We’ve been remiss in not providing more data and conclusions from Appraisal Research Counselors‘ 3rd Quarter 2008 Downtown Chicago Residential Benchmark Report. Herewith, some tidbits.
Projects that began delivering units in 2008 had a negative absorption of 41 units during the 3rd quarter, i.e. contract cancellations exceeded sales by 41 units. Of the 3,867 units scheduled for delivery this year, 955 remain unsold.
Next year, 4,532 units are scheduled for delivery, of which 1,831 remain unsold. Net absorption for this group during the 3rd quarter was 18 units.
Projects completed in 2007 and prior years had 352 units remaining unsold, and net absorption of 63 units during the 3rd quarter of 2008.
More than 90% of the unsold units scheduled for delivery in 2009 are in the South Loop and West Loop / River West sub-markets.