Really, Downtown Orlando? (Miami, Fort Lauderdale, Ocoee: apartment, rental market, lofts)

[willr12]

I am an Orlando native who relocated to Chicago (Lakeview) a few years ago. I lived near UCF, in Ocoee, and most recently in Hunter's Creek. As it looks like I will be moving back, I started scoping out the apartment scene. I thought about Dr. Phillips, maybe Winter Park, or even back to Hunter's Creek. Then I though, what the hell, why not downtown?

Now I know. The rental prices are absurd. It is more expensive to live in a Downtown Orlando than in almost any decent high-rise in Downtown Chicago or in Lakeview. What gives? It isn't like there's a plethora of compelling nightlife, restaurants, entertainment, or cultural attractions.

Are we talking simple supply/demand, greed, or people who want to pretend to be urban?

[Crane's Rooster]

Downtown Orlando is FAR from being downtown Chicago so supply is way short of demand. That being said I find hard to believe the prices are higher than a comparable place in Chi. When I lived in downtown Boston a 1 br in an old brownstone cost more way more than 1 br condo in downtown Orlando and it those old brownstones were far from modern. A modern condo in Boston is easily over $2000 for a 2br, is Orlando really more expensive than that or Chi less expensive?

[willr12]

I haven't looked at walk-ups/houses, but was just comparing high and mid-rises. In Chicago: We almost lived in a place in the Loop, just across the river from plenty of bars/restuarants, steps away from bus and L lines and the Chicago Theater. It had a balcony, doorman, etc. It was $1400/mo for a 1br. I know people that live in River North (still considered downtown-ish) and pay $1600-2200 depending on floor/amenities. Landmark, swanky buildings. We now live on the 43rd floor, overlooking the skyline and Lake Michigan. We are close to many bars and restaurants (featured on Food Network), and a 10 min WALK to Wrigley Field. We pay $1500/mo.

I looked 2 weeks in Orlando. Low floor units in 55W, the Paramount, Park something, and a few other buildings whose names escape me were starting at $1200-1400 for studios and $1600-1800 for 1 bedrooms. I think it's absurd, but if there is really that much of a demand I'd imagine there would be more development and fewer empty units.

[Crane's Rooster]

Wow, that's amazing. I need to move to Chicago, no wonder everyone wants to move there, that is by far the cheapest I've heard for good housing in a major urban city.

[IAm_FloridaBorn]

Originally Posted by willr12

I haven't looked at walk-ups/houses, but was just comparing high and mid-rises. In Chicago: We almost lived in a place in the Loop, just across the river from plenty of bars/restuarants, steps away from bus and L lines and the Chicago Theater. It had a balcony, doorman, etc. It was $1400/mo for a 1br. I know people that live in River North (still considered downtown-ish) and pay $1600-2200 depending on floor/amenities. Landmark, swanky buildings. We now live on the 43rd floor, overlooking the skyline and Lake Michigan. We are close to many bars and restaurants (featured on Food Network), and a 10 min WALK to Wrigley Field. We pay $1500/mo.

I looked 2 weeks in Orlando. Low floor units in 55W, the Paramount, Park something, and a few other buildings whose names escape me were starting at $1200-1400 for studios and $1600-1800 for 1 bedrooms. I think it's absurd, but if there is really that much of a demand I'd imagine there would be more development and fewer empty units.

Yup. a little too high. Thats why we chose not to move downtown.

[kyle19125]

[quote=willr12;25096963]I haven't looked at walk-ups/houses, but was just comparing high and mid-rises. In Chicago: We almost lived in a place in the Loop, just across the river from plenty of bars/restuarants, steps away from bus and L lines and the Chicago Theater. It had a balcony, doorman, etc. It was $1400/mo for a 1br. I know people that live in River North (still considered downtown-ish) and pay $1600-2200 depending on floor/amenities. Landmark, swanky buildings. We now live on the 43rd floor, overlooking the skyline and Lake Michigan. We are close to many bars and restaurants (featured on Food Network), and a 10 min WALK to Wrigley Field. We pay $1500/mo.

I looked 2 weeks in Orlando. Low floor units in 55W, the Paramount, Park something, and a few other buildings whose names escape me were starting at $1200-1400 for studios and $1600-1800 for 1 bedrooms. I think it's absurd, but if there is really that much of a demand I'd imagine there would be more development and fewer empty units.[/QUOTE

That is absurd, though in keeping with the self perception of many of those living here that it's a hyper-desirable place to live. Besides a lineup of college/frat-style pubs and a handful of restaurants, there isn't a whole lot of return on your rental dollar in downtown Orlando. Granted it provides close proximity if one works downtown but beyond that, not so much. Furthermore, besides Chicago one can find similar pricing (highrises with views) in Philadelphia (on Rittenhouse Square), Fort Lauderdale (Downtown/Las Olas), Miami (Downtown/Brickell Avenue), Atlanta (Downtown and Buckhead), Baltimore (Inner Harbor), Portland (OR)/Downtown, Houston (Downtown) and Dallas (Downtown and Uptown) to name a few. Orlando's value pales considerably in comparison.

Another topic altogether, but wonder how average salaries stack up in these comparisons?

[idr591]

The problem is, you can't really compare it to other cities unless you are actually going to move to those other cities. If this is where you choose to live, you can only compare it to the surrounding areas.

Compared to the surrounding areas, I would gladly pay double to live downtown. You are close to everything, you can walk to major events that are a hassle to everyone else, you have an amazing library, a great place to run/exercise, etc. etc.

In addition, there is something to be said for living around other young professionals who can afford the high rent.

[kyle19125]

Originally Posted by idr591

The problem is, you can't really compare it to other cities unless you are actually going to move to those other cities. If this is where you choose to live, you can only compare it to the surrounding areas.

Compared to the surrounding areas, I would gladly pay double to live downtown. You are close to everything, you can walk to major events that are a hassle to everyone else, you have an amazing library, a great place to run/exercise, etc. etc.

In addition, there is something to be said for living around other young professionals who can afford the high rent.

I think the issue is the salary to rent ratio and small population of young professionals. Apparently the developers paid for some really bad market research and/or the housing bubble allowed for much lower rent in larger square foot condos, etc. elsewhere.

[Downtown Steve]

Definitely a lack of supply. How many actual apartment buildings do we have (not counting condos?)

55 West
Paramount
Camden
Post Parkside

Add to that Steel House and Sky House and we've increased the number of rooms by what, 150%?

It seems like the amenities will increase more quickly than new housing between DPAC, SunRail, LYMMO, retail. I'm not sure if prices will come down.

One thing we are missing is industrial areas that can be converted into lofts and stuff. Everything we build is brand new and prices reflect that.

I wonder if some of that opportunity will open up in Downtown South if some of that industrial and commercial moves out with the realignment of freight rail away from the yard.

[Pete C]

Originally Posted by Downtown Steve

Definitely a lack of supply. How many actual apartment buildings do we have (not counting condos?)

55 West
Paramount
Camden
Post Parkside

Add to that Steel House and Sky House and we've increased the number of rooms by what, 150%?

It seems like the amenities will increase more quickly than new housing between DPAC, SunRail, LYMMO, retail. I'm not sure if prices will come down.

One thing we are missing is industrial areas that can be converted into lofts and stuff. Everything we build is brand new and prices reflect that.

I wonder if some of that opportunity will open up in Downtown South if some of that industrial and commercial moves out with the realignment of freight rail away from the yard.

You can add Aspire to that list, but there is still not enough. There is a waiting list at the Paramount and the prices are sky high. I was there for two years...got in back in 2009 when the market was really down and then the price just kept going up and up for new lessees as the rental market exploded. When I turned in my 2 month notice earlier this year on a 2-bedroom it was already reserved within a few days at $300 per month more than I was paying when I left.