OK. We did the math. Below is DAB’s analysis of the inventory of condos in Downtown Austin.
776 residences were delivered in 2008
670 +/- units have sold
106 unit surplus.
This is a net absorption of over 600 units in one year. The 360 Condominiums has only 2 units left.
789+/- units under construction in downtown Austin
+/- 350 of the 789 units are under contract
545 +/- units remain in downtown through at least 2013.
There are no projects coming online that are not already under construction. It takes 2-3 years to build a project and it is unlikely a developer will get construction financing for another 12-18 months.
To put things in perspective, Miami area is delivering approximately 60,000 high rise condominiums during this development cycle. Miami MSA is approximately 2,387,000 people. That is a ratio of 1 condo for every 40 Miami MSA residents.
The Austin area is delivering approximately 1565 high rise condominiums during this development cycle. Austin MSA is approximately 1,600,000 people… that is a ratio of 1 new condo downtown for every 1,022 Austin MSA residents. A single project in downtown Miami is larger than the entire number of units being delivered in downtown Austin over a 6 year period!