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Home sales in city up by 7 percent for 2014; update on city bus hub; more numbers on Rock Chalk Park infrastructure
I spent my weekend hosting an overnight birthday party for six 11-year old boys, so I know a thing or two about being in the market for more space (You know what they say: Two's company, three's a crowd, and six is an insane asylum.)
According to the latest report from the Lawrence Board of Realtors, there were a few other space-hunters out there as well. Through February of 2014, home sales in the city are up a solid 7 percent compared with the same period a year ago.
February isn't particularly a big month for home sales, but the next several months sure are. The spring season will go a long way in determining whether Lawrence's real estate market posts a third straight year of rising sales.
It is a little too soon yet to predict whether that will be the case. While home sales are up for the year, the pace of growth does seem to be slowing some in recent months. For example, February's home sales were up just 4 percent compared with February 2013. That continues a slowdown trend that began about midyear 2013. During the first half of 2013, sales were up 29 percent over the same period a year earlier. In the second half of 2013, sales growth slowed to 6 percent. But all of this may be me just being unnecessarily jittery. (Funny how watching a golf cart loaded with six boys jumping through a ring of fire will do that to you.)
Regardless, here's a look at some other statistics from the most recent report.
— The number of active listings on the Lawrence market is down to 344, which is about 7 percent less than a year ago. That drop generally has been viewed as a positive sign that the market has heated up from where it was a few years ago. It is interesting to note that the number of newly constructed homes on the market is 45, which is up from 32 a year ago. That's a sign that builders have had more confidence in the market in recent months. Whether that confidence will be repaid is the big question for the spring season. In February, only one newly constructed home sold. That's down from six a year earlier.
— The median sale price for homes in 2014 is $149,700, down 14 percent from a year ago. But I wouldn't pay much attention to those numbers just yet. The drop likely is due to the small sample size, not a reflection that housing values are going down . The numbers, though, are probably a good indication that smaller, less expensive houses are what's selling best right now.
— The median number of days that a home sits on the market before selling is 84, which is almost unchanged from 86 a year ago.
— The number of pending contracts at the end of February was 93, down from 143 at the end of February 2013. Pending contracts are a decent indicator of what to expect in the month ahead, so this may be the one number that creates some concern for the industry. The 93 contracts, however, are still a pretty healthy number, but just not the huge number that was posted a year ago.
Bottom line: We'll just have to wait and see where all this lands. If nothing else, the golf cart has taught me that.
In other news and notes from around town:
• If you are interested in the city's transit system, mark your calendars for April 21. The city has scheduled a meeting at 6 p.m. at Fire Station No. 5, 19th and Iowa streets, to further discuss the possibility of placing a new transit center along Iowa Street.
As we reported in October, the city has an interest in vacant property near 21st and Iowa streets to use as a transit hub, which would serve as the main transfer point for bus routes in the city. The city has conducted a traffic analysis for the area, and wants to share the results of that study with neighborhood members and others at the April 21 meeting.
City commissioners likely will be asked to make a decision on the site sometime in May. The site is on the northeast corner of 21st and Iowa streets. City officials also had been interested in a site near Ninth and Iowa streets, basically behind The Merc's building. But as we reported in October, KU officials haven't been wild about that site. KU — which also will use the hub for many of its bus routes — wanted a location closer to campus. The owners of the Ninth and Iowa property also must not be wild about the idea. City officials said they recently have not been successful in setting up any discussions with the owners of the Ninth and Iowa property.
• We reported a couple of weeks ago about how construction crews are racing to get a lot of street, parking lot and other infrastructure work done at Rock Chalk Park ahead of the Kansas Relays in mid-April.
Well, the city has produced a new report on Rock Chalk Park work, and it gives a few more numbers on how the project is proceeding. Among the findings:
— At the end of December 54 percent of all the infrastructure work at the complex was complete. That is about $6.6 million of the projected $12.2 million in infrastructure costs. As it currently stands, the city is projected to pay for about $10 million of that work. Bill Self's Assists Foundation is projected to pay for up $2 million of the work. Neither Kansas University, nor the private development group that will own the property, is currently projected to pay for any of the infrastructure work.
— An update on how much infrastructure work was done at the end of February wasn't included in the report. But the report noted no infrastructure work was completed in January because of the weather.
— In February, city inspectors noticed the site wasn't complying with regulations designed to keep construction dirt and other materials out of city storm sewers. Inspectors issued a notice of violation to the project, with instructions to add appropriate sediment barriers to the site within two weeks. City staff reports the corrections were made.
— As previously reported, some cracks have shown up on the concrete parking lots and streets at the project. City staff members now have more precise numbers on that issue. After walking the entire project, about 3 percent of the panels in the parking lot have cracks and about 2 percent in the streets are cracked. The report notes that the developer will need to make repairs to the panels before the work is accepted by the city.