Counter-quote of the day: Incentives wrong for buyers, developers

“I’m a firm believer that [incentives] are a bad move for both the developer and the people buying. There’s no pricing integrity, and you run a real risk of having your unit devalued shortly after you’ve bought it.”

-Alan Lev, president of Belgravia Group and newly minted president of the Home Builders Association of Greater Chicago.

Lev, a 20-year industry veteran, spoke with us today about the state of high-rise development heading into 2008. His comments are at odds with those from a buyer (quoted in today’s Trib) who expects a laundry list of incentives to accompany any future purchase.

Lev says Belgravia has steered clear of incentives, even going so far as to offer safeguards to the buyer that pricing will remain stable. One current development, 565 Quincy, offers a guarantee of credit back to the buyer in the unlikely event that the developer lowers prices.

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