Speculative Office tower PLEASE!

[rockhilljames]

So, Doug's recent column listed Charlotte's downtown vacancy rate at 4.7%. In other markets, anything below 10% triggers developers to announce spec towers, but NOT in Charlotte.

WHY?!! I know usually it's BofA and Wachovia building the towers, but why haven't national developers noticed and targeted the tight downtown office market?

[keer5771]

So, Doug's recent column listed Charlotte's downtown vacancy rate at 4.7%. In other markets, anything below 10% triggers developers to announce spec towers, but NOT in Charlotte.

WHY?!! I know usually it's BofA and Wachovia building the towers, but why haven't national developers noticed and targeted the tight downtown office market?

[DigitalSky]

Expect a 50+ story office tower announcement soon. I can't disclose who or where, unfortunately.

[krazeeboi]

So, Doug's recent column listed Charlotte's downtown vacancy rate at 4.7%. In other markets, anything below 10% triggers developers to announce spec towers, but NOT in Charlotte.

WHY?!! I know usually it's BofA and Wachovia building the towers, but why haven't national developers noticed and targeted the tight downtown office market?

[uptownliving]

Well I know they are not spec, but both the NASCAR tower and Wachovia tower will add almost 1.2M sq ft of office space to downtown in the next 3 years. Not all of that space is preleased so I would expect the vacancy rate to make a jump when these buildings come on the market.

[keer5771]

I'm not necessairly talking about you, but I don't understand why this information cannot be disclosed on message boards - isn't part of the point of usernames to keep you anonymous?

[rooster8]

^^^^It's probably better to keep quiet about the whole thing. That way you don't kill the deal and you also don't get our hopes up.

[sleightofhand]

Wow! A 50 plus office story building by someone other than BOA or Wachovia! I'll take it!

[turbocraig]

Hmm.... I wonder if this is something that was rumored a few years back (and forgotten about nearly just as long). Interesting...

[Richhamleigh, DC]

How about a question about high-rise APARTMENTS? I don't think it warrants a whole thread but in other cities, high rise housing appears to be shifting to apartments. This appears to be a gapping hole in Charlotte's evolution. Isn't the apartment vacancy rate low? When, or will, does Charlotte start to see high-rise apartment towers begin to be proposed and coming on-line?

[turbocraig]

Wouldn't the high cost of construction materials these days force rents to be astronomical in high-rise apartment buildings? Like mortgage-quality rental rates. I think high-rise apts are a ways off, but I'd love to be wrong. Or maybe there really is an untapped market for people that can afford an expensive apartment, and just choose not to own... who knows?

[Richhamleigh, DC]

Here's a link to "Hartford 21" - a great project in my old hometown...

It's all apartments...

Hartford 21

If Hartford can - so can Charlotte?

[monsoon]

How about a question about high-rise APARTMENTS? I don't think it warrants a whole thread but in other cities, high rise housing appears to be shifting to apartments. This appears to be a gapping hole in Charlotte's evolution. Isn't the apartment vacancy rate low? When, or will, does Charlotte start to see high-rise apartment towers begin to be proposed and coming on-line?

[uptowner]

Expect a 50+ story office tower announcement soon. I can't disclose who or where, unfortunately.

[orulz]

Could keer5771 be talking about a re-design of (what was it) 300 South Tryon? Wasn't that project still in play, only with a redesign in the pipe, and pending the baseball stadium deal?

[atlrvr]

Well I know they are not spec, but both the NASCAR tower and Wachovia tower will add almost 1.2M sq ft of office space to downtown in the next 3 years. Not all of that space is preleased so I would expect the vacancy rate to make a jump when these buildings come on the market.

[dubone]

The high rise apartment talk can go here: http://www.urbanplanet.org/forums/index.php?showtopic=22536

I'd love to see speculative office, but I haven't been wishing too much for it with materials costs so high, and prospective tenants so missing.

But there will be tremendous amounts of office space coming here in 2009, despite expectations that we were still in a slump. With a new announcement generally going for a 2010-2011 timeframe, I'd hope keer's rumor is true and pans out.

300 S Tryon seems to be the most likely spot, as it was the most stubbornly alive during the last slump, and Mass Mutual/Spectrum could have an infusement of cash from 230 S Tryon closings this winter. We've also seen a number of different renderings for this tower over the last year and a bit.

[cltheel.sdl]

^ What do the different renderings look like?

[DigitalSky]

It has less to do with anonymity than possibly putting deals in jeopardy by letting the cat out of the bag. I'd think you guys would rather have deals get done and buildings built than get your insider info at the expense of killing a deal.

[dubone]

^ What do the different renderings look like?

[monsoon]

It has less to do with anonymity than possibly putting deals in jeopardy by letting the cat out of the bag. I'd think you guys would rather have deals get done and buildings built than get your insider info at the expense of killing a deal.

[dubone]

There are also non-disclosure agreements, jinx-theory, and general courtesy to not leak contract negotiations before signatures.

Remember, UPeepers, rumors are rumors and might turn out to be false or fizzled.

[keer5771]

It's hard to image that projects or "deals" with sound business plans could be affected by the cogitations on our web forum.

[rockhilljames]

I'll do you one better. The Charlotte Knights quietly tried to assemble land in South End for a stadium through holding companies. Word got out and the asking prices skyrocketed.

No stadium.

[AuLukey]

I do agree with keer in that too much good news can lead to bad news such as property value increasing or owners holding out for more cash when they know they are the last spot needed to begin a large project.

As for spec, any word yet on the second of the Westin towers?