Perkins Rowe Impact On Baton Rouge Home Prices Study
Yesterday I pinned the article, Baton Rouge Real Estate: Perkins Rowe Proving To Be Desirable Hot Spot , in which I said, The area around Perkins Rowe is enticing to me and my family. We love to spend time at CC’s Coffee House, Starbucks, Barnes and Noble Book Store, California Pizza Kitchen and shopping in general. Area subdivisions home owners are hoping and seeing their home values rising because of the close location to Perkins Rowe. I’ve included two (2) recent article showing strong demand to be close to Perkins Rowe, a 2 acre lot purchase and the recent commercial appraisal showing a 10% increase in value over the past year.
Was it accurate to have stated that the presence of Perkins Rowe shopping and entertainment center was actually causing local subdivision home values to rise? I’ve completed an indepth housing study on the closest ten (10) subdivisions with enough home sales to establish a pattern of value. It’s very difficult in most housing markets to extract, for certain, whether one particular amenity contributes how much of a percentage of value increase or decrease. For example, these ten subdivisions, from 2010 to 2012, could be adjusting to post Hurricane Katrina, The Mall of Louisiana favorable location, the enormous retail and restaurant presence on Siegen Lane. Certainly Perkins Rowe has a large draw to it during the weekends. And, overall in 2012 in this immediate “hot” market and GBRMLS Area 53 in general, home prices have been increasing.
1.) Wimbledon Estates: YES, values rose from $93/sf to $98/sf and partially because of two totally odd $325K and $470K home sales.
2.) Settlement At Willow Grove: YES, values rose from $185/sf to $200/sf
3.) Oak Hills Crossing: NO, sold price per sq. ft. actually declined $10/sf, only slightly because of 1 corporate relocation sale and 1 short sale.
4.) Quail Meadow and Quail Ridge: NO, sold price per sq. ft. actually declined $12/sf caused by a general correction within the incredibly steep prices, only 1 distressed sale in 2012.
5.) Windermere: YES, values rose from $130/sf to $137/sf
6.) Oak Hills Area Subdivisions (Several Different Names and Filings): YES, values rose from $108/sf to $112/sf
7.) Iberville Terrace: NO, sold price per sq. ft. actually declined and that’s because in 2010, there were two very large and odd home sales in the $300’s. The average home price is in $170s.
8.) Oakridge Subdivisions: YES, values rose from $126/sf to $143/sf
9.) Greenbriar Hollow: NO, sold price per sq. ft. actually declined $4/sf
10.) Myrtle Grove Garden Homes: NO, sold price per sq. ft. actually declined $114/sf to $105/sf, BUT the median sold price rose from 2010 to 2011 and 2011 to 2012
IN SUMMARY, there were five (5) YES’s and five (5) NO’s to if home prices rose from 2010 in 2012. Again, it’s very difficult to determine IF Perkins Rowe alone is the reason for positive market moves. While Perkins Rowe is a definite positive for this immediate market, it doesn’t appear to have HUGE impact on local home values.
GBRAR MLS NOTE: Based on info from the Greater Baton Rouge Association of REALTORS®\MLS for the period of 01/01/2010 to 12/28/2012. This information was extracted on 12/28/2012. YES, this Baton Rouge Home Appraiser Housing Reporter does have the permission of GBRMLS to use the chart above Subdivision Price Trends Report!