Free car! Great prizes!

Condo builders offer gimmicks to lure buyers

A car with every condo, auctioning units at a discount price, and an open house to rival all open houses.
Those gimmicks have been offered lately by Jersey City developers who want to sell high-priced condos in a tough economy. Those who haven’t turned to offering rentals instead are trying harder to get buyers.

More than just an open house
The 22-unit development m650 Flats, located at 650 Mongomery St., held an unusual open house in downtown Jersey City on June 13.
The multi-tiered open house at the building was a celebration of the fact that the developers won an award for historic preservation. It was also a charity event to raise funds for rebuild the region of Abruzzo, Italy that was devastated by an earthquake in April, and an exhibition of the works of local famed artist Duda Penteado.
Anthony Carrino of Brunelleschi Construction, the developers of m650 Flats, said during the event that the open house was a “meaningful” way to do more than just throw a party.
Carrino said his building has gotten great attention in the community, but that it has been a tough economy, with only seven of the 22 units sold so far.
City Council President Mariano Vega said he didn’t see the open house as a “gimmick” but that the economy “caused them to be creative.”

A car with every penthouse

Since May, Canco Lofts, the 500-unit condo complex on Dey Street near Journal Square, has offered a car with every penthouse sold.
The cars offered are Passion Coupe Smart Cars, with a retail price of $15,000. The offer runs until the end of July.
Calls to Canco’s sales office were not returned to comment on the offer.

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“I honestly believe this abatement is very helpful not just to the new buyers but also for Jersey City residents.” – Brian Fisher
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Canco has had problems selling the first 202 units put on the market almost two years ago, with about 100 sold so far. The converted can company building overlooks the beginning of Routes 1 & 9 in Jersey City. The units sell in the range of $350,000 to $850,000.

A crystal clear reason

Brian Fisher was adamant last week that Jersey City’s City Council approve the revised abatement for his Crystal Point development. An abatement deal allows developers to pay a different tax rate to the city than regular property owners do.
Only 24 of the 269 units on Second Street have sold in the past seven months, and Fisher reduced prices by 30 percent while pursuing the revised abatement so that he could continue to offer deals.
“I honestly believe this abatement is very helpful not just to the new buyers but also for Jersey City residents,” Fisher said last week.
The building, still under construction, will have prices starting in the mid-$400,000 range.

Did someone say ‘Auction’?

The developer of the Beacon condos in Jersey City announced recently that 25 one- and two-bedroom luxury condominiums would be auctioned off Saturday, June 27.
Metrovest Equities, the developer of the Beacon, retained the services of Sheldon Good & Co. Auctions N.E., LLC to carry out the auction at the Hyatt Jersey City hotel.
Twelve of the homes were to be sold “Absolute” regardless of price. That means any bid price during the auction or a minimum acceptable price set by the developer will be accepted.
Suggested opening bids ranged from $150,000 to $250,000 for residences originally priced from $380,000 to $700,000.
At the auction, the winning bidders have to provide a certified check for $15,000 (for a one-bedroom unit) or $25,000 (for a two-bedroom).
Before the auction, all bidders had to attend an open house at the Beacon and pay for a $20 bid package.
George Filopoulos, President of Metrovest Equities, said in a recent press release that the auction is a “proactive approach” to closing out the community’s first phase of 315 homes, and allow Metrovest to accelerate the opening of The Beacon’s second phase.
Filopoulos stated that it was not done as “a distress sale” but will “cut months off of our current marketing program, resulting in considerable savings that will be passed on to the buying public through discounted pricing.”
The Beacon, located at the site of the old Jersey City Medical Center, will ultimately include 10 buildings containing 1,200 luxury residences and 80,000 square feet of retail space.
Ricardo Kaulessar can be reached at rkaulessar@hudsonrreporter.com.

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