The downtown new condominium market was highly active in the 2002 through 2006 period when there were several dozen projects offered for sale. In 2007, with most of those projects complete, sales slowed dramatically.
To date this year, 62 condominium units have been sold in newly completed buildings and buildings under construction.
Part of thr reason for the slowdown in sales is the absence of a full range of inventory. Most of the units under construction and completed have product priced over $400,000. Although $400,000+ condominiums are an important part of the market, most of the sub-$400,000 product has been long sold out. It is that sub-$400,000 portion of the market that has traditionally provided the heaviest percentage of the total sales.
The average price per square foot for new condominiums in Downtown San Diego has almost doubled between 2000 and 2007. At the end of 2007, the average price for new condominiums in Downtown was $600,038 or $587 per square foot. The $587 per square foot figure is a slight decline from the peak of $593 in 2006 but still higher than 2005.