PATRIOT SQUARE: Prices up but Still a Relative St Petersburg Retirement Living Bargain There's been much local publicity about...
PATRIOT SQUARE: Prices up but Still a Relative St Petersburg Retirement Living Bargain
There's been much local publicity about the continued rise in prices during the past five years of both homes and condos in St. Petersburg's burgeoning downtown, NE, and Kenwood areas. What about more modestly priced condominium complexes in other areas of St Pete? Let's take for example Patriot Square, the middle sized over-55 complex off of 37th St S. opposite Broadwaters Park in far Southwest St. Pete. What's happened to resale prices in this community? After the 2008-2011 foreclosure crisis during which Florida condos arguably performed the worst in the country, Patriot Square's resale prices recovered more slowly than single family homes and even condos in some other areas of St. Petersburg.
As I pointed out last November in this blog, that situation seemingly began to change in 2015-2016 as available inventory dwindled at Patriot Square. After reviewing the latest statistics from the past few months, it appears that the upward movement in prices strengthened carried through most of 2017. Two of my Phase I listings (3 bedroom or 2 bedroom/den) closed in September 2017 for $132,000 a furnished 2nd floor unit and $136,000 for a downstairs unit. MLS statistics indicate these were the highest prices realized in more than a decade for a condominium (including larger units) in Patriot Square.
Possibly because the sellers were encouraged by these higher selling prices, a number of condominiums have recently come on the market in Patriot Square. There are presently on the MLS as I write this total of eight active listings. In addition, I alone will be adding two more in the next week. Their asking prices range from $80,000 for a renovated one bedroom to $139,500 for 2 three bedroom/2 bath ground floor units. A very rough form of comparison is price realized per square foot. From August through October 2016, the median price per square foot of sold units was $58.00. During the same period a year later in 2017, the comparable figure was $81.00 per square foot. (Median price per square foot for all closed units on MLS)
So given these increases, how would I advise a prospective buyer right now? Assuming the time is right for your individual circumstance, I suggest looking and buying now while there is more inventory from which to choose. In all likelihood, (there is no certainty in real estate) prices are going to continue going up, assuming no international or national macroeconomic disaster. Here's why I say that:
1. Many baby boomers retiring from northern big city metropolitan areas are increasingly attracted to St. Petersburg. The "Burg" has become known in recent years as a progressive city that combines balmy climate, beautiful scenery, and a relatively laid-back lifestyle with wonderful urban cultural and artistic amenities. And, all with a relatively modest cost-of-living. There aren't many over-55 communities in St. Pete proper with the recreational amenities and significant number of spacious condominiums at a reasonable cost that can be found in Patriot Square.
2. Location, Location, Location is the first law of real estate. Patriot Square has good shopping nearby, is convenient to the Gulf beaches at St. Pete Beach and Fort DeSoto Park, with the vibrant downtown areas of both St. Petersburg and Gulfport relatively short distances away. The area around Patriot Square has been picking up with new shopping venues and buildings going up after the City designated the Skyway Marina District.
http://www.stpete.org/economic_development/redevelopment/skyway_marina.php
Just a few blocks south of Patriot Square is a mammoth new pier project at Maximo Moorings. Prices in adjacent Broadmoor and nearby Maximo Moorings for single family homes (not on the water) of about the same vintage as Patriot Square sell for about twice as much per square foot.
3. Patriot Square, in my opinion, offers the best value of any gated, over-55 community in St. Petersburg. The word is increasingly out! There is no reason given the economy and increased interest of baby boomers in St. Petersburg that the coming winter and spring will be as busy as a year ago. Given that there was virtually no available inventory left in Patriot Square last April, I suspect that all of the desirable units in Patriot Square will be under contract by mid-March, if not earlier. That's why you should look and consider buying right now before the Snowbird buying season starts in January 2018!
Prospective buyers should be aware that Patriot Square owners were recently informed of an upcoming special assessment. This is the first special assessment in many years that I'm aware of. In addition to using existing deferred maintenance reserves, roughly $900,000 in addition is estimated for the following projects: isolated building stabilization of a number of buildings that suffer cracking, painting/sealing/waterproofing of all the buildings. and external vertical cast iron pipe lining for 11 buildings. The HOA plans to have the final cost figure available at their next meeting on December 13th as well as a plan whereby owners can choose to make monthly payments for the assessment. Prospective buyers should study materials related to the assessment and work projects carefully. Any offer to buy should make it clear just who is responsible for paying the special assessment.
With that in mind, there will meantime be a cooperative open house in Patriot Square on Saturday December 2 from 11am to 2pm. There will be a number of condos open for viewing which makes it a convenient time for the buyer to compare. We are arranging with the HOA to keep the main gate open along 37th St. S until at least 2pm. Once you enter the complex, there will be signs pointing you to the various properties that are open for viewing. If you can't make it that day, we can arrange individual viewings at other times.
As I pointed out last November in this blog, that situation seemingly began to change in 2015-2016 as available inventory dwindled at Patriot Square. After reviewing the latest statistics from the past few months, it appears that the upward movement in prices strengthened carried through most of 2017. Two of my Phase I listings (3 bedroom or 2 bedroom/den) closed in September 2017 for $132,000 a furnished 2nd floor unit and $136,000 for a downstairs unit. MLS statistics indicate these were the highest prices realized in more than a decade for a condominium (including larger units) in Patriot Square.
Possibly because the sellers were encouraged by these higher selling prices, a number of condominiums have recently come on the market in Patriot Square. There are presently on the MLS as I write this total of eight active listings. In addition, I alone will be adding two more in the next week. Their asking prices range from $80,000 for a renovated one bedroom to $139,500 for 2 three bedroom/2 bath ground floor units. A very rough form of comparison is price realized per square foot. From August through October 2016, the median price per square foot of sold units was $58.00. During the same period a year later in 2017, the comparable figure was $81.00 per square foot. (Median price per square foot for all closed units on MLS)
So given these increases, how would I advise a prospective buyer right now? Assuming the time is right for your individual circumstance, I suggest looking and buying now while there is more inventory from which to choose. In all likelihood, (there is no certainty in real estate) prices are going to continue going up, assuming no international or national macroeconomic disaster. Here's why I say that:
1. Many baby boomers retiring from northern big city metropolitan areas are increasingly attracted to St. Petersburg. The "Burg" has become known in recent years as a progressive city that combines balmy climate, beautiful scenery, and a relatively laid-back lifestyle with wonderful urban cultural and artistic amenities. And, all with a relatively modest cost-of-living. There aren't many over-55 communities in St. Pete proper with the recreational amenities and significant number of spacious condominiums at a reasonable cost that can be found in Patriot Square.
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| City Logo...there's lots of pelicans to see at Maximo Moorings, within walking distance of Patriot Square |
2. Location, Location, Location is the first law of real estate. Patriot Square has good shopping nearby, is convenient to the Gulf beaches at St. Pete Beach and Fort DeSoto Park, with the vibrant downtown areas of both St. Petersburg and Gulfport relatively short distances away. The area around Patriot Square has been picking up with new shopping venues and buildings going up after the City designated the Skyway Marina District.
http://www.stpete.org/economic_development/redevelopment/skyway_marina.php
Just a few blocks south of Patriot Square is a mammoth new pier project at Maximo Moorings. Prices in adjacent Broadmoor and nearby Maximo Moorings for single family homes (not on the water) of about the same vintage as Patriot Square sell for about twice as much per square foot.
3. Patriot Square, in my opinion, offers the best value of any gated, over-55 community in St. Petersburg. The word is increasingly out! There is no reason given the economy and increased interest of baby boomers in St. Petersburg that the coming winter and spring will be as busy as a year ago. Given that there was virtually no available inventory left in Patriot Square last April, I suspect that all of the desirable units in Patriot Square will be under contract by mid-March, if not earlier. That's why you should look and consider buying right now before the Snowbird buying season starts in January 2018!
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| Large almost Olympic size heated pool at Patriot Square |
Prospective buyers should be aware that Patriot Square owners were recently informed of an upcoming special assessment. This is the first special assessment in many years that I'm aware of. In addition to using existing deferred maintenance reserves, roughly $900,000 in addition is estimated for the following projects: isolated building stabilization of a number of buildings that suffer cracking, painting/sealing/waterproofing of all the buildings. and external vertical cast iron pipe lining for 11 buildings. The HOA plans to have the final cost figure available at their next meeting on December 13th as well as a plan whereby owners can choose to make monthly payments for the assessment. Prospective buyers should study materials related to the assessment and work projects carefully. Any offer to buy should make it clear just who is responsible for paying the special assessment.
With that in mind, there will meantime be a cooperative open house in Patriot Square on Saturday December 2 from 11am to 2pm. There will be a number of condos open for viewing which makes it a convenient time for the buyer to compare. We are arranging with the HOA to keep the main gate open along 37th St. S until at least 2pm. Once you enter the complex, there will be signs pointing you to the various properties that are open for viewing. If you can't make it that day, we can arrange individual viewings at other times.
