[ PHOTOS: Cool.333 Lofts in RER-46 folder ]
FEATURE TITLE: Cool Spaces
333 Lofts
Strategically located near the gates of LSU, the Dantin Bruce Development project consists of two- and three-story brick loft buildings and screen parking in the back. 333 Lofts features two-bedroom flats, as well as three-bedroom elevated townhouses with open ceilings, exposed mechanical ductwork and industrial stair railing details that complement the wood floors and cabinetry, and stone surfaces. It was completed in 2012 at a cost of $5.5 million. Architect was Looney Ricks Kiss; contractor, Dantin Bruce Construction.
PHOTO CREDIT: Tim Mueller
[ ILLUSTRATION: iSTOCK 838682, for third item; iSTOCK 13607440 for fourth item ]
FEATURE TITLE: The market at a glance
The Baton Rouge apartment market is robust, with rentals rising and vacancies near historic lows. However, market conditions are expected to change during the next year or two, with 6,000-plus units planned or under construction. Analysts predict the ensuing competition to benefit renters, by driving up incentives and marketing efforts.
Most of the new units built during the past two decades have been designed for more affluent tenants or lower-income households.
It’s getting tougher to break into the market. Construction costs have risen, as skilled workers are drawn to the large industrial projects in the works, and construction financing is more scarce. Some of the projects that have been announced may be postponed or canceled.
Financing for “for sale” condo units remains a challenge. Nearly all proposed condo projects have been put on hold, with the exception of a few “small, niche projects,” according to the Greater Baton Rouge Association of Realtors Trends report.
[ PHOTO: Watch.Water Campus.jpg in RER-46 folder ]
FEATURE TITLE: Three things to watch in 2015
1. While developers are bullish on the multifamily market—and with good reason—construction costs for apartments have risen significantly in recent years. A labor shortage fueled by the industrial construction boom is one reason for the higher costs. The availability of construction financing is another. Given those circumstances it’s a fairly safe bet that some of the projects announced for 2015 and 2016 will take longer to develop than planned. Others may get scrapped altogether.
2. The 3.4-mile stretch along Nicholson Drive between the LSU campus and downtown is in the early stages of a redevelopment that promises to make the corridor one of the most in-demand areas of the Capital Region. But while construction has begun on the Water Campus, one of the projects largely seen as a catalyst for the area’s redevelopment, long-awaited projects like the River District and River House remain in limbo. Developers promise something will happen soon but they’ve been saying that for years. Will this be the year the corridor reaches the tipping point?
3. The area outside the south gates of the LSU campus is ground zero for new multifamily construction. Of the units currently under development, more than one-fourth are in the South Gates area. The availability of undeveloped property along Burbank Drive has made the area a natural spot for new construction. The greater disposable income of many LSU students, thanks to TOPS, has also created demand for more and newer student housing developments. While the area may appear to be in danger of saturation, so far absorption rates remain high.
SOURCE: Research data was provided by the Commercial & Investment Division of the Greater Baton Rouge Association of Realtors and presented at the 2015 Baton Rouge Trends seminar. For more information, visit batonrougetrends.net.
