Downtown St. Louis Residential Occupancy Report PDF Free Download

Downtown St. Louis Residential Occupancy Report 2015

Table of Contents Synopsis... 2 Downtown Core Population... 3 Downtown Core Occupancy... 4 Downtown Neighborhood Data... 5 Downtown West Neighborhood Data... 6 Downtown Condominium Data... 7 Appendix A: Map of Downtown St. Louis... 8 Appendix B: Downtown St. Louis Residential Density Map... 9 Downtown STL, Inc. 720 Olive St., Suite 450, St. Louis, MO 63101. (314) 436-6500 research@downtownstl.org To view available residential units for sale or rent, please visit www.downtownstl.org/live 1

Synopsis This residential occupancy report presents data from the recent housing survey conducted by Downtown STL, Inc. It focuses on the City s Downtown and Downtown West neighborhoods, which we define as the downtown core. Although information is only collected from property managers in these two neighborhoods, this report sometimes refers to greater downtown, which is a composition of five census tracts. Appendix A provides a graphic illustration of the aforementioned neighborhood boundaries. The key finding of the latest survey is that Downtown continued its growth and development in 2014. Over the past year, three new residential properties came to market, adding an additional 282 housing units to the downtown core. The downtown residential population has grown 4% during 2014, over 21% since 2010, and 133% since 2005. In comparison, the St. Louis Metropolitan Area remained relatively stable over the last decade. With about 900 residential units currently under development, we anticipate the residential growth to continue as these units become available in the near future. The data in this report is reflective of the downtown residential market as of March 2015. The numbers used to compile this data are drawn directly from the property owners or community managers of the residential properties within the downtown core. In case where an exact number is not available, an estimate is provided based on the data from previous years and current market trends. All data in this report pertaining to the downtown core is derived from this first-hand collection of information except where noted. While all residents are counted, the properties are counted toward occupancy rates only if they have been open for leasing or sale for at least one year. This information presented within this report is deemed reliable, but no warranty or representation is made as to the accuracy thereof 2

Number of Residents Number of Residents Downtown Core Population 8,286 residents in Downtown and Downtown West 17,719 residents in Greater Downtown (American Community Survey 5- Year Estimate, 2009-2013) Population Growth in Downtown Core 9,000 8,000 7,000 6,000 5,000 4,000 3,000 2,000 1,000-2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Year 5,000 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 6,396 Total Housing Units 4,705 Rental Units 1,026 Income Restricted Units 3,679 Market Rate Units 1,691 Condominiums Downtown Core Population by Neighborhood According to data gathered directly by Downtown STL, Inc., the downtown core continues to experience growth in residential population. Since 2005, there has been 133% increase in population in the Downtown and Downtown West neighborhoods. With newly opened residential properties leasing up and other buildings being redeveloped, residential population growth is anticipated to continue. Population Trend: 1 Year: 4% growth 3 Year: 12% growth - 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 5 Year: 33% growth Downtown Downtown West 3

Downtown Core Occupancy Downtown Core Occupancy Rates Residential Units in Downtown Core 92.9% Overall 3,500 3,000 2,500 2,000 91.1% Rental 91.4 % Market Rate 90.9% Income Restricted 97.8% Condo 1,500 1,000 500 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Downtown Downtown West 2014 Openings Tower at OPOP, 411 N. 8 th St., Downtown, 128 apartment units Tober Lofts, 1214 Washington Ave., Downtown West, 5 apartment units CityParc at Pine, 1531 Pine St., Downtown West, 149 senior apartment units Key Future Developments Arcade Building, 800 Olive St., Downtown, 282 apartment units Alverne, 1014 Locust St., Downtown, 81 apartment units Station Plaza, 1900 Pine St., Downtown West, 87 apartment units 720 Olive, 720 Olive St., Downtown, 111 apartment units 7,000 6,000 5,000 4,000 3,000 2,000 2,559 1,000 0 741 1,079 Residential Units in Downtown Core 1,957 2,710 2,661 1,831 2,801 1,728 1,723 2,942 2,776 1,727 1,682 1,645 3,459 3,442 3,600 1,691 3,679 190 371 503 687 833 833 918 919 863 1,026 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Condominium Market Rate Income Restricted Residential occupancy has remained strong in the downtown core. There was nearly 5% growth in the number of residential units over last year. Additionally, overall occupancy increased from 92% to 93%. The Arcade Building is anticipated to open in fall 2015, bringing nearly 300 additional residential units to the downtown core. With the continued strengthening of the downtown residential market since the recession, many apartments are now being converted into condominiums. 4

Downtown Neighborhood Data Downtown Neighborhood 3,104 Residential Units 3,972 Residents 4.2% Increase in residential units since last year 4,500 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 0 Downtown Neighborhood Trends 3,913 3,972 3,165 3,295 3,423 3,575 2,884 2,561 2,068 1,364 2,072 2,396 2,564 2,580 2,597 2,801 2,752 2,978 3,104 1,536 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Residential Units Population Population Growth 1 year: 1.5% 3 year: 16.0% 5 year: 25.5% Downtown Occupancy Rates 89.8 % Market Rate 90.4% Overall 89.0% Rental 85.4% Income Restricted 95.5% Condo Over 300 apartment units have been added in the Downtown neighborhood the last 3 years. This past year the Tower at OPOP opened, adding 128 new residential units. Several properties such as the Arcade building, Alverne and 720 Olive are being redeveloped. Most recently announced was the redevelopment of Crowne Plaza into 300 residential units and a boutique hotel. Residential Unit Type Breakdown in Downtown 20.0% 14.3% 65.7% Income Restricted Market Rate Condominium Total Inventory 445 Income Restricted Units 2,036 Market Rate Units 623 Condominiums 5

Downtown West Neighborhood Data Downtown West Neighborhood 3,292 Residential Units 5,000 4,000 3,000 Downtown West Neighborhood Trends 4,295 4,011 3,516 3,054 2,812 2,344 2,194 2,324 4,054 4,314 4,314 Residents 2,000 5.0% Increase in residential units since last year 1,000-1,951 2,086 2,723 2,753 2,923 2,735 3,303 3,291 3,134 3,292 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Residential Units Population Population Growth 1 year: 6.4% 3 year: 7.5% 5 year: 41.3% Downtown West Occupancy Rates 95.4% Overall 93.5% Rental 92.7 % Market Rate 96.5% Income Restricted 99.1% Condo Over 150 residential units were added to the Downtown West neighborhood in 2014. CityParc at Pine opened 149 income restricted, senior apartments and Tober Lofts opened up 5 market rate apartments. The Station Plaza redevelopment could bring an additional 87 residential units to the Downtown West neighborhood as early as 2016. Downtown West continues to hold a larger share of condo units than Downtown neighborhood. Residential Unit Type Breakdown in Downtown West Total Inventory 581 Income Restricted Units 32.4% 17.6% Income Restricted 1,643 Market Rate Units Market Rate 49.9% Condominium 1,068 Condos 6

Downtown Condominiums Number of Residential Units Sold 450 400 350 Great 300 Recession 250 200 150 100 50 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Source: City of St. Louis Assessor s Office Condominiums Sold 2003 111 2004 142 2005 310 2006 342 2007 390 2008 179 2009 77 2010 68 2011 92 2012 39 2013 91 2014 79 Condominium sales continue to slowly rebound after the Great Recession, which began in December of 2007. Data collected from the St. Louis Assessor s Office reflects that the average condo sale price remained above $200,000 in 2014. Even though fewer units were sold in 2014, data collected firsthand by Downtown, STL, Inc. reflects that occupancy rates are higher than they have been at any point over the last decade. These high occupancy rates have prompted some properties to convert rental units into condominiums. Year Total Annual Occupancy Units Change 2005 741 94% 2006 1079 +338 94% 2007 1957 +878 94% 2008 1831-126 82% 2009 1728-103 87% 2010 1723-5 89% 2011 1727 +4 92% 2012 1682-45 96% 2013 1645-37 97% 2014 1691 +46 98% Downtown Core: 97.8 % Condominium Occupancy Downtown: 95.5% Condominium Occupancy $300,000 $250,000 $200,000 $150,000 Average Condominium Sale Price Downtown West: 99.1% Condominium Occupancy $100,000 $50,000 Source: $0City of St. Louis Assessor s Office 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 7

Appendix A: Map of Downtown St. Louis 8

Appendix B: Downtown St. Louis Residential Density Map www.downtownstl.org