Condo units afford hope.

Condo units afford hope.
MANATEE - Skyrocketing real estate prices knocked a lot of prospective first-time home buyers out of the market, but they may find new hope in condo conversions.
Several apartment complexes that have gone condo are trying to breathe new life into a market that all but dried up during last year's real estate frenzy.
MK Equity Group renovated an 174-unit apartment complex last year with great success. Now the company is renovating a neighboring 272-unit complex.
The Sanctuary of Bradenton is located just south of 53rd Avenue West on 26th Street. Tucked behind a shopping complex, the community has a private feel and is attracting many first-time home buyers, said real estate agent John Petitti.
The Sanctuary has studios starting at $89,900. The 1,000-square-foot, two-bedroom units also fall into the realm of affordable housing, starting at $139,900.
Petitti and broker Ross Bryans of Central Park Realty are familiar with condo conversions. The first one the team collaborated with developers on was more than 15 years ago.
Their first conversion was Harbor Pointe in 1991. Petitti recalls one-bedroom units selling for as little as $34,000. Those same units are now selling for around $200,000.
Central Park Realty teamed up with MK Equity to revamp Gardenwalk last year, and it quickly sold out. Gardenwalk is located just north of The Sanctuary on 26th Street West.
The housing market has changed, Petitti said. "The investors aren't really buying anymore," he said. "The people that have very little money and want home ownership are the ones we are seeing."
Chicago-based MK Equity is trying to boost affordable housing by helping with closing costs and offering first-time home buyers several incentive plans. "There is some free money out there," Petitti said.
Both Gardenwalk and The Sanctuary were built in the 1970s, but because of neglect, MK Equity ended up having to gut Gardenwalk, replacing the roofs and air conditioning units. The Sanctuary was also completely renovated with new appliances, siding and landscaping.
MK Equity also purchased the former apartment complex Hampton Bay before turning around and selling it to RDC Development Corp. The 352-unit complex is now called Palm Cove Condominiums.
Palm Cove Sales Manager Bill Davidson of Wagner Realty said he has seen quite a few first-time home buyers but very few of them were the tenants in the building when it was converted.
"Typically in any condo conversion, you're not converting many of the residents," Davidson said. Less than 5 percent of the inquiries come from the tenants, he said.