Announcement

Collapse
No announcement yet.

"The Lofts" or "Allure" Waikiki condos?

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • "The Lofts" or "Allure" Waikiki condos?

    Mainland acquaintances, who've spent some time on Oahu over the years and know their own lifestyle preferences, are considering buying a Waikiki condo. They'd probably be spending most of the year overseas yet they're not enamored of landlording-- perhaps a snowbird rental for 3-4 months/year.

    They've been working with a Prudential realtor for some time and they're looking at two choices: "The Lofts" at 437 Launiu (http://www.morehawaii.com/Loft_at_Wa...and_prices.htm) or "Allure" at 1837 Kalakaua (http://www.allurewaikiki.com/). They understand that this is upper-crust luxury real estate, not your typical $300K median Oahu condo, and they're willing to pay up for the location & amenities. Rumor is that the Loft places are selling at a 10% discount. The Allure condos may be discounted as much as 20-25% since they're still under construction and may not be ready for occupancy before April. They understand that these condos aren't cheap by any local standards but they're coming from an area with much higher real estate prices, they have the money for the down payment, and they have the credit ratings for the mortgage. They understand that the condo values might continue to slump for a few more years. They're not interested in making money but they'd rather not be locked out of the market by any sudden price jumps.

    They're going to take a good hard look at other places before they make any offers, although I suspect the realtor will be putting on heavy sales pressure. I don't spend much time in Waikiki, and I don't know more about these places than I read in the newspapers. Anyone know of any issues with these two condos or their homeowner's associations? Any gossip or other info that isn't being reported in the media? Any problems with neighborhood bars or bus stops or traffic? Any other issues they should watch out for? I doubt they'd be interested in Trump and maybe not the Colony Surf, but are there any other luxury condos that they'd want to take a look at?
    Youth may be wasted on the young, but retirement is wasted on the old.
    Live like you're dying, invest like you're immortal.
    We grow old if we stop playing, but it's never too late to have a happy childhood.
    Forget about who you were-- discover who you are.

  • #2
    Re: "The Lofts" or "Allure" Waikiki condos?

    Altho' I don't know anything about it, the Watermark at 1551 Ala Wai looks like a really nice building. I stare at it every day from my condo!!! Plus it's a great location on a dead end street.

    Comment


    • #3
      Re: "The Lofts" or "Allure" Waikiki condos?

      pssst... i hear that legislators are thinking about increasing the conveyance fees for folks who are not hawaii residents. and that the city will soon be raising property taxes for non-resident property owners.

      oh wait, that was just my thinking out loud. ha.

      not trying to scare away rich folks, just folks that raise the value of housing to beyond what the average local can afford. we want to encourage investment, just not real estate investment for the sake of rich folks having a second home without paying their fair share of city and state taxes.

      this is probably the most socialistic stance i have on any issue.

      Comment


      • #4
        Re: "The Lofts" or "Allure" Waikiki condos?

        Originally posted by tutusue View Post
        Altho' I don't know anything about it, the Watermark at 1551 Ala Wai looks like a really nice building. I stare at it every day from my condo!!! Plus it's a great location on a dead end street.
        Thanks, they're taking a look.

        Interesting problem with comparing condos seems to be the way they handle association fees. Some include water/sewer, internet access, and CATV. I don't know if that's an attempt to avoid having to install individual utility meters or an opportunity for management to keep a bunch of volume discounts and pass on retail prices to the owners.

        It reminds me of trying to compare auto/home/liability insurance policies.
        Youth may be wasted on the young, but retirement is wasted on the old.
        Live like you're dying, invest like you're immortal.
        We grow old if we stop playing, but it's never too late to have a happy childhood.
        Forget about who you were-- discover who you are.

        Comment


        • #5
          Re: "The Lofts" or "Allure" Waikiki condos?

          Originally posted by Nords View Post
          [...]
          Interesting problem with comparing condos seems to be the way they handle association fees. Some include water/sewer, internet access, and CATV. I don't know if that's an attempt to avoid having to install individual utility meters or an opportunity for management to keep a bunch of volume discounts and pass on retail prices to the owners.[...]
          Just curious if you or your friends have come across any condo building that doesn't include water/sewer. Possibly smaller complexes might? I own in 2 fairly large complexes...454 units in Makaha and 666 units in town. Both were built in the 1970s. Makaha is considered "low rent". Town is considered "upscale" (whatever that means!). Both include cable tv altho' Makaha's package is basic. In town we get more frills! I would like to think that management was looking out for owners when it's probably a combo of your reasons.

          Another difference is A/C. Makaha originally started out as an efficiency hotel. There are window pukas for individual A/C units and my guess is each unit had one during it's tenure as a hotel. Come to think of it, why would each unit have it's own meter if the building is a hotel? Now I'm wondering if, when it went condo during the mid 80s, individual electricity meters were installed at that time. Anyway, town's building has central air that's paid for via the maintenance fees.

          Comment


          • #6
            Re: "The Lofts" or "Allure" Waikiki condos?

            Originally posted by tutusue View Post
            Just curious if you or your friends have come across any condo building that doesn't include water/sewer. Possibly smaller complexes might?
            That's a good question; I'll ask them. I was surprised to hear that water/sewer was included in the first place, but upon further reflection we recalled that Moanalualani (Red Hill) doesn't have individual water meters either. Sounds like penny savings for pound foolishness.

            Spouse and I have been looking at eventual empty-nester aging-in-place real estate (I'm only 49 years old but this yardwork stuff is getting old too) and we're having a hard time seeing the value of $500/month association fees. It'd drive me nuts to see leaky sprinklers, peeling paint, or some other material deficiency and know that I was paying someone else to add it to their "To Do" list. I can barely stand to pay Mililani's $33/month fees unless I think of it as insurance premiums.

            Condos offer a lot of convenience, but over the life of a 30-year mortgage that $500/month is $180K plus inflation-- perhaps a higher initial interest expense (even at today's low rates) but still a very high price to pay for property care. With what I've learned in the last month, it makes better sense to landlord our rental single-family home for another few decades (oboy, more yardwork!) and eventually make it our primary residence again. And if I can't fix a leaky sprinkler when I'm 102 years old then at least I'll be able to tap into all those years of savings to pay someone else to do it.

            I suppose that included water/sewer would be a "value" of $100-$150/mo within that $500/mo association fee. But if it's not individually metered then the residents have no incentive to be good stewards, so a tragedy of the commons results in higher expenses for all. And both of those issues would drive me nuts too.
            Youth may be wasted on the young, but retirement is wasted on the old.
            Live like you're dying, invest like you're immortal.
            We grow old if we stop playing, but it's never too late to have a happy childhood.
            Forget about who you were-- discover who you are.

            Comment


            • #7
              Re: "The Lofts" or "Allure" Waikiki condos?

              Update:

              After spending a month of trips prowling Waikiki with a realtor, and seeing at least one of everything in this thread, they bought an older condo near Diamond Head. Two-story split-level in buildings without elevators, and the monthly association fees are "not unreasonable". Their unit has been recently rehabbed. They paid top dollar because this address doesn't come on the market very often and usually has an offer before the first showing.

              The real estate market seems to be recovering, or at least it's bottomed out. Some of the places they looked at ended up in bidding wars. The realtor tried the good ol' tactics of "interest rates are rising" and "you can't always get exactly what you want in Hawaii, and you have to buy now before prices rise beyond your ability to afford them".

              They're still in escrow but the inspection went fine and the appraisal should go OK. They're talking about renting it out for a year or two while they wrap up their careers and get ready to downsize.

              Thanks again for all the suggestions and advice. I learned a lot about Waikiki real estate and I'm not quite as jaundiced against condos as I was a couple months ago.
              Youth may be wasted on the young, but retirement is wasted on the old.
              Live like you're dying, invest like you're immortal.
              We grow old if we stop playing, but it's never too late to have a happy childhood.
              Forget about who you were-- discover who you are.

              Comment


              • #8
                Re: "The Lofts" or "Allure" Waikiki condos?

                Originally posted by Nords View Post
                I suppose that included water/sewer would be a "value" of $100-$150/mo within that $500/mo association fee. But if it's not individually metered then the residents have no incentive to be good stewards, so a tragedy of the commons results in higher expenses for all. And both of those issues would drive me nuts too.
                Uaifi and I are conservationists. It drives us nuts too! There is no incentive to conserve if water and electricity are included in the HOA fees. We bust our butts to conserve while our neighbor operates the A/C with their windows open. We have not had any success in finding a condo in Honolulu that does not include some of these utilities in the HOA fees. That is what keeps us from purchasing there. The condo we currently live in (not in Hawai'i) does not include any utilities except sewer.

                Originally posted by Nords View Post
                I learned a lot about Waikiki real estate and I'm not quite as jaundiced against condos as I was a couple months ago.
                Condo living is far from perfect, but we feel the advantages, for us but not everyone, are greater than living in a single family home.

                It looks like we will be renting a condo in Honolulu a few months each year, rather than purchasing there.
                Peace, Love, and Local Grindz

                People who form FIRM opinions with so little knowledge only pretend to be open-minded. They select their facts like food from a buffet. David R. Dow

                Comment


                • #9
                  Re: "The Lofts" or "Allure" Waikiki condos?

                  Originally posted by matapule View Post
                  Uaifi and I are conservationists. It drives us nuts too! There is no incentive to conserve if water and electricity are included in the HOA fees. We bust our butts to conserve while our neighbor operates the A/C with their windows open.
                  They do this at Iroquois Point too! Two houses share a carport and an electric meter (which is locked shut- you can't even see it or get access to it). The meter is owned by a company that is out of Colorado. We were so good about never using the A/C, keeping the lights off as much as possible, etc. Our bill came in so high! When we found out the meter was locked, we called the manager and they told us about the shared meter. That's when I noticed the neighbors sitting in the house ALL DAY with the windows shut and the A/C on. Why do companies do this? Why do we have to pay for other people's usage??

                  Glad your friends found a good condo, Nords. I can't imagine the stress of trying to find something these days.

                  Can't think of anything creative this time

                  Comment


                  • #10
                    Re: "The Lofts" or "Allure" Waikiki condos?

                    Originally posted by surlygirly View Post
                    They do this at Iroquois Point too! Two houses share a carport and an electric meter
                    This is an interesting situation. I thought that it was not allowed for two units to share a meter, unless the landlord paid the utilities? This is actually a question, not statement. Any Hawaii property managers or realtors on HT?
                    Now run along and play, but don’t get into trouble.

                    Comment


                    • #11
                      Re: "The Lofts" or "Allure" Waikiki condos?

                      Originally posted by Amati View Post
                      This is an interesting situation. I thought that it was not allowed for two units to share a meter, unless the landlord paid the utilities? This is actually a question, not statement. Any Hawaii property managers or realtors on HT?
                      Not I!!! But, when I had my office on South St., it shared a meter with the office next door. Because I was the more stable tenant, the meter was in my business' name. Prop. mgr. tended to forget to explain the shared meter situation to prospective tenants and when one moved in I was the one who had to do it. Stupid arrangement.

                      Comment

                      Working...
                      X