I might run for city council solely on one of these issues. All this is pleasing is the NIMBYs. This is news to them nobody else we must be cursed because other cities are thriving a were not.
Clearly the project was sunk as soon as the Oakwood folks saw that shadow on the elevation sketch.
Not to mention worse is the Millennium Tower in San Francisco. A tilting tower in an earthquake prone area. They just had a 4.0 earthquake the other day. Still standing but I’d try to avoid that area myself. I feel like leaving it up is an accident waiting to happen.
161 Maiden Lane in NYC. Also leaning and is not fully constructed. Construction is on pause.
The Kimpton Hotel seems like it would have been nice. I don’t mind it being on pause mainly because it won’t turn into a vacant lot for a small period of time. It’s still allowing bookings and has 203 rooms compared to Kimpton’s 179. Even the event space will be less as the Holiday Inn has 12,290 sq ft of meeting and event space (link) vs Kimpton’s reported 6,500 (link).
I’d say build something on the Holiday Inn’s open parking lot and rebuild the hotel when ready.
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A half built NFL Team headquarters and training center in Fort Mill, SC.
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Yeah, that’s a bad one.
Wouldn’t work with the master plan- the whole lot was to be 6 stories of apartment-wrapped parking deck with the 20-story hotel tower popping out over top of them. If they were to build on the empty lot, they’d have severely less room to work with for either apartments now or a future hotel where the HairCurler is.
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Hopefully this project isn’t dead. It’s still being promoted by the companies involved. 2026 Delivery will be missed if they don’t start work as soon as possible.
“300 Hillsborough is located at the epicenter of Raleigh’s burgeoning growth into a true live-work-play city. The base of the project includes a 183 key luxury hotel with full service restaurant, rooftop bar and ballroom space. Above the base, the tower includes 326 luxury rental units serviced by a full suite of residential amenities including an outdoor pool, best-in-class gym, golf simulators, and co-working areas. Hotel and residential guest lobbies are on opposite sides of the property, thereby ensuring a seamless experience for both users. The project is being designed and developed by Tidal REP and the investment sits in Tidal GP Fund II.”
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I saw a random Facebook poster comment on a N&O article saying The Holiday Inn was getting taken down in March. Not sure where he got his info.
But I just checked the downtown Holiday Inn calendar and they don’t have reservations open past March. So there’s a slight chance that comment has some merit to it.
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Don’t love the giant blank wall facing Taverna Agora and Second Empire, but I do hope this project still moves forward. I assumed it was paused, not cancelled, anyways.
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Per what Melton said earlier. If interest rates come down as expected this year, a lot of projects that people thought were dead are going to secure funding.
To quote Hamilton, a powder keg waiting to explode.
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Yeah I almost wonder if they are planning the long game and assume at least the Taverna Agora building may one day be redeveloped - otherwise I’d think they’d want to put some windows on that wall, at least towards the top floors!
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This is regulated by code.
My guess is they are building to the property line here, so no openings allowed.
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Most sources I know (that are credible) say at least 2 rate drops this year. If there’s confidence from the developers and their financing that this is true, I expect they’re doing their diligence preparing for that so they can get these projects started, completed and off the books. My uneducated 2 cents.
I agree that we will most likely see some rate drops this year. Residential mortgage rates are expected to fall to 6% or just under by the end of the year. If we do see lending open up and better rates, I think we will see many of these projects start back up.
Is that… A separated bike lane I’m seeing on the north side 
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I think we will see projects pick up in 2025, all the developers will be on standby all of 2024 for major projects. Keep in mind that just because the fed will cut the rates even to a flat 6% or lower, it is completely different in real estate. Financing for real estate deals use the SOFR(secured overnight finance rate) plus an additional 300-400 basis point on average in any market.
If I was to finance a deal this month, I will lock in a rate of 5.3% plus an additional 4% which will put me around 9.5% with all additional fees. This will completely kill my deal, developers need to be around 6 to 7.5 to make it profitable. 2% higher than what you budgeted on a deal like these apartments will be 3M to 3.5M(I am thinking that that this deal could be worth $155M all in). If you proceed with these interest rates, you just used all the dollars you had in reserves and have zero money for contingency for unforeseen conditions during construction.
Just my two cents.
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Thanks for your insight and info on this. Guess we will see what 2024 and 2025 have in store. Hopefully by the end of this year we will see more stability both in residential and commercial rates. What are your thoughts on the vacant office buildings in the Triangle with respect to outstanding loans?
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developers will probably start defaulting on loans and they will get foreclosed on. Owners and Investment firms who have the cash flow and have the money, will start buying these properties for half the price. I don’t think office occupancy will ever be the same.
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2 posts were merged into an existing topic: General Raleigh History