Deals in the Gulch

A difficult downtown Nashville condo market is providing opportunities to potential buyers who are looking for a great deal. The Gulch is the latest area to get aggressive with price reductions and incentives.

The Terrazzo is offering up 30 of its units at an auction to be held on Saturday, November 21st. The starting bid will be at around 50% of their most recent asking prices. That means 1 bedroom/1 bath (891 square feet) that was $332,700 will start bidding at $159,000. A 2 bedroom/2 bath (1,320 square feet) that was $534,900 will start the bidding at $250,000. Of course, where the prices go from there is any one's guess.

The Terrazzo is the highest-end, "green" building in the up-and-coming Gulch. The units themselves have state of the art appliances and upgrades that you would expect from a luxury high rise. From the bamboo floors, wall windows, and high ceilings (although some are unfinished concrete), these units are very industrial chic. If there's a knock, it's that the views are often of the Icon (the next building over) or overlook I-40. I just previewed some of the auction units today and found a few units that have a nice downtown or Music Row view. The price has obviously been an issue, but that is changing.

Just down the street is the Velocity, which is having its grand opening party tonight (Thursday - November 5th). Velocity offers smaller, less expensive units than its Gulch counterparts (Icon and Terrazzo). This mid-rise condo development has 50% of its units under contract, and while they aren't drastically dropping their prices, they are offering incentives to encourage more buyers to the closing table. Whether it's a trip to Atlanta, Ikea furniture, or cash toward closing costs, Velocity is ready to deal.

Velocity units with 420 square feet start at around $140,000, 550 square feet - $160,000, 620 square feet - $170,000... moving up to the 2 bedroom/2 bath units - 1000 to 1250 square feet would be in the $260,000 to $340,000 price range. 1st floor units have 15 foot ceilings, patios, and access to walk out courtyards. Velocity also has some good gathering spaces, like a nice lounge area, fitness facility and rooftop deck.

If you couple the deals being offered with the $8,000 first time home buyers credit (which looks to be extended through April 2010), there are some tremendous opportunities in the condo market. The Gulch is on its way to becoming a vibrant downtown area. In the next few years, I believe we'll look back at this as the time to have bought in.

If you would like more information or help with any of these or other Nashville condos in the Nashville area, feel free to give me a call or write me jeff@jefffulmer.com. You can also visit my web-site at www.jefffulmer.com.