Vantage Pointe is offered 5% to buyers for February 26th purchase (see message below.) What I found most interesting was that ~3 months ago their sales office was only requiring 2.5% down to enter into a purchase agreement. So much for their initial buyers down payment.
“Great News!
Vantage Pointe is one of the most successful developments in downtown
San Diego today. With almost 300 sales to date, we are quickly
approaching our sales target. To achieve our goal immediately, Point of
View is offering to the next 20 purchasers 5% off on selected units.
This offer is going to the public on Sunday, February 26th, 2006. As you
are a preferred client on our Vantage Pointe’s interest list, we would
like to give you the first opportunity to take advantage of our new
limited time offer.
With two-bedroom suites from the high $300,000s, this means a savings to
you of approximately $20,000 or more!
If you want to take advantage of the Vantage Pointe offer you can call
to make an appointment with our friendly sales staff or simply come down
to our sales centre before Sunday, February 26th to beat the crowd.
Here’s Another Incentive.
If you purchase at Vantage Pointe, then refer a family member or friend
resulting in a new 2006 sale at Vantage Pointe, you will receive $2,500
towards options and upgrades for your new residence – in addition to the
5% sales price reduction!
Act now to take advantage of these timely opportunities to enjoy life
from a new vantage point in the heart of bustling Downtown San Diego.
You can imagine the stunning views from Coronado to Balboa Park, not to
mention the sparkling amenities including a private rooftop pool and
spa, community event room, media center, and fitness room.
For complete details, call 619-696-8000 or visit the Vantage Pointe
Sales Center at 664 6th Avenue, before this offer is released to the
general public.”
All this means is that the project won’t get built right now. They dug a big hole but haven’t done anything else to the site for a few months now.
They will give back the buyer’s deposits and put the project on the shelf. There are at least 5 that I know of right now that have been delayed indefinitely.
I would be surprised if you saw a new high-rise break ground in downtown San Diego for a while. High construction costs and flat to declining revenues have effectively put the market in check for the near future.
Some of those buyers were not “flippers” and may actually want to live downtown. They may have to look at other projects already built. This should take up some of the excess supply in the current market.
We’ll see. In good times, the builders needed about 40% of the building under contract with hard money deposits before the bank would fund the construction loan. On this project, that would equate to 272 of the 679 planned units.
The email states, “With almost 300 sales to date, we are quickly approaching our sales target. To achieve our goal immediately, Point of View is offering to the next 20 purchasers 5% off on selected units.
Their “sales target” is 679 units, not 300. I would bet that they have about 250 reservations and need the remaining 20 to get to their 40%.
Well, I’m pretty sure I would never buy one of these condos.
However, I do find it difficult to resist the panache associated with spelling the word ‘Point’ with an ‘e’, and will have to take this factor into consideration.
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