Boston Magazine has a very interesting article regarding the Boston W Hotel and Residences entitled: What Happened to the W Hotel? Fourteen months ago, the W Hotel was the hottest property in the city. Today it has filed for bankruptcy protection.
Here are a few excerpts from the most recent Boston Magazine, regarding the Boston W luxury condos:
“The units at the W are so small; there is no demand for smaller units,” says luxury condo seller Beth Dickerson. “I think they made a mistake.” While those other properties have also struggled in this economy, both have done better than the W — to date, the Clarendon has sold 48 units with an average price of $1.7 million, and 45 Province has sold 26 units with an average price of $1.2 million. The W — which has sold another 15 units since filing for bankruptcy protection, bringing its total to 27 — has had an average sales price of just $862,000.
The article also brought a little insight into the W banruptcy court case:
Back in the bankruptcy courtroom, Kevin Ahearn, the man in charge of marketing the W condominiums, takes the stand. The hotel’s troubles won’t last, he insists, testifying that despite the economy, both sales volume and prices are poised to increase and rescue the project. “In my opinion,” he says, “it’s probably about to enter the best period of time for development that I’ve ever seen.”
The article concludes with:
The most important thing for Sawyer, of course, is to start selling more condos. For that to happen, though, the W has quite a challenge ahead of it…