Welcome to City-Data.com Forum!
U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Real Estate
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 11-04-2014, 12:49 PM
 
14,418 posts, read 20,494,024 times
Reputation: 7973

Advertisements

A group of investors are interested in acquiring a small number of rental properties. Two happen to be in a historical district. Being in a historical district how would the future development of that area affect the investment? Scenarios such as the city wants to develop that entire area and they buy up all the lots at higher prices and demolish the buildings. Or in some legal but unknown way they could force the residents to sell at big discounts to value, move, or vacate and the investment is lost or greatly diminished.
Reply With Quote Quick reply to this message

 
Old 11-04-2014, 01:34 PM
 
5,048 posts, read 9,569,876 times
Reputation: 4179
What side are you on?

I'm a little confused. You're speaking of future development of that area (the historic district) affecting the investment.

Do you mean the investors would try to develop the area, tear down historic homes, etc?
Reply With Quote Quick reply to this message
 
Old 11-04-2014, 01:38 PM
 
Location: Scottsdale, AZ
2,150 posts, read 5,148,655 times
Reputation: 3303
If it is in a registered historical district it will be very difficult to obtain properties for destruction. The very purpose of most historical districts is preservation of existing structures that have historical significance. Having said that of course anyone/organization with enough money and political clout can change existing laws in their favor.
Reply With Quote Quick reply to this message
 
Old 11-04-2014, 02:33 PM
 
587 posts, read 912,296 times
Reputation: 812
I am also confused. In most historical districts, destroying property is not permitted. The city can't decide to buy everything and tear it down. Is this an unofficial historic district?
Reply With Quote Quick reply to this message
 
Old 11-04-2014, 02:36 PM
 
14,418 posts, read 20,494,024 times
Reputation: 7973
The investors are plain Joe people.
Buying residential property in a historical district should (could) in some way, be different (as in risks or reward) than buying outside a historical district. And of course the city is not going to reveal the risks, if any.
If there are no risks then the group can proceed. We know another person who sold their land to the state and came out many 100's of % better off.
Reply With Quote Quick reply to this message
 
Old 11-04-2014, 02:43 PM
 
14,418 posts, read 20,494,024 times
Reputation: 7973
Quote:
Originally Posted by harlowvart View Post
I am also confused. In most historical districts, destroying property is not permitted. The city can't decide to buy everything and tear it down. Is this an unofficial historic district?
If you saw some of the dwellings in the entire half square mile area you'd vomit.
So forget your visualization of beautiful houses built in 1830 and to be preserved.
Forget tearing it down. Pretend there are no structures. The question is can the group get rich because someone wants to develop the area or can they lose all they have in the two properties due to some risk in buying in a historical district. The dwellings are low income housing at best so the land is what could be valuable in the future if someone wanted all the land to build some history related projects.
Reply With Quote Quick reply to this message
 
Old 11-04-2014, 05:09 PM
 
Location: Philaburbia
41,786 posts, read 74,806,151 times
Reputation: 66709
Let me get out my crystal ball ...

Is it or isn't it a historic district? I'm not quite understanding the issue. Most historic districts do not allow development unless severely restricted to fit the historic character of the neighborhood.
Reply With Quote Quick reply to this message
 
Old 11-04-2014, 05:16 PM
 
4,676 posts, read 9,949,286 times
Reputation: 4908
If this is a qualified historic district, the group would be handstrung bybuilding codes for the district.

And funny how following these codes always cost more money.
Reply With Quote Quick reply to this message
 
Old 11-04-2014, 10:37 PM
 
4,463 posts, read 6,210,668 times
Reputation: 2046
This sounds like real estate speculation, in my area there are groups of people that bought up land on the otherside of where a bridge was suppose to get built too, the state started talking about that bridge in the 60's. I think some of the investors have died and its very likely their heirs will die before a bridge is ever built.

But that's how people get rich. You don't make money buying property in areas where its already expensive.
Reply With Quote Quick reply to this message
 
Old 11-05-2014, 05:56 AM
 
Location: Youngstown, Oh.
5,501 posts, read 9,451,011 times
Reputation: 5606
It seems to me that, if you're buying inexpensive houses in a distressed historic district, you're doing so to restore or renovate them, trying to spur revitalization/gentrification of the neighborhood.

Being in a historic district should make it more difficult to tear the existing houses down for new development, by anyone. (city or private owner)
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:


Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Real Estate
Similar Threads

All times are GMT -6.

© 2005-2024, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Contact Us - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37 - Top