The River development also has two sales over $5 million

BY MARIO TONEGUZZI, CALGARY HERALD JANUARY 25, 2012

CALGARY — Calgary condo sales have reached new heights after a luxury unit fetched a record $8.3 million, before construction has begun.

The 5,260-square-foot condo will cover the entire 12th floor of the 15-storey development called The River, located along the Elbow River, which flows through the southern portion of the city.

Already, more than $30 million in real estate has been spoken for in the project, which includes 38 residences — 27 units in the tower and 11 town houses.

Anne Clarke, director of sales for The River, said eight sales have been completed and three deals are pending.

"These (buyers) are business leaders. They are leaders in not only business, but in our community," Clarke said.Other sales in The River have included units for $5.7 million and $5.5 million.

The top-floor tower unit is listed at $9 million.

"It signifies we really do have a need for this type of product," Clarke said.

The buyer of the $8.3-million condo was not identified, but is described as a longtime Calgary oil and gas executive.

The highest MLS condo sale previously in Calgary was $4.1 million in 2011.

The most ever paid for a single-family home was $10.3 million, in 2009.

The River concept is luxury estate condominiums that offer the benefits of an estate home without the challenges of security and maintenance, said Clarke.

Construction is expected to start by April, with completion in early 2014, said Chris Bourassa, chief operating officer of Ledcor Properties Inc. The River is being developed by 26th Avenue River Investments Inc., an affiliate of Ledcor.

The Calgary Real Estate Board recorded 422 single-family sales of more than $1 million in 2011, up from 346 in 2010.

Twenty-six condos last year sold for more than $1 million, up from 21 in 2010.

"We've had this site for quite some time. We were able to watch what's happened over the last five years," said Bourassa.

"The starter condo market and the mid-market is very well served. But we found there was a hole in the luxury market.

"In talking to our buyers and our focus groups over the last 18 months, it became very clear that there was a lot more demand for larger units."