For more info visit http://www.CenterCityTeam.com/
Frank L. DeFazio, Esquire
Prudential Fox & Roach Realtors â€“ Society Hill
530 Walnut Street, Suite 260
Philadelphia, PA 19106
Developers like Symphony House, Western Union Building and Aria are all nearly sold out. in all these the developers have become more begotiable, each to a different degree. take a look at everything and decide what is a good buy for you.
This project is in receivership and the bank has retained Carl Dranoff to manage the transition of ownership. Mr. Dranoff is a highly skilled and successful Center City and Univ City developer with the agility to successfully step through the financing to save the project from troubled waters.
Essentially this boils down to purchasing leverage for buyers up to at lease 50% of building owner occupancy for several very good reasons.
1/ The building needs to generate sufficient funds to pay for operating costs, normally this occurs in the form of condo fees. So they need to quickly fill it up with live residents.
2/ New Fannie Mae condo rules requires 50% sold before they will insure a 'conventional' loan. This means that all transactions will be 'non-conforming' loans underwritten by a local bank ... and NOT branded lenders like Wells Fargo or Bank of America. So the develop must work with buyers on acquisition price nearly for a considerable time period.
The non-conforming loans will be a slightly higher rate than otherwise and the buyer will be required to put down at least 20% of the purchase price. After 50% of the units are sold to owner-occupants (not investor types), Fannie-Mae will start writing 'conforming' loans and branded lenders will become available to write loans for purchasing individual condominium units.
Underneath all of the building activity and turnover, the buyer should be aware that because of its size, the building, especially in the existing economy, will require perhaps 10 years to shake out.
The owner should purchase with the idea of a 10 year occupancy plan with the intention that it is 'housing' that will serve their urban lifestyle very nicely.
Coldwell Banker Preferred (Avenue Arts)
1401 Walnut St Eighth Floor
Please let me know if I can buy you a cup of coffee sometime soon.
R. Eric Axelson, Associate Broker
Kurfiss Sotheby's International Realty