Overview

After literally bumping into the Oculus Condominium on the street, we’re beginning to think the developer, Alchemy Properties, is smarter than its peers. Their buildings have boutique feels to them, excellent finishes, amenities packages, and… wait for it… reasonable prices! How do they keep prices 10-20% below neighboring buildings? We’re not sure, but it may have something to do with principals Ken Horn, Joel Breitkopf, and Gerald Davis’s strong backgrounds in law, acquisition, financing, and marketing. If they can acquire properties and renovate them at costs slightly lower than other developers, they will continue to sell out their projects, as they have with each one except Oculus and the nearby Indigo. Do we smell a young Gary Barnett in the making? Extell became really good at land acquisitions a few years back which they leveraged into a major presence in the New York condo market.

What’s just as interesting is the “underground” marketing which seems to sell these units. We hadn’t heard much about Oculus or Indigo, yet they have already have impressive sales recorded on their books. Oculus is about half sold and has really just started construction, as can be seen by the photos. The building opened for sales around a year ago and has managed to sell 50% with a minimal marketing force, and sales team. What an odd an experience in the Manhattan condo market! The most likely reasoning for this would have to be the fact that their average pricing is $1,200 per square foot!

On the critical side, we’ll note that many potential buyers who we’ve spoken with didn’t seem overly familiar with Oculus and wasn’t very impressed by their sales team. One potential buyer noted that a phone call she made to inquire about a 1-bedroom unit wasn’t even returned! Most condos that we’ve seen will twist your arm for the initial few hundred dollars which “hold” the units while you think about it. Perhaps this “indifference” explains the strong sales.

The building has a very broad marketing appeal with units ranging from studios to the expansive penthouses. Anybody looking for a fair deal in a tight condo market should stop in here.

Units and Prices

Well, this building makes an effort to undercut most of its neighboring projects on price. That being said, it has still managed to keep services like a 24-hour doorman and finishes such as radiant flooring and a Viking-rich kitchen. It’s a building with a definite plan.

Units range from studios to 3-bedrooms and in size from 624 to 2,442 square feet. The majority of the building is split into 5 units per floor with a center elevator area. The A, B, and E lines are all very boxy and divided into a formulaic but spacious floorplan. The C and D lines have a few more angles in their plot but still utilize the space in a similar manner. Square footage is seemingly maximized and each unit offers items like open kitchen layouts and larger bathrooms. In an interview last year, Horn talks about the “loft-like” living which he is trying to create in his buildings. The upper floors of Oculus, as one might expect, offer more open floorplans, better views, and all the best finishes.

As usual, the one-bedrooms are nearly gone, but some of the lower-floor 2 and 3-beds which are still available. I like the first floor apartments, specifically 1C, a 1,070-foot one-bed with 2-baths and a den, currently listed at 1.01M. Is that under $1,000/foot? Somebody who can deal with life without a view should snap this one up soon.

We found very few problems with the various layouts. One flaw we noticed was a few “forced bedrooms” in some of the larger layouts. Obviously the developers are trying to catch 2-bedroom budgets and get them a third bedroom as a bonus. The units we’re referring to seem to force a long narrow second or third bedroom which cuts slightly into the living room space. The building has little to speak of in the sense of views from outdoor space due to the taller buildings on 14th Street just south of it. With most layouts well designed and units well priced, the building will probably sell out within a few months–that is if people actually find out about it.

Additionally, the common charges are very fair. The average common charges are just shy of a dollar per square foot; thank goodness for that 421-A tax abatement, cutting down monthly costs for the initial owners. That being said, you will still have an amenities package which includes 24-hour doorman, live-in super, and two common areas.

Amenities

Common amenities for the building include a 24-hour doorman, live-in super, common courtyard and roof deck. In Addition 11 of the 47 units have outdoor space in the form of terrace or balconies. The most intriguing amenities of the building are the finishes for the units. Kitchens have a plethora of Viking appliances, including both refrigerator and wine coolers. Kitchen cabinetry is an oak wood by Poggenpohl (nice!). Even more fascinating are the fancy bathrooms packages. Bathrooms include marble and limestone flooring and backsplash. Bathrooms also include Kohler vanities and fixtures. The icing on the cake could be any of the following fabulous items: radiant heated floorings, deep soaking tubs, or the steam showers. It’s almost as if the developer couldn’t decide on one selling point for his units so he decided to include them all!

Kitchen Rendering

Bathroom Rendering

Power Room Rendering

Location

This building is located on 15th Street between 5th and 6th Avenues. The block isn’t so wonderful, but is conveniently located. If you recall, our criticism of Loft 14 was the location on 14th street between 5th and 6th Avenues. The Oculus has the appeal of not being one of the thoroughfares by which it is surrounded (14th Street, 5th Avenue or 6th Avenue) but has hardly the charm of a “cute street” or “quiet tree-lined block).

The location is pretty much smack dab in the middle of Manhattan and has access to just about any location on it without the struggle of an uncomfortably long train ride or a trip in a cab that is sure to include a traffic jam. The biggest appeal of the location is the fact that you’re close to everything but not in the middle of chaos. Furthermore, the area will never have a shortage of possibilities in the means of Union Square restaurants, central village coffee shops, or the strip of suburban-esque shopping (i.e. Home Depot, Bed Bath and Beyond, Best Buy, etc..) all of which are within walking distance. In short, the area will not likely be converted into an area with the charm of its neighbors like the West Village or Meat Packing District (i.e. into a quaint “Boston-like” feel) but its also not going to be the mass chaos of areas like Lexington Avenue on the Upper East Side or Hells Kitchen, it’s almost like the happy median that many New Yorkers search for their entire time in the midst of this crazy fast-paced city.

Investment Potential

In order for us to rate a building an “A,” for investment potential, it has to be reasonably priced, well-located, and have quality construction and finishes for the residents. This building has all three of those qualities. We don’t love the block itself, but the overall location is extremely convenient. While we enjoy the overall design, it does have the boutique-feel to it which doesn’t have the “timeless” element of a Robert Stern or pretty much any Related Companies project. The prices are just right to sell out quickly and still turn a profit for the developers. We rate the building an A- for investment potential.

This entry was posted on Tuesday, September 11th, 2007 at 1:47 pm and is filed under Blogroll, The Oculus Condominium - 50 West 15th Street. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.