With urbanism on the rise, and downtown neighborhoods making a comeback, we should remember that there are homeowners and HOAs in more places than just the suburbs.
Saul Siegel is the lead on the development of the Capitol Lofts that are to be built in downtown Phoenix, Arizona, which is booming with new business.
While paying a fee every month for HOA dues will be similar in a Condo building as in a neighborhood of single-family houses, the issues are not going to be apples to apples comparisons. For instance, it’s easier for pet noise nuisances to arise, but you aren’t going to have to fight the HOA on what color to paint the outside of your house. Also there are all of the shared ammenities.
The market audience for the Capitol Lofts in Phoenix are for those who have maybe never owned their own place before or have lived in an HOA community due to affordability. The Capitol Lofts are going to start at around $165,000 and the HOA fees are likely to be about $100 a month. These places could be affordable to other workers in the downtown area, not just the finance professionals and lawyers.
It will be interesting to see what the downtown resurgence does for the community and property management sector, and what kinds of issues will evolve as more people possibly move into high rise condos in the urban core of cities throughout the country.