Investment Opportunities - Housing - Up and Coming Areas

[CollegeStudentinAtl]

Originally Posted by WiseOwlSaysHoot

First off, how much are you looking to spend, and how much do you hope to rent them for? Are you looking for more of a "penny stock" that you can get dirt cheap with potential for a big return, but also more risk? Or something a little more stable?

I agree that east of Troost is probably your best option for something on the lower end, but I would keep it between Troost and Paseo (unless you go to the northeast, which I will get to later). I think between 24th St. and 63rd St would be the north/south boundaries I would focus on.

Within that region, I would particularly look at the area around Armour Blvd and Troost. A company with a very successful history of revitalizing troubled buildings/areas in KC has a plan for a large development on all 4 corners of the intersection. They are still in the process of acquiring some of the parcels through condemnation, so it it not quite a done deal yet, but I think it is likely to happen. If it does happen as planned, I think the impact for the adjacent neighborhoods to the east will be huge.

Squier Park is the neighborhood to the south east which is already a fairly nice area (as far as east of Troost goes). It has nice housing stock and your buying price will be higher. Center City is the neighborhood to the north east and it will be considerably cheaper with smaller and rougher housing stock, in general. Unfortunately, you don't see properties come on the market all that frequently in those neighborhoods.

I would also focus on the Northeast area of KC (north of Independence Ave). Here is an article the just came out about several planned developments in the area. Most of these are around the Pendleton Heights neighborhood, which would be a good one to focus on. Otherwise, generally, the further north you go in the Northeast, the better.

Another area in the metro you can consider would be South KC. With Cerner and a few other large developments going in the area, I think the future is bright. You can find some affordable homes in the Indian Village/Santa Fe Hills area south of Waldo (though not as cheap as most east of Troost areas). I would avoid going too far to the southeast (around Ruskin Heights).

Other areas to look at would be the Westside neighborhood (the southern portion is where you will find lower priced properties) and the part of KCK around KU Med Center.

Pure Penny Stock Mentality. I am thinking more of LONG term investment as well. My plan is to buy a couple of depressed properties, rehab, and rent. I will be sitting on them until the price comes of age and the area changes.

Aww Cerner. Do you really believe the south will see a rise? Brings me to my second question. Do you really think that the Cerner development will revitalize that area? Since Overland Park is right there. Do you believe people will just move to overland park instead or the surrounding area around overland park.

I am thinking because they are moving MOST of us to that location. I live right in the heart of downtown now. I am thinking about moving to Overland PARK to be closer to the campus. I believe new employees, especially people not knowing anything of KANSAS CITY "like me" would probably choose that area instead of the surrounding area.

In the LONG LONG term I believe it would see a change.

Also I think the PLAZA area/Union Hill area would be probably see a rise because it halfway between all developments. So I will probably focus my search around that area as well. However on the troost side and kck.

BUT THANKS SO MUCH ON THE RECOMMENDATION.

[CollegeStudentinAtl]

Thank you guys for the Recommendations! I really appreciate it; I am looking this weekend and will keep you guys posted if I have any questions are concerns.

Best,

[WiseOwlSaysHoot]

Originally Posted by CollegeStudentinAtl

Aww Cerner. Do you really believe the south will see a rise? Brings me to my second question. Do you really think that the Cerner development will revitalize that area? Since Overland Park is right there. Do you believe people will just move to overland park instead or the surrounding area around overland park.

I am thinking because they are moving MOST of us to that location. I live right in the heart of downtown now. I am thinking about moving to Overland PARK to be closer to the campus. I believe new employees, especially people not knowing anything of KANSAS CITY "like me" would probably choose that area instead of the surrounding area.

In the LONG LONG term I believe it would see a change.

Well, you being a Cerner employee might be able to give a better insight into that then me. But it is not just Cerner, there is also the large Burns and McDonnell expansion, the Stowers Oxford on the Blue project, redevelopment of the Bannister Federal complex, and others.

The whole south KC region is bound to see some benefits from all of those developments, but some areas will reap more rewards than others. Like you said, some people will just go to OP or Lee's Summit. I think some of the areas directly around Three Trails have become so depressed, it may take a long time to see improvements (like the Ruskin Heights area). I think the Waldo area could benefit greatly. It has already been on the upswing for quite a while and I think it will appeal to many of the young employees that Cerner typically hires. I think the areas south of Waldo that have necessarily been seen as trendy or on the upswing, like the neighborhoods I previously mentioned and also Red Bridge, will benefit quite a bit.

Originally Posted by CollegeStudentinAtl

Also I think the PLAZA area/Union Hill area would be probably see a rise because it halfway between all developments.

Union Hill is already quite expensive. In the neighborhood to the east, Longfellow, you can sometimes find a good deal on a fixer-upper, but prices are rapidly rising. I think that neighborhood is really going to skyrocket, being in between all of the development Beacon Hill and Crown Center/Union Hill. The Plaza area is relatively pricey too, but you can sometimes find one of the small bungalow homes in West Plaza for a decent price. Those make great rentals.

[lovekcmo]

Independence has a lot to offer, gentrification isn't happening as much there as KC. Gentrification in the right areas of KC is/has happened at this point.

[gfkb6f]

Midtown KC in general, especially Troost and Paseo all the way to Highway 71 is exploding with growth and development. There is a Hotel on Linwood and Troost being redeveloped to a 90-unit apartment building. If you're going to invest in these areas, now is the time. I just bought 18 units on Paseo.