1 hour ago saw the Borders flagship store on Michigan Avenue is closing. Chicago Place in the middle of Michigan Avenue (!), is closed and boarded up. They're not even tryin' anymore. Orange parking cone blocks the main entrance.
THe old boarders use to be FAO SCHWARTZ.... outa business. No surprise. Somethings will close and something else will come and rent it out. IL in general is in bad shape and you couldn't pay me to live in that state run by Progressives. However, DownTown Chicago is still going strong considering the current situation in the Country. Once again, bottom line is... You either make money or you do not. Whatever happens to the country on the commerical end of things will be a buying opportunity for those who sit on cash. Look at what is happening in the FL region. Euro money is flowing in snatching up all kinds of hard assets. The game of "Leverage" is over for 90% of people. I say let's bring the commerical crash. I need some place to put money anyways. However, I doubt prices will fall to the levels they are in Vegas, Miami, Orlando, and parts of Cali. There is a lot of money in Chicago that will buy shit up for pennies on the dollar.. Same in NYC. In fact NYC prices have risen and RE market is firming up. The endangered specie is the Man with his family and kids in the Subburbs who is cracked out on Credit.
You are right about the endangered species. The city has a lot of young fabulous and broke people, but these city folks do not have much debt. It is the people in suburbs that are screwed, they have mortgages, car payments, credit card payments, school expenses, college expenses, rising medical costs, rising utility costs, home repairs, and face a pathetic job market and a very bad business environment. The only entities that are making money are the cities and states with all those taxes flowing in.
I traveled the nation from east to west this past summer and there are a few select areas where there is some growth. When I saw cranes being used in construction. I can say for sure that locals that are willing to work with bussiness will grow. Areas that hold back progress will be vacated and left on their own. Akuma
http://www.illinoisrealtor.org/newsreleases/nov2010 http://cribchatter.com/?p=9761 "Here is the November data for the past 4 years: 1. November 2007: 1801 sales and median price of $290,000 2. November 2008: 1094 sales and median price of $222,500 3. November 2009: 1859 sales and median price of $215,000 4. November 2010: 1144 sales and median price of $206,000 The year to date median price is down 7.6% to $208,000 from $225,000 in 2009."
"Burbs are for those who can't afford to live in the lofts, Condo's or Apartments." Spoken like a true bachelor. I didn't move to the North Shore until my second kid was born. If you feel that way about commercial real estate, why not sell ATM REIT/ETF calls and buy ATM SPY calls as a currency-adjusted delta-neutral (and premium neutral) spread?
CRE didn't get hit near as hard as residential. Plus the spin off is pretty sweet. My buildings In Phoenix did go down in price some, but I wasn't a seller so that was of no concern. But the tenant rent yield and the parking revenue more than made of unrealized lost for a sale that didn't occur. And this particular purchase was in 2007
Everywhere liberals go they ruin everything. Pretty soon we will have to divide this country up and give 1/2 for the liberals to live in and ruin and the other half for the working and thinking people to live without the liberal power and money grabs constantly going on. Se la vi, Chicago!
these bank owned buildings would rathter have vacant buildings tha lower the rent. i know store owners that shut down their business because rent was too high..rent is like 50% of monthly cost or 50% of revenue business owners working for the landlord and city (property tax) in many cases. or they can't get insurance for robberies..stores get vandalized robbed in bad neighborhoods all the time or insurance is too high and insurance dont' insured if the place is robbed too many times bank owned properties never lower the asking price for rent or homes too.