A Presentation of Ultra-Luxury Condominium Trends Prepared for
Condominium Market Overview Re-emergence of Condominiums: Los Angeles Source: Polaris Appraisal Institute Cushman & Wakefield 2
Condominium Market Overview Re-emergence of Condominiums: San Diego Source: Polaris Appraisal Institute Cushman & Wakefield 3
Condominium Market Overview Construction Deliveries Appraisal Institute Cushman & Wakefield 4
Ultra-Luxury Condominium Projects Existing Inventory Developed Prior Cycle (2007 2010) SUMMARY OF LISTINGS AND SALES ULTRA-LUXURY CONDOMINIUM PROJECTS Recent Sales Statistics Competitive Condominiums Total Units Sold Remaining Current Listings Recent Sales Project Name Completed No. of No. of (Dev Dir) Ab/Mo. Listing Prices $/SF Sold Prices $/SF DOM Homeow ner's Dues Min Max Avg Location stories Units Min Max Avg Min Max Avg Avg Low High Sqft Sqft Sqft 1 Ritz-Carlton Residences S 2007 52 224 224 0 $1,024 $2,047 $1,194 $974 $1,576 $1,103 85 $0.79 $1.71 1,050 4,250 1,906 900 W Olympic Blvd CO 2015 4.3 Dow ntow n Los Angeles 2 The Montage Residences S 2007 8 20 20 0 $3,140 $3,140 $3,140 $2,329 $2,970 $2,661 93 $1.23 $1.61 2,820 3,865 3,502 225 North Canon Drive CO 2013 0.3 Beverly Hills 3 The Carlyle Residences S 2007 23 98 98 0 $1,328 $1,409 $1,382 $792 $1,471 $1,070 124 $0.55 $0.95 2,735 5,283 3,272 10776 Wilshire Blvd CO 2015 1.0 Wilshire Corridor - Westw ood 4 The Century S 2007 42 140 140 0 $1,327 $2,844 $2,073 $1,105 $1,979 $1,477 288 $0.70 $1.03 2,280 6,789 4,233 One Century Drive CO 2015 1.3 Century City 5 Beverly West Residences 2009 21 35 13 22 $1,835 $1,835 $1,835 $1,626 $2,072 $1,776 240 $1.11 $1.11 3,813 3,813 3,813 1200 Club View Drive 0.2 Wilshire Corridor - Westw ood 6 Waverly/Seychelle A 2014 6-8 158 158 0 N/A N/A N/A $834 $2,972 $1,392 111 $0.54 $1.61 849 3,041 1,572 1705-1755 Ocean Avenue CO 2016 4.9 Santa Monica Total Inventory: 1,126 $1,024 $3,140 $1,993 $792 $2,972 $1,725 157 $0.54 $1.71 849 6,789 3,382 Remaining: 22 Average Absorption: 2.1 Appraisal Institute Cushman & Wakefield 5
Ultra-Luxury Condominium Inventory/Pipeline Completed Appraisal Institute Cushman & Wakefield 6
Ultra-Luxury Condominium Inventory/Pipeline Completed Beverly West The Waverly/Seychelle Montage The Carlyle The Century Ritz Carlton Residences Appraisal Institute Cushman & Wakefield 7
Ultra-Luxury Condominium Inventory/Pipeline Under Construction Appraisal Institute Cushman & Wakefield 8
Ultra-Luxury Condominium Inventory/Pipeline Under Construction 8500 The Residences Four Seasons Residences Oceanwide Plaza Marriott EDITION Metropolis TEN50 Appraisal Institute Cushman & Wakefield 9
Ultra-Luxury Condominium Inventory/Pipeline COMPETITIVE ULTRA-LUXURY CONDOMINIUM INVENTORY / PIPELINE NUMBER OF UNITS Existing Inventory (Not Including Resales) Submarket / Location Status Avail. Beverly West Westwood Completed 22 TOTAL 22 Proposed Inventory 2016 2017 2018 Undetermined Ten50 DTLA - South Park Under Construction 151 888 South Hope DTLA - South Park Under Construction 521 8500 The Residences West Hollywood Under Construction 190 Metropolis DTLA - South Park Under Construction 310 510 740 Oceanwide Plaza DTLA - South Park Under Construction 504 Four Seasons Private Residences - Los Angeles West Los Angeles Under Construction 59 Marriott EDITION West Hollywood Under Construction 20 One Beverly Hills Beverly Hills Proposed 193 Beverly Hilton/Waldorf Astoria Beverly Hills Proposed 110 Hyatt Century Plaza Century City Proposed 353 1200 Figueroa DTLA - South Park Proposed 648 Shenzhen Hazens Tower DTLA - South Park Proposed 650 1201 South Grand DTLA - South Park Proposed 126 The Grand DTLA - South Park Proposed 128 940 Hill Street DTLA - South Park Proposed 232 1950 Avenue of the Stars Century City Proposed 483 Fairmont Miramar Hotel Residences Santa Monica Proposed 120 The Gayley at Wilshire Westwood Proposed 144 TOTAL 1,172 1,217 1,920 1,883 Compiled by Cushman and Wakefield Western, Inc. Appraisal Institute Cushman & Wakefield 10
Luxury Condominium Sell-Out Recent and Current Developer Direct Date Opened Current Status / Sold-out Project Total Units Submarket Timeframe Average Absorption Average Price/SF Low High TEN50 151 Downtown LA Mar-16 50 units reserved as of 6/16* 4 mos. 15.0 units per month 1 BR $600,000 $990,000 $875 $1,135 2 BR $869,000 $1,697,000 $823 $1,249 3 BR $890,000 $4,500,000 $793 $1,259 Metropolis - Phase I 308 Downtown LA Feb-15 231 units reserved as of 6/16* 17 mos. 14.4 units per month Studio $580,000 $587,000 $1,103 $1,105 1 BR $750,000 $921,000 $875 $964 2 BR $1,282,000 $1,911,000 $939 $1,111 Waverly/Seychelle 158 Santa Monica Jan-14 Jun-16 29 mos. 4.9 units per month 1 BR $915,000 $1,400,000 $1,078 $1,328 2 BR $1,890,000 $5,175,000 $1,380 $2,979 3 BR $3,600,000 $7,995,000 $1,805 $2,471 Ritz-Carlton Residences at LA Live 224 Downtown LA Apr-10 Jul-14 52 mos. 4.3 units per month 1 BR $1,165,000 $1,070 2 BR $1,958,889 $1,076 3 BR $6,700,000 $1,576 Source: Cushman and Wakefield Western, Inc. Average Absorption: 9.7 units per month *Sales pace is preliminary and based on pre-sale activity as reported by market participants LUXURY CONDOMINIUM SELL-OUT/ABSORPTION COMPARABLES As of June 2016 Appraisal Institute Cushman & Wakefield 11
Michele Kauffman, MAI Executive Managing Director Regional Manager, Southern California Pratice Group Co-Leader, Multifamily Valuation & Advisory Michele.Kauffman@cushwake.com +1 (213) 955 6495