Condo Bust Hits the Suburbs

"In the 'burbs, you buy a cornfield, put up some houses or a Home Depot, run a piece of asphalt to it, and you're set," he said. "But we're just now figuring this new stuff out."

It seems the Condo Bust has hit the suburbs.

I have to say I am not surprised. I have often scratched my head at the shear volume of condos being built is some rather remote areas (Champlin and Farmington jump quickly to mind,) It's like watching someone play Sim City in sandbox mode...but once you start the reality clock, things quickly go sour. It's not that these are "bad areas" it's just that they don't lend themselves very well to the typical condo buyer's lifestyle. People who would rather walk than drive to a late dinner. People who enjoy the hustle and bustle of the street.

It seems builders have put the cart significantly ahead of the horse in this case. Of course, the costs of building condos where the resources already are (i.e. shops, theaters, etc...like downtown Minneapolis) is significantly higher. So they find cheap land in the suburbs or more frequently exurbs and they must just figure that once the people are there, the resources they want and need will follow suit.

Maybe so. But it may take a lot longer than new buyers are willing to wait...