Commercial Brokers Spotting a Condo Conversion Trend

Investors of all types spent a lot of money on apartments in 2002, but area commercial real estate brokers noted that many did not intend to continue collecting rents at the properties.

Companies specializing in condominium conversions redeveloping apartment properties into condo complexes -

According to brokerage Colliers International's local research department, 1,164 apartment properties were sold in 2002, ranging in size from 16 units to more than 400 units.

Jon Busse, senior vice president at Colliers' Carlsbad office, is representing a property in Bonsall that was originally mapped out in a way that it could be converted to condos.

"The owner and I agreed the target market would be seven to 10 condo converters. I took the deal directly to them," Busse said.

Traditionally, when an apartment property is listed for sale, it would be marketed to a wider array of investors. But lately, Busse noted, condo converters are looking at any property that could be turned into for-sale units.