Real estate experts share insights, forecasts

A potential industrial site sale and residential sales within 15 of 2008 totals were among the positives reported by real estate professionals at the 16^th Annual F.C. Tucker State of Real Estate, Wednesday, January 27, at Cascada Centre.

Closing on the industrial site—space formerly occupied by Houghton International and its predecessor, Bencyn, on County Road 460—is expected in February, said Kevin Bol, F.C. Tucker/Lafayette associate broker. He reported a 2009 volume of $55 million in commercial real estate, down 13.9 percent from last year. “Given the economic climate during the last 12 months, this is no small number,” he said.

Total residential sales in 2009 reached 1,774, down just 15 from 2008’s total of 1,789, said Lou Johnson, F.C. Tucker/Lafayette broker. Volume was $245.5 million, down about $9.5 million. “Indeed, 2009 was a challenging year,” Johnson said. “But it was not without activity and even bright spots. Real estate activity locally remained steady with help from good interest rates, real estate tax credits and a resilient local economy.”

The most sales occurred in the Harrison High School area, where 512 homes sold. The McCutcheon High School area had 474; south Lafayette, 343; West Lafayette, 177; north Lafayette, 158; and east Lafayette, 110. The average sales price was $138,369.

Residential building permits totaled 405, compared to 448 in 2008 and 570 in 2007. Of those, 248 were in Tippecanoe County; 85 in Lafayette; and 72 in West Lafayette.

While commercial real estate also faced challenges, warehouse activity kept pace and the farm market held strong, Bol said. “I believe we have weathered the storm, and, while slow, recovery is in the works.”

Johnson, Bol and other local F.C. Tucker representatives were joined in the event by Lafayette Mayor Tony Roswarski and West Lafayette Mayor John Dennis, who highlighted growth and activity in the two cities, and by James Litten, F.C. Tucker Co., who gave the state and national outlook.

 
F.C. Tucker/Lafayette Realtors co-sponsored State of Real Estate with Greater Lafayette Commerce.

F.C. Tucker/Lafayette operates a residential sales office at 1425 Sagamore Parkway North in Lafayette and a commercial division in Renaissance Place, 250 Main Street. F.C. Tucker has operated locally since 1989 and is staffed by 33 residential professionals and nine commercial brokers.      

Real Estate Activity Summary – Tippecanoe County

Residential, 2007        Residential 2008         Residential 2009

Properties sold:              1,795                            1,789                            1,774

Dollar volume:               $272 million                   $255 million                   $245.5 million

Average sales price:      $151,548                       $142,316                       $138,369

New housing starts,

    building permits         570 total                        448 total                        405

                                      89, Lafayette                 85, Lafayette                 85, Lafayette

                                    117, West Lafayette        96, West Lafayette        72, West Lafayette

364, County                   267, County                   248, County

Note: Residential data covers homes in the Lafayette, West Lafayette and Tippecanoe County school corporations. Information courtesy of Lafayette and West Lafayette city engineers’ offices, Tippecanoe County Building Commission, Tippecanoe County Area Plan Commission and LRAOR (MLS).