Charlotte Newberger April 28, 2008

As many of you know, a real estate career is very arduous and time consuming.  In recent years, professionals have adopted the practice of “teaming” with another professional, and as the adage goes: “Many hands make light work”.  Light work seems to have eluded me, but the partner has come to me in the magnificent visage of a veteran of over 33 years in the Chicago Real Estate market, an owner\broker of Beliard Gordon & Partners and recipient of a lifetime achievement award from the Chicago Association of Realtors: Charlotte Newberger.  With a combined 47 years of real estate experience, Charlotte and I have been a “team“ for over 2 years and are enjoying great success in representing clients with the utmost professionalism and an advanced marketing system.

Read about Charlotte and look forward to posts from her in the coming days and weeks!

I came across an interesting article in the Crains edition of Chicago Real Estate Daily on the sale of large apartment buildings in the Chicago Market declining in the first quarter of 2008.  Sales of large apartment buildings (in excess of $10,000,000) were not brisk -to say the least – in the first quarter (declined 56%).  One the brighter side and to reference my blog about investment properties; the outlook has improved for landlords in recent months.  Rents for downtown apartments remain near an all-time high, and occupancies at top-tier buildings stood at 91.3% at the end of last year, according to Chicago-based Appraisal Research Counselors.

 

Parking in Chicago + Artropolis April 25, 2008

One of most frequent questions a Realtor in Chicago is asked is “Should I buy parking with the unit?”  Unquestionably the answer is YES!  Even if you do not own a car, when you sell a condominium or co-op, you will have a much higher buyer pool if parking is conveyed.

The cost for parking in the Gold Coast, Lincoln Park and Lakeview areas can widely vary.  When considering a property, first carefully read the MLS sheet to ascertain whether parking is included in the purchase price or if there is an extra charge.  If it is deeded parking, you will pay taxes and usually an assessment on the space.  if it is a limited common element, you will usually only pay an assessment.  If it is rental, ask if the rental agreement is transferable to the new owner.  You do not want any surprises at closing.

Do not automatically discard a property if the parking is not “on site”.  This only means that the parking is located in another building but with some areas, that could be mere steps away.  Ask before you rule the home out.

With the cost for deeded parking in high rises or new developments ranging from $10,000 to over $100,000 a space, car sharing programs are gaining in popularity in the downtown area.  I-Go car sharing is the most popular in Chicago.  Members can rent cars hourly and keep them as long as necessary.

If you need to find parking in Chicago for a day trip, a great site to use is Parking Anytime.  Simply enter your destination address and it will provide lots, garages and parking meter fee information.  Also provided on this site is Permit Parking information for the neighborhoods!  Very handy.

We all see taxi cabs in profusion, but did you know that Chicago had Water Taxis? Try Shoreline Commuter Chicago River Taxi service or Chicago River Taxi Service

Of course, when traveling to Chicago from any of the suburbs, the best choice is always Metra, Pace or theCTA (Chicago Transit Authority)!

For the fun “Chicago” tip of the day:

Artropolis runs April 25 -28 at the Merchandise Mart.

5 art shows at the Mart open to the pubic!

 

Art Chicago – 12th floor

Intuit Show of Folk & Outsider Art – 8th floor

The International Antique Fair – 8th floor

Next (the invitational exhibition of emerging art)  – 7th floor

The Artist Project  – independent artist exhibition and sale – 8th floor

Click here for free tickets to this great event.

Arthur Rubloff. What would he think now!?! April 24, 2008

Arthur Rubloff founded Rubloff in 1930. 

From humble beginnings, Rubloff built the largest real estate company of its kind in Chicago. A visionary and innovator, Arthur Rubloff has been called “the man who changed the face of Chicago.” His pioneering ideas were catalysts for dozens of developments that have indelibly enhanced our city’s skyline. Rubloff coined the nickname “Mag Mile” for the section of North Michigan Avenue that extends from Oak Street to the Chicago River, and which today includes the award-winning One Magnificent Mile, the building that houses our corporate headquarters.

Arthur Rubloff created the master plan for the North Loop, and sponsored the redevelopment of Old Town, today one of the city’s most exclusive neighborhoods. He built the Carl Sandburg Village development of residential high-rises on the city’s Near North Side. Rubloff also developed Hyde Park’s University Gardens, and office buildings for many corporate headquarters in Chicago. By the 1980s, the company was operating in a dozen U.S. cities.

As a philanthropist, Arthur Rubloff was unrivaled.  A visit to the Art Institute of Chicago will undoubtedly bring you into the Arthur Rubloff Building.  Law students at Northwestern University will certainly know the Rubloff Law Library Building, and St. Xavier University just opened a new residence hall: Arthur Rubloff Hall which incidentally is a “green” building!

In 1996, the partnership of Howard Weinstein and Tom Horwich acquired Rubloff’s residential division. Weinstein had been the company’s C.O.O. and president, and Horwich also brought a background in real estate development and management. Their hands-on management style and capital investments to expand offices and services have built Rubloff Residential Properties into one of Chicago’s most respected and efficacious real estate firms. In the fall of 2006, the company expanded beyond the city by opening a new office in Evanston, to begin serving the communities of the North Shore.

The company that Arthur Rubloff founded has continued the philanthropic spirit.  Agents gave generously to the Tsumani Relief Fund and their contributions were generously matched by Messers Weinstein and Horwich.  The same was true with the Katrina Relief fund. More recently, Rubloff North Shore held a coat drive in late 2007 andRubloff Lincoln Park hosted its 1st Annual Blood Drive in conjunction with Lifesourcein February 2008.  This weekend, Rubloff Lincoln Park agents along with their Managing Broker, Darlene Litte, will be spotted at the intersection of Lincoln, Halsted and Fullerton avenues raising money for Misericordia Candy Days.

On the technology front, Rubloff has pioneered again with a wonderful new website! If you think you have seen websites that ease the search for new homes…..this one will amaze you!  First of it’s kind in the Chicago market, the polygon rubber banding tool is especially interesting.  Click here and enjoy the trip!

My Chicago “thing” of the day is Misericordia Candy Days.  Located on Chicago’s north side, Misericordia is home to over 550 children and adults with developmental disabilities.  Candy Days start tomorrow.  When you see the volunteers with the bright red aprons on the street corners, give generously.  It is for a great cause.

Investment Property – Not just two flats anymore! April 24, 2008

When I began selling real estate in Chicago in the early 1990’s, purchasing an investment property usually meant buying a two flat or similar multi-unit building and renting out the apartments.  Sometimes my buyers wanted a live/rent situation wherein they occupied one of the units and leased the remaining ones.  Included in this type of investment was a considerable amount of time spent on maintaining a property.  Of course, landlords could hire a company to do this for them, but most companies only managed large portfolios. 

The practice of buying mult-unit buildings for investment remains largely unchanged in 2008.  There has been an additional trending in the past few years however, that opens the options for investors who want a limited role in the maintenance of properties or for those who have limited  resources and need to start investing on a smaller scale: Purchasing units in high rise condominiums.  With this type of rental unit, investors can instruct the tenant to call building maintenance on staff for minor maintenance or lock out service.  The financial responsibility of large ticket items such as new air conditioning condensors or a new roof are  paid for by the association through the monthly assessment or, if funds are not available, a special assessment shared by all the homeowners.

I am in the latter category.  Several years ago, I began investing in lake front condominiums near universities and have been blessed with wonderful tenants.  Since my time is largely devoted to my real estate career, this provides an excellent way for me do the “let someone else pay my mortgage” thing while building equity and still never having to personally fix a stuck window, leaky toilet or open a door when a tenant gets locked out.

Any buyer interested in investing in income property should weigh the options of a live/rent home (you are always available to your tenant), a multi unit building in which you are not an occupant but will be expected to maintain the structure and units, and the convenience of investing in a high rise.

Should you choose the high rise route, here are some suggestions:

• Choose a location where potential renters are looking for property.  These locations include near a university, hospital or major city attraction like the lake.  
• Read the condominium documents, rules and regulations carefully.  You must choose a building where tenancy is not prohibited nor projected to be in the near future.
• Choose a building with ample parking.
• Choose a building near public transportation.
• Choose a building with a good maintenance staff and on site management.
• Before investing, ask yourself if you would want to live there.  You will get a more dependable tenant and the property will have a greater likelihood of rising in value if it is well maintained not only by the resident homeowners, but absentee owners as well.

Click here for a link to an overview of high rise buildings in Chicago.

Of course, two flats, three flats, and their ilk will always be popular.  Before purchasing however, ask these questions:

• In the case of a live/rent situation: “Do I want to live in the same building as my tenant?”  Remember that you will always be on call.
• In the case of a multi unit building in which you do not occupy one of the units: “Am I prepared to maintain the building on my own?”  The maintenance not only will emcompass a leaking roof in need of repair, but a leaky toilet as well!
• If it is a large multi unit, or you are not the home improvement type, investigate management compaies.  Make absouletly clear the possibility of retaining the services of a cost effective, reliable property manager.

Click herefor an overview of Chicago neighborhoods.  Knowing the neighborhoods is a first step to wisely choosing multi unit investment.

IMPORTANT NOTE: Whether you choose to start small or dive right into a multi-unit building, ALL landlord/tenant relationships in Chicago are governed by

Chicago’s Residential Landlord and Tenant Ordinance. 

My featured listing for the day is not in a high rise, but is near a university and would be ideal for an investor.  6528 N. Glenwood, #2 is located mere blocks from Lake Michigan, the EL, and Loyola University…and yes, it has garage parking!

Earth Day 2 – Green Buildings – What are they and how do they work? April 22, 2008

According to Wikipedia, Green building is the practice of increasing the efficiency with which buildings use resources while reducing building impacts on human health and the environment, through better siting, design, construction, operation, maintenance, and removal — the complete building life cycle.

In Chicago, we have an abundance of ways we can go green.  With our vintage housing stock being rehabbed, we can save timber from flooring and joists to reuse in new construction.  Living in the heartland, we have access to materials that have a minimal impact on the environment such as bamboo flooring, rooftop gardens for energy conservation, sustainable energy panels installed on new and existing construction, and high efficiency appliances and low flow toilets.  My favorites are Carlisle Wide Plank Flooring, Chicago Gardens,  ABT Electronics and Energy Star Appliances for appliances, and The Solar Panel Store for information on solar panels for residential use.Recently some savvy developers and rehab specialists in Chicago have hit a chord with the concept of “Green Buildings”.  The cynic in me says this is a ploy to attract buyers but upon closer inspection, I think these buildings are the wave of the future.

Existing Structures

The Chicago Center for Green Technology is a  model for the nation as it is only the third building in the United States to be designed according to the LEED rating system using the highest standards of green technology available. It is the only one of the three that is a renovation of an existing building and the only one accessible by public transportation.

A great resource for existing homes is Greenbean.  Peruse this site for more information on existing homes located at 1313 W. Ohio; 1840 N. Leavitt, 3905 N. Janssen and more.

Two expamples of new developments are:

• Emerald (123 S. Green Street)  Emerald features eco-friendly products wherever practical such as bamboo flooring, low-VOC paint and beautiful fabrics made from recycled fiber. Even th marketing materials utilize recycled paper manufactured with windpower and printed with soy inks. (reprinted from the Emerald website)
• The Winthrop Club Condominiums in Evanston (1567 Maple): a prime example of the benefits green building holds for all. It has been designed to capture more than 25 different credits in LEED’s five rating categories (reprinted from the Winthrop Club web site)

For more information on going green in your own home, read this interesting CNNMoney article about the benefit to homeowners for jumping on the green bandwagon.

Fun “Chicago” thing today is a vegan, vegetarian, and whole food restaurant, my favorite is Blind Faith in Evanston.

Earth Day – Part One April 22, 2008

Tomorrow is Earth Day.  

Ways to observe Earth Day in and around Chicago:

1. Become active in, donate to and become aware of Chicago Wilderness.  Chicago Wilderness is a regional nature reserve that includes more than 225,000 acres of protected natural lands. This network of wild spaces contains globally significant natural communities. 
2. Celebrate Earth Day with the City of Chicago on Tuesday, April 22 from 10am-3pm on Daley Plaza (50 W. Washington) and learn how you can make little changes in your daily activities that help the environment. Enjoy demonstrations and exhibits that are earth friendly! Free Visit the City of Chicago Earth Day 2008 Webpage for more information.
3. Walk.  Ditch the cars keys and take an afternoon and explore your own wonderful Chicago neighborhood! 
4. When asked: “Paper or Plastic?’ reply “Neither!” and provide your own tote!  You can get them everywhere these days.  For motivation, read this great article found on the Sierra Club web site.
5. If you are at the market and your tote is at home be informed about your answer.  Click here to read an eye opening National Geographic Magazine article about plastic grocery bags the the effect on our environment! 

Tomorrow: Green buildings.  What are they and how do they work?

Today’s fun thing in Chicago:

The Peggy Notebaert Nature Museum!  If you can’t visit the Museum, visit the web site!  There is a great page on making your roof “green!”

Home Staging – Is it worth the investment? April 19, 2008

Staging – for lack of a better definition, is preparing your home for sale. Home stagers have gained incredible popularity in the past few years due in part to the popular HGTV series Designed to Sell.  Staging neutralizes, freshens, and gives your home that “I love this place” feel buyers expect.  In my experience, it is absouletly essential to being competitive and it sells your home at a higher price in a shorter amount of time. Staging also helps your home compete with the flashy developer models buyers are considering.

The market is competitive and buyers are picky and my investment of time and money is best spent on a home that has been staged.

I stage ALL of my listings.  

Who pays for staging? 

That depends on your Realtor.  I pay for the initial consultation.  This is usually $100- $150.  I request the stager send an email enumerating the suggestions he/she makes to my client and to me.  I also request an estimate of costs to implement the changes.  My seller and I then discuss the list and go forward accordingly.  The seller usually pays for the changes.

How detailed or involved is home staging? 

Again this depends on the condition, price point, home owner furnishings and art available to the stager and over all cleanliness. Stagers generally will use clean, timeless furniture, art work and accessories the homeowner already has.  Purchased items usually included towels, linens and paint.

Here are the ten secrets of selling from Marelene Wharmby, a successful home stager.

Freshen up the home by painting walls a light, neutral color, such as antique white. Lighter colors appeal to a wider range of buyers and make each room look larger.

Take a close look at the floor coverings in each room. If you have hardwood floors under the carpet, you will always make money by removing it, even if the floor is not in perfect condition.

Allow as much light as possible to enter the room. Open up or remove all draperies, blinds, shades or other window coverings.

Removing the clutterof everyday life – all utilitarian items, stacks of papers, toiletries, kitchen utensils, electronic equipment and television sets.

Remove furniture from each room that does not go with the decor, such as items that stand out too much and items that are worn or of an unappealing color.

Place the remaining room furnishings in a way that makes best use of the character of the space. A room should be balanced so that people do not focus on one particular piece of furniture.

Now that you’ve removed the clutter from your home, adding some nice but inexpensive accessories will greatly elevate the perceived value of the home.

Clean, clean, clean. Every crevasse within the home should be spotless and gleaming. Even your normal weekly cleaning can not come close to the quality of clean you need.

You can’t over spend on fresh plants and orchids, elaborate floral arrangements and landscape plants. All these provide a strong addition to the ambience you want to create.

Go on vacation! The houses that sell for much higher prices are homes that do not have the slightly disheveled look which comes with showering in the morning and cooking dinner in the evening. Being gone also will lower your level of stress and make the house easier to sell. Think of it this way: Your vacation will actually make you money.

To find an accredited home stager, ask your Realtor for a recommendation or check out the Accredited Home Stager Website. It is well worth the investment! 

My favorite fun thing in Chicago for today is:

The shops of Oak Street (1000 North & Michigan Avenue).  Rodeo Drive has little on us!  Whether a spending spree or just window shopping, enjoy this premiere shopping district then pop in to The Drake Hotel  (140 East Walton) for afternoon tea in the Palm Court.  (Reservations are recommended.)  A perfect afternoon!

Condo Hotels in Chicago April 18, 2008

A new phenomena has cropped up in the past 5 years in the Chicago market: Condo Hotels.   Popular in New York and Miami for over a decade, these are properties that offer a twist on the fractional ownership concept of ‘timeshare’ days.  These types of properties operate as a hotel with all the expected amenities but are conveyed with a closing, title and deed and come with the legal and financial structure of a condominium.

Choosing to purchase in a condo hotel allows the investor to own a property without the worry of upkeep.  Of course, maintenance isn’t free.  Not only are condo hotels usually more costly to purchase, a daily fee is levied during the times you occupy the home for items such as maintenance, housekeeping and utilities.   Purchasing a hotel room offers the benefit of purchasing in desired locations within Chicago, full amenity service, defraying the expense of the purchase by renting it out and, last but certainly not least, having the luxury of being able to choose times you would like to occupy the space.    One item of caution: you usually have no say in the decorating choices but if you like “5-star chic”, this may not be a bother.

In Chicago, currently there are several choices:

• Raffaello: 201 E. Delaware   Almost sold out but resales are available
• Trump Hotel Chicago:  401 N. Wabash –Approximately 40% are still available from Developer.  Resales however are starting to enter the market
• Elysian  11 E. Walton (located at Rush, State & Walton) Developer units still available
• ShangraLa- 121 E. Wacker  Waterview suites still available
• Mandarin Oriental -160 N. Stetson Great opportunities for ownership still available  
• Amalfi Hotel 20 W. Kinzie  Resale units available

Not all is rosy in the Condo Hotel World however.  Projects that announced and then were withdrawn from the market include:

• Canyon Ranch
• Fairmont Hotel

Hotel Condos are a perfect choice for many looking for luxury in the Windy City.

For more information on any of the Hotel Options available, call me!  I know them all and can help you navigate the muddy waters of your new “Hotel Home!”

My fun tip of the day: Gethsemane Garden Center.  Gethsemane is, in this gardeners opinion, the best garden center around.  Pricey, but well worth it.

The Cubs are in town this weekend! April 17, 2008

Surviving my first week blogging has been much more than survival…it has been fun.  I have had great feedback and comments regarding content, information and format. Thanks to all whom have contributed such wonderful suggestions!

No real estate today (well, not much….) Today:

The Cubbies!

Anyone living or visiting Lakeview on the north side of Chicago during the spring and summer, MUST keep an eye out for the baseball schedule.  The Cubs are in town playing Pittsburgh.  Watch for a 12:05 game on Saturday and a 1:20 game on Sunday.  Some eschew the Wrigley Field area during Cubs games.  Not me.  I get such a rush from the excitement of the crowd, the teeming energy on the street, the vendors hawking their goods.  There is no other place like it!  Raised as a Braves fan and still able to recit the line up when I went to my first MLB game, I now find myself addicted to the Cubs and joyfully join the chorus singing the oft heard refrain “Next year is here!”  

Real estate must enter somehow, so as a note:

I have a gorgeous listing in Wrigleyville.  Truly a special condo, it is on a quiet block just a few blocks from the Lakefront, the El and great restaurants.  Have a peek, make an appointment! 3714 N. Fremont, #2

Happy Passover to everyone – especially Charlotte and her wonderful family!

An Appraiser Viewpoint and….Gardening!? April 16, 2008

One of the best websites I have seen for a “differing” approach to gauging the market conditions is WagnerAppraisal .  This site is maintained by one of the leading appraisal companies in the Chicago area.  In business for more than 3 generations, it is a well spring of information and worth navagating.  The article that peeked my interest this month deals with the housing statistics for Chicago and the number months it would take to go through the inventory in differing price points. (Page 28 has the statistics regarding Lincoln Park and the Gold Coast.)  The accompanying newsletter also provides a wealth of information. 

When thinking of selling or purchasing in Chicago, it is important to know the market from differing viewpoints and a good Realtor and seasoned veteran of the Chicago market can serve as your source. I always want my clients to have more and more information. This approach of educating my buyers and sellers has proven to gives my clients the confidence to rely on my expertise at the end of the day.

Not all of life revolves around real estate and to that end, I will try to include sites for fun and entertainment in my daily blogs.  For those longing to get started with your garden and feel the cool silk of a great planting mix,  a wonderful site to inspire you is the Chicago Botanic Garden website.