Every Monday we are talking about the economy or housing market with a particular eye on Chicago. There is a great deal of talk on the recovery. A few weeks ago I quoted the Chief Economist from Freddie Mac when he asserted there will be a slow recovery with no double dip. Right now there are all kinds of mix signs. John Tuccillo, President, JTA, LLC (John is an economist, consultant and one of the foremost real estate and housing finance economists in the United States.) said that mixed signs – some still down (jobs) but others showing a turn around (the Dow (every other day )) are an indication of having hit the bottom and starting the hard work of recovery.
Each day I am asked “how is the market in Chicago…which neighborhood will recover first." Of course, no one has a crystal ball and no one can be certain. But today and for the next few Mondays I would like to pose a few thoughts on neighborhood recovery and I WELCOME debate and discussion. And if you have any specific questions you would like to address – post them and I will try to get some answers.
One theory of recovery is it starts with the wealthiest markets (Near North/Gold Coast). The logic behind this is that prices would have dropped enough to draw buyers from surrounding markets.
So the data to support this would be Near North would have dropped in average price, driving growing sales, the beginning of lower inventory and a recovering price and the surrounding area (Lincoln Park) would not be seeing price recovery.
Looking back 2 years and 4 points in time (Dec 08, June 09, Dec 09, June 10) here are the facts:
• The Near North has done a rollercoaster with strong average price in Dec 08 but a build up of inventory to 2 years. Average price dropped then from $648K to $450 (oops) but has rebounded in the last year AND managed to see inventory drop (average sold price is now $529 with a year of inventory. Hard to tell what drove it but to cut inventory in half – even if you allow for expired/cancelled listings – would take a inflow of buyers from other parts of the city
• Lincoln Park on the other hand saw the same drop in average price but hasn’t rebounded at all in price (price down 40% Dec 08 to June 09 but only up 2% since then. Inventory hit low levels (7.6 months in June 09 but has settled back to one year this June.
What do you think? What is your recovery theory? What neighborhood would you like to buy or sell in and would you like some solid information on the market?
Check out this 2700 square foot four bedroom, four bath unit at The Pierre. The entire unit runs across the front of the building with lake and park views from almost every room. Located across from the Lincoln Park Zoo, The Pierre is ideally located in the heart of Lincoln Park and is a full service building with 24 hour door staff and convenient on-site parking. 
The crown molding, wainscotting, inlaid wood floors are just the beginning. At just over 2000 sqft, this gracious three bedroom unit offers soaring 11' ceilings, two private decks, two parking spaces and excusive roof rights to a 2000 sqft roof that is ready to be finished out. 
The finishes are what you would expect in this price range with hardwood floors on the main level, comfy carpet on the lower level and three bedrooms on the top floor. The lower level also has a nice fourth bedroom and adjacent full bath which is ideal for guests.
The kitchen has that great-room like feeling with an area for a table and sofa and chairs. The appliances are all stainless steel with cherry cabinetry and granite counter tops. This room also walks out onto this fantastic cedar deck which is built over the two car garage. 
Additionally, this is an all brick home rather than brick in front and frame or split face block on the sides and rear. Yes, all brick!!!
CHECK OUT THIS PROPERTY AT THE OPEN HOUSE THIS SUNDAY SEPTEMBER 19th FROM 1-3PM.
Before that if you are out and about where they played last, (Roscoe Village) there are 2 great open houses this weekend. Both are close to each other (3 blocks or less than a 1/4 mile). The first is 1833 W School St between Ravenswood and Damen - open 11-1pm Sunday ($1.3 million) and the next is 1818 W Henderson one block north as the crow flies ($1.435 million). This is open from 1-3 on Sunday, July 25th. Both are similar - relatively new construction (School is 11 years old and Henderson is brand new. 
So you are exploring the loop and tracking down the movie trailers looking for Optimus Prime or even a glimpse of Kevin James (Ron Howard is also filming a new comedy in the city) and you wonder, should I live down here in the loop. Maybe walking to work every day with my Starbucks in hand would be the way to live. Maybe working 14 hour days and having a horrible commute out to wherever is not the best lifestyle for me. People generally don't think of the Loop as residential but there are some great properties that you can take a look at this weekend to see if the high-rise life might be a good choice fort you. So after chasing the film making, take a break and go see my favorite pick for the weekend. 235 W. Van Buren unit 4610 will be open from noon on Sunday until 5pm. This is a new development and the unit is a duplex penthouse - the main floor boasts a premium kitchen, living room/dining room and a small bedroom and upstairs there is a large master suite with a separate large den. The spectacular part of this home is the outside space - 3 individual spaces and one is a 1400 sq ft terrace. Imagine the gala event you could host with spectacular views of the skyline. The property is offered at just over $1 million. Maybe you can see the entire set of Transformers 3 from the terrace.
It walking by the sites, they had "transformed" these locations completely. Huge boulders, upturned sidewalks...but if you looked closely, what appeared to be giant stones were merely sets of foam and wood. Unbelievably real...except when two people on the set gracefully lifted one off the ground to relocate it. 
