MicroLofts in OKC?

[MikeOKC]

Would MicroLofts or Tiny Condos work in downtown Oklahoma City? I found an article on TinyHouseBlog (weird interest of mine) about tiny lofts in Vancouver. Very interesting as we're going through a downsize craze in this country anyway. Here's the article on the MicroLofts and a couple others I found.

Micro-lofts - The Shrinking Condo (Read the post comments too - interesting.)

CoolTown Studios - Mini Condos

fashionable living, with money left for life... moda apartments

With so many people clamoring for affordable housing downtown and so much talk about getting and keeping young creatives, twenty and thirty somethings, this seems like a way to provide "rooftops" at an affordable price downtown. These obviously aren't for everybody, but for many this is all they need or want. Seems like an opportunity for a developer with some guts. I think it just might work in OKC and shake up the center city living scene.

Take a look at what I'm talking about and leave your thoughts. It's nothing if not interesting.

By the way, that Cool Town Studios blog is awesome. You should take a few minutes and look through some of the posts. It's all about urban creative "crowdsourcing."

[circuitboard]

Looks pretty neat, not sure if OKC buyers would go for it though.

[Midtowner]

It's not going to happen in OKC until FHA backs off of its current financing requirements for condo developments.

[MikeOKC]

It's not going to happen in OKC until FHA backs off of its current financing requirements for condo developments.

I'm really curious about the concept as much as anything.

[fuzzytoad]

Looks pretty neat, not sure if OKC buyers would go for it though.

I know tons of people who would go for something like this, especially recent grads, and especially if it happened downtown.

Unless, of course, the current trend of overpricing the life out of everything just because it's downtown applies to them.

[Platemaker]

Google 'Katrina Cottage'... there many sellers of small, hella-cute, pre-fab houses.

[Midtowner]

I'm really curious about the concept as much as anything.

I don't think anyone is going to live in a glorified dorm room by choice. In cities where square footage is offered at a premium, this might be viable. OKC is not one of those cities even if developers want to force that premium.

Now, as a concept for a college dorm room, this'd be flippin' sweet.

[khook]

midtowner please explain to all of us what the FHA financing requirement for condos are and how it differs from their other financing requirement.

[MikeOKC]

I don't think anyone is going to live in a glorified dorm room by choice. In cities where square footage is offered at a premium, this might be viable. OKC is not one of those cities even if developers want to force that premium.

Now, as a concept for a college dorm room, this'd be flippin' sweet.

These are more than college dorm rooms. These are condos with great amenities but the units are very small. Like I said, not for everyone, but all many would want or need.

[RedDirt717]

I can see something like this going well right in the heart of downtown. Perhaps bust south of Deep Deuce, it would only work though, if there was a shopping center on the bottom floor complete with mini grocery, bar, coffee shop, a selection of restaurants and a general store.

No one wants to live in a showbox if they have to drive out of the city to get things to live and enjoy life anyway. These only work if the city becomes more "walkable" i.e. easy access to the things that make life easier to live.

[Midtowner]

midtowner please explain to all of us what the FHA financing requirement for condos are and how it differs from their other financing requirement.

The new requirements require developers to be able to pay 30 (or 33%?) cash up front in order to secure financing. That means that unless the developer has access to large sums of cash or have investors who have that sort of cash and are willing to risk it in this economy.

Someone correct me if I'm wrong. I'm not in that industry, I just try to pay attention to it.

[warreng88]

The new requirements require developers to be able to pay 30 (or 33%?) cash up front in order to secure financing. That means that unless the developer has access to large sums of cash or have investors who have that sort of cash and are willing to risk it in this economy.

Someone correct me if I'm wrong. I'm not in that industry, I just try to pay attention to it.

I work for a bank that does commercial financing and that is about right. Since all the stuff that happened in the banking industry in the last couple of years, banks have simply tightened their requirements (going from 80% LTV with 20% cash or other collateral down to 70% LTV with 30% cash down.) Also, if there is anything that would make the bank a little suspicious on your credit report, that would have to cleared up before moving forward.

[fsusurfer]

I work for a bank that does commercial financing and that is about right. Since all the stuff that happened in the banking industry in the last couple of years, banks have simply tightened their requirements (going from 80% LTV with 20% cash or other collateral down to 70% LTV with 30% cash down.) Also, if there is anything that would make the bank a little suspicious on your credit report, that would have to cleared up before moving forward.

Hence the hundreds of condos here in destin, and thousands throughout Florida that arent being sold. It's nearly impossible to get a normal loan to purchase a condo here, much less a FHA loan.

[benman]

I like the idea of these smaller apartment/condoss too. I have been thinking for a while that it would be cool to see areas with smaller houses or apartments that are the same quality as much more expensive ones. just because someone cant afford a million dollar house doesnt mean they dont desire million dollar finishes on a much smaller version. My question is (and yes im looking for feedback) is do people think they are getting a deal/do they justify the same sqft price as a more expensive place. Example: lets say a nice 1000 sqft condo sells for $200,000. That would be out of the price range for many young professionals. Now lets say someone builds some smaller condos of the same high quality and downsizes them to 500sqft @$200/sqft. Now you have a much more more affordable high quality condo for half the price, but half the size and the same price per foot. Do people think in these terms, or do yall think they dont mind paying a high dollar per foot as long as the finished product is in their price range?

[Midtowner]

benman, if I'm a young professional (I am) and I'm looking at that, I'm also thinking about resale.

That's a pretty damn big risk to take in this market. And with financing requirements being what they are, I can't think too many lenders would be willing to jump into bed with you on such a risk. That said, the condos over in Bricktown at the Centennial were in the ~$300/sq ft range and they sold out fast.

I guess you never know..

[benman]

benman, if I'm a young professional (I am) and I'm looking at that, I'm also thinking about resale.

That's a pretty damn big risk to take in this market. And with financing requirements being what they are, I can't think too many lenders would be willing to jump into bed with you on such a risk. That said, the condos over in Bricktown at the Centennial were in the ~$300/sq ft range and they sold out fast.

I guess you never know..

Not sure if I was very clear.. Im not saying I would build these (maybe someday), or asking if a lender would be on board. Im asking if younger people (and older) dont mind paying high $$ per sqft as long as something is in their price range. Affordability seems to be the theme on these. Basically, does simply cutting the price of a condo in half by cutting the size in half, while still building at a high $$/sqft justify it as "affordable." I think some people with say, $100,000 might jump all over it, while maybe someone else would break down the costs and still think its overpriced.

[Midtowner]

It's not for me, but something like this might be a hit near Devon with the oil and gas crowd which will soon be flocking to downtown.

It's still anything but a safe investment though. Trying to command Dallas prices in OKC when real estate can be had within five minutes of downtown for less than half what downtown developers are asking has risk written all over it though.

I do think that the rental market in these sorts of units might be strong though. Especially near the new law school when that moves downtown.

[betts]

Not sure if I was very clear.. Im not saying I would build these (maybe someday), or asking if a lender would be on board. Im asking if younger people (and older) dont mind paying high $$ per sqft as long as something is in their price range. Affordability seems to be the theme on these. Basically, does simply cutting the price of a condo in half by cutting the size in half, while still building at a high $$/sqft justify it as "affordable." I think some people with say, $100,000 might jump all over it, while maybe someone else would break down the costs and still think its overpriced.

I think there are probably a fair number of people who would choose quality over square footage, as long as the square footage is reasonably liveable. The square footage you're talking about is similar to that of a carriage house, and I've seen some of them that are really nice.

The plans for the Leslie in Maywood Park start at $99,000 and are in that square footage range. I know they wouldn't start it until they've sold more of the units in the Maywood Lofts, but they would be a great option for people.

theleslieatmaywoodpark.com

[fuzzytoad]

$99,000 for 560sq feet seems a bit high to me.. Does that include parking for a vehicle? I know there's not much within walking distance from those units, so a vehicle would be fairly necessary.

**edit: Actually it seems way too high considering there's places 2 or 3 times as big within 3 miles of that place for the same price.

[betts]

Again, fuzzytoad, it depends on what you get for the money, and what you want. If you get wood floors and granite countertops, really nice cabinetry and custom finishes, then that's what it costs, especially if they're going to use buildblock construction, which dramatically lowers utility bills, but is expensive to build. I'm not sure about parking. I know there are two parking spaces outside every building in the front, and I suspect there would be parking in the rear as well. As far as not being much within walking distance, I live nearby and I rarely drive. I walk to Bricktown, downtown or over to 9th Street to eat. I walk to the Harkins to go to the movies, and to the Ford Center or the Brick for games. I can walk to the Civic Center, the Art Museum, the Myriad Gardens....pretty much anywhere downtown in 10 minutes or less. The only thing missing is a grocery store, and I drive no farther to the grocery store at 16th and Classen than I did when I lived farther out.

Three miles from there means you certainly cannot walk.....or skateboard. Is anyone here the skateboarder I see wearing a business suit who rides to work? That's one of my favorite sights in the morning. Pretty funny.

[fuzzytoad]

Ah, well, I didn't take into account the interior design, and agree that the higher the quality, the higher the price.. I'll admit that I haven't even glanced at the insides of those Maywood Park units.. If it doesn't have an attached garage with room for a workshop, or a basement, I've not really paid attention

[metro]

I'd purchase one. I think there is enough market that we could probably support at least one development of these. I agree, I think it's more the price point than the price per square foot that is an issue. People want the downtown lifestyle, but it has to be affordable. Only so many people can afford $250K+ for a small condo. I would definitely trade my bigger condo in MidTown/SoSA for a smaller microcondo in the heart of downtown.

[MIKELS129]

I would definitely trade my bigger condo in MidTown/SoSA for a smaller microcondo in the heart of downtown.

What are the physical boundaries of The Heart of Downtown?

[metro]

Well technically downtown is defined as Classen on the West, NW 13th on the North, I235 on the east and the Oklahoma River south, but most people consider MidTown starting at either NW 4th or NW 6th. I'd consider downtown proper Broadway on the east, NW 4th on the north, Walker on the West and Reno on the south.

[lhendrix]

Micro Lofts and Lofts are coming to the Mideke. Watch for info.Exciting for Bricktown.
Affordable with a View......