The historic Kaufman Lofts in downtown Kitchener have been a ‘destination’ building ever since construction on the condo conversion was announced.
People tell me “I want a Kaufman Loft!” Even if the loft is a bit smaller or pricier than another condominium they were looking at, the design, location and prestige put the project over the top.
Originally built in 1908, the building was formerly the Kaufman Footwear Plant.
One client saw a 750 sq foot unit in Waterloo for $135,000, and preferred the 710 sq foot Kaufman Loft at $210,000. The loft has a ‘cachet’ that just isn’t seen in most other developments in the area.
OK - people want to buy these to live in… but this brings us to the question: Is this an appealing real estate investment?
One of the biggest factors is location.
Located right on the corner of King St and Victoria Street in Kitchener, Ontario, it sits across from the brand new Downtown Kitchener Health Sciences Campus - which will house the University of Waterloo School of Pharmacy, the McMaster School of Medicine and the UW Optometry School.
OK - the condo’s are across the street from the new university campus. Sounds pretty good so far - let’s look into it a bit more.
- The school is projected to have 480 undergraduate and 70 graduate students, 50 faculty and staff.
- Upon completion, the UW Downtown Kitchener Health Sciences Campus expected
to bring hundreds of faculty members and staff to the city’s core each day.
This is no ordinary campus - it’s a campus full of people studying to be professionals, not regular undergraduates.
Most of these students tend to be academic-focused, want a nice, clean rental property near campus, and demand little else.
For the convenience, cleanliness and cachet, they’re usually willing to pay a premium.
I’ve seen 1 bedroom units renting between $1,000 and $1,200 a month, depending on upgrades and square footage.
Pretty healthy rental rates, but not a surprise when you consider how tight the rental market is in Kitchener Waterloo right now (click to read Vacancy Rate Falls in Kitchener Waterloo - Again).
What are the condos like inside?
This gorgeous 1 bedroom condominium at Kaufman (410 King Street West) just hit the market a few days ago for the low price of $180,900
It features polished concrete floors, twelve foot high ceilings, exposed ductwork and access to a roof top patio.
More things your future tenants will appreciate are the upgraded cabinets, luxurious Kitchen featuring a granite island,
stainless steel appliances, electric fireplace and an upgraded deep soaker tub.
How have these units performed for investors so far?
Great question! Let’s take a look at some numbers.
“When the lofts were first introduced to the market by the builder, prices ranged from $114,990 for a 515 sq. ft. unit, to $197,990 for a 1,120 sq. ft. unit. On a per square foot basis they averaged $203. Today, on the resale market, sold units have ranged from just under $150,000 to $299,900 with an average per square foot price of $281. For those original buyers of Phase 1 units (those who
purchased prior to the builder adding two storeys, increasing the number of units from 113 to 155 and the prices to an average of $249 per square foot) that means they have seen an average appreciation of 38 percent.”(source Exchange Morning Post (Exchange Magazine, March 17 2008)
Since Exchange published the story above, recent sales of condos in the complex have had listed prices between $164,900 and $219,900.
Currently there are available units with listed prices between $173,500 and $335,900.
If you are interested in learning about how a Kaufman Loft in Kitchener can fit into your real estate investment portfolio, call me now @ 519 570 4447.
I promise you a free, no obligation, educational discussion about your personal real estate goals.
Doesn’t get much easier than that.
-
Kitchener Waterloo’s Favourite Real Estate Agent** wants to show you how Real Estate
Investing can make you wealthy. Benjamin works with people from all across
Ontario and Canada - and recently, the world! - helping them build wealth
through smart real estate investments.
Benjamin is a Sales Representative with Keller Williams Golden Triangle
Realty in Kitchener Waterloo and would love to answer any questions about
buying, selling and owning a rental, income or investment property.
You can reach Benjamin at Benjamin(AT)BenjaminBach.com or call
him at 519 570 4447
**Gold Award, Kitchener Waterloo Record Readers Select Awards 2007 - 2008
/>
BlogoSquare