The building known as Icon in the Gulch has been a favorite among condominium buyers since it went into a pre-sale mode in 2006. Buyers flocked to the sales office, a full-scale model of one of the units, which was helpful since construction would not be complete until 2008.
The model and sales office were located adjacent to the proposed construction.
Homebuilders had for years constructed model homes, but this was a first for condominiums in the Nashville market. Dozens of Realtors and their clients pushed, shoved and wedged their way into a standing-room-only gallery to vie for the various condos.
The units with the downtown views had $10,000 premiums, the backside had $5,000 premiums and there were eight floorplans from which to choose.
The sales team was composed of three Village real estate brokers, Scott Evans, Ivy Arnold (now Ivy Vick) and Carmen Swoopes. There were originally 208 units for sale in the high-rise tower, Evans recalls, and 209 units set aside as apartments for the mid-rise tower.
When, during bidding began, a particular floor plan sold out on one floor, they would offer it on the next floor for $5,000 more.
In less than seven hours, the 208 units had been devoured by a crowd left wanting more. It was as though the room was filled with buyers for Taylor Swift tickets and willing to pay any price necessary to see the show.
The strong demand caused the developer, Bristol Development, to reconsider the apartments. With some redesign work done, Scott Evans, who is now with Parks, said the team prepared for another sales melee, this time for those 209 units that were originally designed to be apartments.
One aspect of the process that was criticized by those who see all things as worthy of their critique was that the sales were contracts, but that the developers were requiring only $5,000 earnest money to hold the units. It had worked for them at Bristol on Broadway and was working at Bristol West End, so they were confident it would work once more.
The additional units sold less quickly, taking a whole four days to be devoured. They were mid-rise rather than high-rise, and some of the views were obstructed by the sister tower that also proved to be the competition. Yet all of the 417 units sold, with the news being met with excitement and skepticism.
As the building was being constructed, the bottom fell out of the real estate market. Numerous people who were under contract, soon to be known as former buyers, fell out and decided to lose their $5,000 rather than close on the real estate that they had agreed to buy.
The push to terminate contracts was almost as strong as the frenzy to enter into the agreements. Picture George Baily during the run on the bank.
Listing agent Scott Evans, who was doing his best Jimmy Stewart imitation, remembers price reductions ensued in attempts to keep the existing buyers in place and to recruit new buyers to replace those that had evaporated.
The Icon in the Gulch was the talk of the town once again, this time for completely different reasons. One important commercial real estate player predicted he would be able to purchase all the units he wanted for “25 cents on the dollar.”
That didn’t happen, Evans says, but some of the condos resold for as low as 60 cents on the dollar, but only until momentum returned. And it did. Evans and his team were, however, forced to sell some units as many as three times before they finally closed.
As contracts rolled in and the project was completed, prices began to return to original levels. The building had closed over 300 units soon after completion, but the skeptics continued crowing and deemed the development a failure, citing the lack of recorded deeds in the register’s office, a process that usually takes four to six weeks after closing.
One person took pictures of the building at night revealing few units with their lights aglow in order to showcase the doomed building.
Those who had faith have been rewarded, as evidenced by the sale of unit No. 1001 last week for $1 million. That unit closed in 2012 for $499,900 – the original sales price – and was resold in 2013 for $542,500. A third owner paid $728,000 in 2020, selling this year for $1 million.
The condo has 1,250 square feet and sold for $920 per square foot. Within its walls are two bedrooms and two bathrooms. The original toilets have been replaced, as has the dishwasher listing agent Megan Hopkins of Market Place Realty reports. She represented the buyer, as well, and noted the range hood had never been used and there was new designer lighting throughout.
Included in this unit were two parking places, some valuable real estate in the initial offering going for $10,000 per unit. They are deeded separately in this building and now sell for $20,000 each.
The resales do not have the $10,000 upgrade for views or the $5,000 per floor premium, as it is all rolled into the prices. All that pricing can be thrown out the floor-to-ceiling windows.
Yet the higher properties with the best views help raise the prices of the lower homes lacking the downtown vista.
In real estate, as in comedy, timing is everything.
Richard Courtney is a licensed real estate broker with Fridrich & Clark Realty, LLC and can be reached at [email protected].