Call it a sign of the times, but the Rhythm condos at Music Row have prices that are climbing faster than any high-rise condo in Nashville.
A brief timeline: The Rhythm condos began construction at the beginning of 2007 and were completed in 2009. Pre-sales efforts took place during this entire process and condos were sold for an average of $365.17 per square foot. Approximately 75% of the 105 total condos were pre-sold, but when the building opened, only half of the original buyers closed. Clearly, 2009 was a difficult economic time for the country and the Rhythm was not immune. Throughout the balance of 2009 until the end of 2010 the developer continued to sell units. This effort resulted in the sale of 30 additional condos at an average price of $277.20 per square foot. At the beginning of 2011 buyers could smell blood in the water and by the middle of the year the developers were able to reach a settlement with their construction lenders to turn the unsold condos over in a “friendly foreclosure”. Release prices were lowered and all of the remaining condos were very quickly sold at an average of $241.14 per square foot. The last few bank owned condos closed by the second quarter of 2012 and prices have not looked back since.
2012 Q1 Rhythm Condo Sales
2012 Q2 Rhythm Condo Sales
2012 Q3 Rhythm Condo Sales
Current Rhythm Condos for Sale
(#602 is one of my listings and it was sold in less than a week)
Rhythm Condo Price Analysis
As you can see from the active and pending listings, we have been very successful in raising prices since the 1st quarter. We’ve gone from an average of $249/ft to just over $350/ft in the space of only 9 months (I say we, because my team and I at Metropolitan Brokers have listed and sold many of these condos). This price increase represents a nearly 39% jump in under a year. No other high-rise condo in Nashville has come close. All seven Nashville high-rise condo buildings have realized year over year price increases with the Icon and the Adelicia posting the second and third highest gains. The Icon condos have increased prices 17.24% year over year and the Adelicia condos have increased prices 14.81% year over year.
Selling your High-Rise Condo in Nashville
As many know, not only did I represent more than 22% of the buyers and sellers in Rhythm at Music Row, but I have represented almost 300 other condo buyers and sellers in Nashville. It is from this vast experience that I know pricing is not the only skill required of a listing agent. One must also know how to work with appraisers in order to help support these higher prices once contracted. An agent must have lending resources that can help secure buyers advantageous loans and not lose a potential sale over interest rates or mortgage terms. Your agent must know your building like the back of their hand; they must be able to recite the differences in the floor plans, the views and know what is being developed immediately around your building. Selling is no longer just pricing and putting in the MLS. To properly turn a building around in this economy you need knowledge, skill, reputation, leadership and experience.
With sales of over 300 condos (5 this month) and sales volume exceeding $100 million since 2004, no other broker in Tennessee who did not work directly for the developer can come close to my numbers and expertise. I have always worked for private clients and understand what it is to fully market and engage the marketplace. If you are considering selling your condo within the next year, I would love to interview for your business. If you are not and simply want to know what your condo is worth, I have built a tool to calculate your current market value.
Grant Hammond, Broker, ABR, SFR
Call or Text: 615-945-7123
Condos@GrantHammond.com
