Allure Waikiki Condos to be Overhauled Less Than One Year After Initial Offering

stephen

March 15, 2011

“Previously, prices for the entry-level units started at $750,000 while the new pricing will start in the high $500K range…what an opportunity!”
What do you consider ‘entry-level’? Some of the low floor, 2-bed units sold for well below 750k, and actually into the low and mid-500s. Pretty much all that’s left is on the higher floors, where original prices were 900k to 1.6 million. These are not the original ‘entry-level’ condos. The smaller of the higher floor 2-bed units might go for high 500s to low 600s, as you suggest.
However, consider how many units are on the market in Waikiki, Downtown, and Kakaako, and all priced high 500s to 1 million. Dumping another ~160 into the same price range should cause some price drops, if anything. Lots of units in this price range spend a long time on the market, and I don’t think the ‘new’ Allure units will be any different. Sure, they’ll sell a few, maybe a few dozen… but how far will they have to discount to sell 100? Or 125? There’s going to be a lot of choice out there.

David Buck

January 18, 2012

Stephen,
It appears they’ve made some progress on sales since your post. I showed there yesterday and sounds like down to roughly 80 units left… It appears the new pricing strategy has proven somewhat successful.
Aloha,
David

stephen

March 15, 2011

“Previously, prices for the entry-level units started at $750,000 while the new pricing will start in the high $500K range…what an opportunity!”
What do you consider ‘entry-level’? Some of the low floor, 2-bed units sold for well below 750k, and actually into the low and mid-500s. Pretty much all that’s left is on the higher floors, where original prices were 900k to 1.6 million. These are not the original ‘entry-level’ condos. The smaller of the higher floor 2-bed units might go for high 500s to low 600s, as you suggest.
However, consider how many units are on the market in Waikiki, Downtown, and Kakaako, and all priced high 500s to 1 million. Dumping another ~160 into the same price range should cause some price drops, if anything. Lots of units in this price range spend a long time on the market, and I don’t think the ‘new’ Allure units will be any different. Sure, they’ll sell a few, maybe a few dozen… but how far will they have to discount to sell 100? Or 125? There’s going to be a lot of choice out there.

David Buck

January 18, 2012

Stephen,
It appears they’ve made some progress on sales since your post. I showed there yesterday and sounds like down to roughly 80 units left… It appears the new pricing strategy has proven somewhat successful.
Aloha,
David

stephen

January 25, 2012

David, I also made some progress and bought somewhere else 🙂 I got tired of waiting for them to reduce prices to an appropriate level! Of course one person’s right price is not necessarily what someone else considers reasonable, but that’s another story.
I got an email from the Allure today, announcing new price reductions. Only they’re not really price reductions; I have their price lists going back to 2009, and from the prices at that time they were offering 25% to 30% discount, depending on the floor and unit. The ‘new’ prices today are still above those I was offered in 2009.
Compared to other units on sale in Kakaako/Waikiki, the Allure, at least to me, is still overpriced. Nice, yes, but many other places are nice, too, but they’re also cheaper. The ‘investment’ company that took over from Fifield should have saved their money, that which they spent on ‘upgrading’, and just gone for the fast turnaround. That said I’m not in that field so what do I know? It was all brand new, so I expected them to simply cut the prices and sell fast, but they made a big deal about upgrading what was already outstanding, and they still have 80 units left. Put another way, isn’t that about one-third of the building? So as you say, “…somewhat successful…” Yet that simply reflects what I’d expect in a year, that they also made “…some progress…” Time for another price cut, and a real one, before those other newly announced condos in Kakaako/Waikiki attract potential Allure buyers 🙂

stephen

January 25, 2012

David, I also made some progress and bought somewhere else 🙂 I got tired of waiting for them to reduce prices to an appropriate level! Of course one person’s right price is not necessarily what someone else considers reasonable, but that’s another story.
I got an email from the Allure today, announcing new price reductions. Only they’re not really price reductions; I have their price lists going back to 2009, and from the prices at that time they were offering 25% to 30% discount, depending on the floor and unit. The ‘new’ prices today are still above those I was offered in 2009.
Compared to other units on sale in Kakaako/Waikiki, the Allure, at least to me, is still overpriced. Nice, yes, but many other places are nice, too, but they’re also cheaper. The ‘investment’ company that took over from Fifield should have saved their money, that which they spent on ‘upgrading’, and just gone for the fast turnaround. That said I’m not in that field so what do I know? It was all brand new, so I expected them to simply cut the prices and sell fast, but they made a big deal about upgrading what was already outstanding, and they still have 80 units left. Put another way, isn’t that about one-third of the building? So as you say, “…somewhat successful…” Yet that simply reflects what I’d expect in a year, that they also made “…some progress…” Time for another price cut, and a real one, before those other newly announced condos in Kakaako/Waikiki attract potential Allure buyers 🙂

David Buck

January 26, 2012

@Stephen – The Allure may not be for everyone. Where did you end up buying?

David Buck

January 26, 2012

@Stephen – The Allure may not be for everyone. Where did you end up buying?