I have been an unabashed fan of the Chicago Spire project. And the Tribune reports today that 30% of the condos are sold. They made a point of saying these were sales, not refundable deposits.
Now, I have not seen the contract to see what, if any, outs there are, but I'd bet there are close to none. 30% is a traditional benchmark for a construction loan, but, as the story intimates, I would not be surprised if lenders want to see a higher threshold met. It may (or may not, in this market) depend on the LTV, or how much coin Garrett Kelleher brings to the table. And since he's funding it himself we know he has the desire and wherewithal to do it.
The international marketing (with exhibitions in Dublin, Singapore, Hong Kong, Beijing, Shanghai, Johannesburg and New York, not to mention the ads I see in the WSJ all the time) may have paid off. It was a sound strategy given market conditions here.
P.S. If you want to see construction pics click here. What a great site Skyscraper City is.
