Downtown Cincinnati experiencing steady population growth and stable selling prices

During a time when residential markets are crashing and home buyers are wary to make a significant investment in home-buying, downtown Cincinnati is experiencing not only steady population growth, but also a stable housing market.

Downtown Cincinnati Inc. released their 2008 study that illustrates stable numbers of home sales and consistent home prices. In 2008, 150 condo and single-family homes were sold in downtown Cincinnati for an average price of $241,516 for condominiums and $172,551 for single-family homes.

These numbers illustrate that downtown is maintaining value in its housing stock while also adding additional housing units to the market.  In 2008 downtown Cincinnati added an additional 147 housing units in the form of both condominiums and single-family dwellings.

This maintenance of value in such a tough market is a positive sign for future residential growth in downtown Cincinnati.  There are presently 5,583 total residential units in the downtown area, with an additional 3,642 units either under construction or proposed.

The number of new units added in 2008 is a slightly lower than in previous years and is the one indication that the market downtown has slowed down a bit.  Over the previous three years, the downtown area was adding an average of 192 new residential units per year with an average of 185 sales.

One of the strongest sub-markets within the downtown area is the Gateway Quarter in historic Over-the-Rhine.  That southern-most portion of Over-the-Rhine accounted for roughly one-fifth of the overall sales for the downtown area in 2008.  Duncanson Lofts, which is located in the Gateway Quarter, is the building that saw the most activity in 2008 recorded 12 total sales.  Within the Central Business District, 353 W. Fifth registered 10 sales in 2008 making it the most active in that district.

The growing number of people living downtown is also a positive sign for future service retail in the area.  There are presently an estimated 8,375 people living in the downtown area in 2008; a number that is expected to grow to 13,838 in three short years.

Downtown has long been trying to attract a full-service grocery store. As the number of people living downtown continues to grow the market becomes more attractive for food retail.  Of the retail presently downtown only 9 percent is considered to be personal service while another 42 percent constitutes shopping with 49 percent including dining.

Over time, if the city core is to realize its goal of a  24/7 downtown, then residential dwelling sales will need to continue to grow so that service establishments are warranted.

Writer: Randy Simes
Source: Downtown Cincinnati Inc.

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