Penobscot Building update wanted

[SammyS]

The Penobscot doesn't have particularly narrow floorplates. I don't think that's a bad thing, per se, for residential conversions [[you want big floorplates for spacious floorplans, but not so big floorplates that you have to punch lightwells into the bldg).

A residential conversion would take an incredible amount of public dollars. You're talking about a building [[really a couple of buildings) worth maybe $15 million, undergoing a maybe $150 million conversion [[and that would be a basic rental conversion; something luxurious could easily cost twice that).

I know people think I'm always the resident negative, but core Detroit residential prices still don't justify market rate conversions. These are incredible expensive undertakings. In NYC, where such conversions yield $3,000 a foot condos, the developers are taking a big risk. In Detroit you couldn't even count on $300 a foot. You think people would be lining up to pay 600k for a starter 3 bed? I doubt it.

$300/sqft is going rate for high end in midtown. Book Cadillac/Westin is asking more.

[gvidas]

the current ownership of the Penobscot destroyed the almost 100 year old neon beacon on the roof by doing a crappy LED conversion. It has already partially failed, is not as bright as the neon was, and is noticeable a different color.

but I'm kind of a snob about lights.

[Nero]

the current ownership of the Penobscot destroyed the almost 100 year old neon beacon on the roof by doing a crappy LED conversion. It has already partially failed, is not as bright as the neon was, and is noticeable a different color.

but I'm kind of a snob about lights.

Has it failed? Or perhaps the colors of the sky have changed from all that is new?

[Bham1982]

$300/sqft is going rate for high end in midtown. Book Cadillac/Westin is asking more.

That isn't true. B/C units are no longer held by sponsor, so there is no recent sales data.

If an individual owner is asking more for their unit; fine, but that has nothing to do with what we're talking about. I could ask $100 million for my house; doesn't mean that houses in my neighborhood sell for $100 million, and has no relevance for underwriting proposed new homes.

[SammyS]

That isn't true. B/C units are no longer held by sponsor, so there is no recent sales data.

If an individual owner is asking more for their unit; fine, but that has nothing to do with what we're talking about. I could ask $100 million for my house; doesn't mean that houses in my neighborhood sell for $100 million, and has no relevance for underwriting proposed new homes.

Actually, you're wrong, AGAIN. Just go to Realtor.com and filter by JUST SOLD and check it out for yourself. Here are a few from Woodward Place and Canfield areas. Both regarded Midtown.

Additionally, every, I mean EVERY Carriage and Town Home in City Modern has sold for >$300/sqft and that was before the 4 price rises. There's a thread on that so check it out.