Why Little Italy?

     Quickly emerging as one of Ottawa’s hottest neighbourhoods, Little Italy is seeing fantastic growth.  Since 2000, home values in Little Italy have increased 154%.  This neighbourhood has had significant improvements made to its infrastructure in that ten-year period with the addition of three high-rise business towers, the reconstruction of the sewage system and a face lift to the streets and store fronts.  With an abundance of trendy shops, yoga studios, restaurants and immediate access to public transportation, Little Italy is quickly becoming the place to live in Ottawa’s down core.  Closer to the Byward Market and Parliament Hill than Westboro, arguably Ottawa’s most desirable neighbourhood, Little Italy’s location allows for its residence to walk to both of these major attractions and that’s exactly what people want.  When I meet my clients, most want the same thing, the ability to walk down town, without having to live in the hustle and bustle.  They are also demanding high-end luxury finishes that are only offered in very few homes in the area.   Enter SOHO Champagne.

       I know I write a lot about the SOHO product, it’s because I think it’s the best in town. SOHO Champagne is one of a kind.  Located in Ottawa’s Little Italy, this condominium will offer hotel inspired design, amenities and living.  With 15,000 sqft of amenities, this place is a resort.  Need to relax?  Head to the gym, hot tub, pool, steam room, sauna, wine room or the state of the art 24 person theatre.  Going to be home late from a road trip and want some clean sheet?  Call the 24hrs concierge and he can make that happen.   If you have ever wanted to live in a five-star hotel, now is the chance.

     Apparently a lot people do want to live in a hotel.  The launch of SOHO Champagne was the most anticipated condo launch of 2011. On June 2, the owner, Bruce Greenberg, held a Friends and Family Night.  Invitees who were hand selected by the owner himself scooped up 25 units of their own, mostly two bedroom units.  June 4 was the launch to the public.  On this day, the prices of the units were reduced by 2%.  When the doors opened at 12:00pm, over 200 people were already waiting.  The first person arrived at 11:30pm the night before.  When the doors closed at 4:00pm, 230 reservations had been made for 150 units, and not one two bedroom remained, confirming the hype, that SOHO Champagne is going to be the address in 2014.  When complete, this project will only increase demand for this area, making now a great time to buy in.  Let’s take a look at what we can expect moving forward.

      Greg Blok, Senior Investment Specialist with the Bennett Real Estate Professionals, writes in his article, “A Case for Urbanization”, “The Ottawa housing market has increased in value by 7% per year since 2002.  This 9 year period is slightly higher than the 50 year annual average increase of 6.33%.  In the condo market, in 2002, a new condo was priced on average at $250/per square foot, meaning a 1,000 sqft condo was $250,000, whereas today new condos are priced at $460/sqft meaning a 1,000 sqft unit is $460,000.  That means the 9 year annual increase in condo price is 9.3%.

     That means that condos have really only outpaced the complete housing market by 2.3% annually.  This is not a very significant outpacing, in dollar terms, it means an extra $5750 per year.  That does not seem that significant, but considering the fact that most condos take 3 years to build, that is now a $17,250 increase, a much more significant figure. 

     If you were buying a condo today, based upon the pattern over the past 9 years, the condo you buy today at $460,000 would be worth $588,340 upon completion in 3 years.  That appreciate is quite impressive.”  For the full article click here.

       Let’s say that on the day of the SOHO Champagne launch, you secured a J model, a two bedroom unit, on the 12th floor .  I have selected this floor plan as an example because I believe that this particular unit will outperform the other two bedroom floor plan.  Its over 40ft of wall to wall/floor to ceiling windows will not only make this unit highly desirable in this building but city-wide.  You would have also secured the 2% discount mentioned above.  Your unit was held at $447,000 and if the unit is released it will be sold for $459,000. You would have made $12,000 in one day by purchasing this unit, not to mention the potential growth mentioned above. 

     Little Italy is a fantastic spot for Gen Y, the Baby Boomers and everybody in between.  With all of the new development happening over the next three to five years, expect property values to rise quickly.  For a complete list of all of the available real estate in Little Italy, feel free to give me a call or send me a quick email.

About tylerlaird
Having been born and raised in Ottawa, this city is more than my home, it is a part of who I am and the basis from which all other cities must be compared. I have watched it grow and progress in its size and over time I found myself naturally drawn to the different neighbourhoods, with their varying characters, layouts and styles. After earning a BA in Law from Carleton University, Tyler discovered a new passion, real estate. In 2010, he began to use his passion for Ottawa’s various housing styles and diverse neighbourhoods, to help many people find that place that they can call home.

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