People are not aware of the construction costs related to design and architecture.
If you ask a buyer whether he wants exceptional architecture, a security guard 24 hours a day, spectacular lounges and other stunning common public areas, high end appliances and finishing options, abundant windows, a LEED feature, etc. etc. Almost all buyers will answer yes without hesitation BUT … because there is a major but. If you ask the same question but mentioning the impact on the purchase price and payments on the condominium … ah surprise the answer will be slightly different and in line with the real needs and desires of buyers.
The craze for an upcoming project does not mean anything if the buyer has no idea about the purchase price. A good project is a balance between geographical position, quality, aesthetics and especially the price. I often say:
” There are no bad projects, there are only bad prices” – Patrice Groleau
Because it’s true, even a project with some weaknesses starting at a certain price can be as interesting if not more than a project that could be described as “perfect” or at least meet the expectations of the majority keeping in mind a quality/price ratio.
I see too many buyers looking forward to a project to launch only to realize the final prices fall between $500 & $700 a square foot for a poorly positioned, and with a “unit mix” of very large area units (1,000 + sq. ft.) making the final price rapidly beyond the half million mark before taxes & garages. Compared to projects with a similar quality, better location priced at $400 a square foot, with streamlined and maximized spaces that allow for purchase prices between $200,000 & $500,000 which is more realistic for the common buyers.
The upscale project, which define condos as over $500 per square foot, and over 1000 square feet of living space for more than half a million dollars cannot have drawbacks. The location should be exceptional: a waterfront property, facing a park, a key area of the city with high property value, close to a major attraction; design, architecture and the signature of the project must be perfect. A buyer who has more than half a million to invest in an exceptional condo, namely a penthouse can opt for a more affordable project with good quality versus extreme luxury at maximum price. Wealthy buyers should be the Kings of their tower rather than being a nobody in a tower full of Kings.
McGill real estate owner & Real estate broker
Patrice Groleau was born and raised in Quebec. He completed a Bachelor’s degree in human resources at the Université du Québec à Montréal, as well as a graduate degree in Entrepreneurship at the Université de Sherbrooke and in Advanced Project Management from McGill University in Montreal. Patrice Groleau obtained licenses in Risk Management from the Université du Québec à Montréal and Canadian Securities from the Canadian Securities Institute, as well as a Real Estate Agent degree and a Chartered Real Estate Broker’s & Agency Excecutive Officer (AEO) degree from the Collège de l’immobilier du Québec.
Member of the Organisme d’autoréglementation du courtage immobilier du Québec (OACIQ) and of the Greater Montreal Real Estate Board, Mr. Groleau also has a solid background in finance, having worked for several major financial institutions.