo projects coming? All of the major announcements such as the old Macy’s Furniture plat, the Mazda dealership plat and the bar at Quincy and Fairfax Drive are going to be apartments.
Answer: You’re right. We’ve seen a ton of large apartment projects recently and in future plans. Just around the corner from where I live in Rosslyn, we’ve added about 1,000 new apartment units in the last two years at Slate & Sedona, 1919 Clarendon and 2001 Clarendon, but zero new condos.
Why? Here are some reasons building an apartment complex has been a popular choice — although, I believe that’s changing, hence the growing list of new condo projects — in recent years:
According to the Washington Post, over 27 percent of Arlingtonians are age 25-34 and they’re not buying homes just because their parents did, but comfortably renting until they’re sure it’s the right decision for them. I think a lot of this has to do with job-hopping every couple of years and Fannie Mae making it more difficult for those with less savings and shorter credit history to get a mortgage.
However, millennials are having kids and finding more value in settling down with an employer and, according to Jake Ryon with First Home Mortgage, Fannie is “making it much easier to become a homeowner by reducing down payment requirements from 10 percent to 5 percent on loans of $417,000 to $625,500 and to 3 percent for loans under $417,000.” These two shifts are resulting in an increase in the number of new condo projects in Arlington.
I’d love to see new condo projects include family-friendly amenities like indoor/outdoor playgrounds, daycare centers and game rooms like buildings I’ve seen in New York City.
I’d also argue that when a developer chooses an apartment project, they have some very savvy people determining that Arlington is a great long-term investment, and they’ll fare better generating long-term income here than quickly flipping their project to homeowners.
Something else to consider is the condo conversion strategy, where a developer may find it more lucrative — and easier, due to looser building codes — to build an apartment now, generate solid income returns while rental rates are at all-time highs and convert to a condo building when the time is right. There are many examples of this, including 38 Place, Arc 3409 and Prospect House in the 80s.
I’d be remiss not to acknowledge the transient nature of our population, relative to most other cities. With so much of our population being made up of short(er)-term/contract employees and grad students, we have an extraordinarily high demand for rentals.
Where Should They Build?
I think Cherrydale, Columbia Pike, and Rosslyn are primed for new condo construction. What neighborhoods would you like to see new condo construction instead of apartments?
If you’d like a question answered in my weekly column, please send me an email at [email protected]. To quickly read any of my older posts, visit the blog section of my website at http://www.RealtyDCMetro.com.
The views and opinions expressed in the column are those of the author and do not necessarily reflect the views of ARLnow.com.
Eli Tucker is a licensed Realtor in Virginia, Washington DC, and Maryland with Real Living At Home, 2420 Wilson Blvd #101 Arlington, VA 22201, 202-518-8781.
CoStar May Sell New HQ — “Andy Florance, the real estate data giant’s CEO, told analysts Tuesday that CoStar is likely to sell Rosslyn’s Central Place tower, but to remain…
Take a tour of the Courthouse neighborhood and explore two local favorites of Sallie Seiy, your guide in the latest Neighborhood Spotlight.
Good Friday evening, Arlington. Let’s take a look back at today’s stories and a look forward to tomorrow’s event calendar. 🕗 News recap The following articles were published earlier today…
The Arlington County Board and the Human Rights Commission are at odds over whether commissioners had the right to request an investigation into possible human and civil rights violations at…
Children’s Weekday Program (CWP) is a non-profit preschool for children 16 months and older. Rooted in a play-based philosophy, we focus on developing a love of learning and exploration, cooperation, empathy, and independence.
Located in North Arlington at 2666 Military Road, CWP offers a flexible parents’ day out and preschool program with options to extend care both before and after school daily. We offer a supportive and inclusive school community for children and parents alike and welcome all families to join our school!
Our caring and experienced educators create opportunities for children to play, learn, and grow in a nurturing environment of child-centered and developmentally appropriate experiences–including enrichment programming such as science and movement.
CWP has been an integral part of the community for over 50 years and last year was recognized by Northern Virginia Magazine for the fourth time as the Best Preschool.
The Potomac Roasting Company is a local micro-roaster specializing in artisan coffee. We precision roast high-quality specialty beans sourced from small farms in Latin America that are owned and operated by women. Your coffee will be roasted the way you want it and delivered fresh.
As two former Peace Corps volunteers who served in Guatemala, we founded Potomac Roasting to pursue our passion for great coffee and purpose-driven work. In addition to ethically sourcing our beans, we also donate a portion of our profits to Laila’s Legacy Animal Rescue, a DC-based nonprofit that finds homes for homeless dogs and cats.
Our current roasts come from prime coffee-producing regions of Colombia, Costa Rica, Guatemala, and Peru. We will be adding new roasts soon. If you are local, there’s a good chance we can deliver to your door. Look for us at local farmers’ markets beginning this spring. In the meantime, check us out now for better coffee and good karma in a cup. You can use the code Community and save 10%.
Whenever we feel indecisive, it’s usually because different parts of ourselves see things differently and are motivated by different priorities and concerns. In fact, it’s usually the friction between these different “camps” that makes us feel stuck.
We can mediate