WASHINGTON, DC—DC's condo market is showing all the signs of a recovery but until more supply enters the pipeline it will be difficult to measure its true health.
The latest example is Otis condominiums, located off Georgia Avenue in the Columbia Heights neighborhood. Marketed by Urban Pace, the 27 units sold to young professionals drawn to this revitalized part of town and its night life.
Pricing starting in the high $200,000s also helped as they made the equation of buying versus renting in the District more manageable.
According to Lynn Hackney, president of Urban Pace, the continued low interest rates and an affordably priced unit means that owning a condo remains less expensive than renting in almost all cases.
Located at 809, 811 and 812 Otis Place, NW, the structures were originally built in 1941. They were vacant for about a decade when The Fortis Cos. acquired and renovated them. Many of the buildings' original art deco elements were preserved.
The community is within walking distance of the Petworth Metro station and the Columbia Heights Metro station.
Condo success stories such as Otis Place, while good on the individual deal level, could be hampering the market's potential in the aggregate.
A recent report from Delta Associates finds that the shortage of new condo product continues to hamper the Washington metro area condo market from more impressive sales volume. With less than 10 months of supply, there are simply too few new units available in the market, the report said.
"The metro area is currently experiencing a phenomenon where there is an oversupply of rental apartment units and an undersupply of condo product," Delta said.
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