Hjarta and Florera to Sell at 35% Off

Realogics Sotheby’s International Realty is taking over sales for the remaining 100 units at Hjarta in Ballard and Florera in Greenlake. If you’ll remember the developer Pryde + Johnson switched from selling units at these two buildings to leasing them. The press release below indicates this was part of a debt restructuring in 2009. Sounds like all leases are going to expire in 2010 and will not be extended.

Their new pricing:

• Studios (578 – 598 sq. ft.) will start from $244,950;
• One bedrooms (614 – 921 sq. ft.) will start from $274,950,
• One bedroom plus dens (792 – 923 sq. ft.) will start from $314,950;
• Two bedrooms (1,037 – 1,447 sq. ft.) will start from $399,950
• Two bedrooms plus den penthouses (1,331 – 1,578 sq. ft.) will start from $589,950
• Three bedroom plus den penthouses (1,909 sq. ft.) will start from $799,950

Inventory will be officially released March 27th, the day before the 5th and Madison auction.

I haven’t visited either project but here are some November 2006(!) comments from a reader named Greg who visited Florera.

Disclosure: Realogics is advertising its Bulk Buy program on Urban Living.

100 Condo Units Reintroduced For Sale in Ballard and Greenlake; Up To 35% Off
Developer Offering Bulk Sales Discounts in Exchange for Accelerated Closings

March 9, 2010 (Seattle, WA): Executives at Pryde + Johnson will reintroduce condo sales within two partially leased buildings by offering current tenants and new buyers discounts up to 35% off original list prices. The portfolio of LEED “Silver” targeted homes is located within the Hjarta Condominiums in Ballard and the Florera Condominiums in Greenlake. Inventory will be officially released for sale on March 27, 2010 as part of a bulk sales approach whereas the seller offers a volume sales discount in exchange for quick closings.

“We’re meeting the market on price and are committed to selling through as condominiums,” said Curt Pryde, principal of Pryde + Johnson and developer of both Hjarta and Florera Condominiums. “Homebuyers will also benefit from our preferred selection, FHA financing (3.5% down payment), today’s low interest rates and other limited-time incentives such as Federal tax credits up to $8,000 (for purchases contracted before April 30, 2010).”

Anticipating the market correction, Pryde restructured debt to lease unsold homes upon delivery in 2009 – many with an option to purchase. All leases expire in 2010 and will not be extended, he said. “We’re offering unparalleled product at a tremendous value,” said Pryde. “This is reflected in attractive monthly payments and provides for capital appreciation – the law of supply and demand will put upward pressure on values over time.”

As a first phase release, 12 homes will be available for sale at Florera along with 18 homes at Hjarta (30 homes total). Additional homes will be offered for sale as they become available and after current residents consider their purchase option.

o Studios (578 – 598 sq. ft.) will start from $244,950;
o One bedrooms (614 – 921 sq. ft.) will start from $274,950,
o One bedroom plus dens (792 – 923 sq. ft.) will start from $314,950;
o Two bedrooms (1,037 – 1,447 sq. ft.) will start from $399,950
o Two bedrooms plus den penthouses (1,331 – 1,578 sq. ft.) will start from $589,950
o Three bedroom plus den penthouses (1,909 sq. ft.) will start from $799,950

Realogics Sotheby’s International Realty will represent Pryde + Johnson in their bulk sales program. The local brokerage firm drove dozens of sales at Eleven Eleven East Pike on Capitol Hill and The Decatur on First Hill using a similar volume sales approach instead of an auction. More information is available at www.CondoBulkBuy.com.

“We help sellers find the market and offer buyers auction-like prices without the gavel,” said Sam Cunningham, broker and partner in Realogics Sotheby’s International Realty. He points to numerous auctions in the Seattle area, which advertise minimum bid prices up to 60% off but after minimum reserve prices and prevailing market demand, result in sales discounts 20 – 35% off previous list prices. “Recently announced condo auctions and price drops in downtown Seattle will help draw buyers off the fence and into the greater marketplace,” he added. “Considering this highly competitive sales environment and perishable tax credits – it’s a great time to be a buyer.”
Pryde + Johnson is passionate about developing high-quality, LEED “Silver” (or above) certified communities that operate with a low carbon footprint and significantly reduce the cost of ownership. By example, more than 90% of the construction waste from Hjarta was recycled while building systems were designed with life spans that far exceed production development. Meanwhile homeowner dues for this amenity-rich project are just $0.32 per square foot per month – about half the operational cost for comparable properties. The first-of-it’s-kind, concrete-and-steel midrise in Ballard was designed to compete directly with downtown Seattle high-rises and supports a fast-growing trend to live in an urban village just outside the city core.

“We got everything right with our projects except the market timing,” said Pryde. “But what’s challenging for developers and their lenders is becoming the perfect storm for savvy homebuyers to realize an opportunity.”

The new construction pipeline has shut down and Seattle’s most popular neighborhoods will soon run short on supply, according to Pryde. “Buyers recognize these deals are as finite as the available inventory,” he added.

About Pryde + Johnson
Pryde + Johnson is a privately owned developer whose goal is to renew urban environments through building practices that protect and care for the environment, support a healthy lifestyle, bring out the beauty in nature, strengthen community ties and provide for the needs of generations to come. Each Pryde + Johnson community is recognized for offering a prime location within Seattle’s most popular neighborhoods, high design and superior quality to production development. The firm has developed more than 800 units of apartments and condominiums over recent years earning a strong reputation for sustainable construction practices, LEED-certified product and community involvement. For more information visit: www.PrydeJohnson.com.

About Realogics Sotheby’s International Realty
Having represented nearly two-thirds of the new construction condominium closings in downtown Seattle in 2008 and 2009, Realogics Sotheby’s International Realty has emerged as the local leader for sales and marketing performance in the city. Managed by Realogics, Inc., the collective presents the region’s only vertically integrated real estate solution comprised of market research, product development, marketing and sales. The firm’s Condo Bulk Buy brand has become recognized as an alternative to condo auctions. Realogics Sotheby’s International Realty is independently owned and operated by Realogics, Inc. For more information visit: www.RealogicsSothebysRealty.com or www.Realogics.com.