Elk City Tornado Hit the Real Estate Reset Button

Posted by Tyler Harrison on Friday, September 15th, 2017 at 2:02pm.

Thank God there was not any more loss in life than there was.  I wonder how so many people made it riding it out in a closet/bathroom etc.  Where do I start?  I believe the tornado just hit the Reset Button for many things concerning real estate.  There was just one lot left at the Country Club before the tornado, now there are several and more to come, as soon folks settle with their insurance.  Several older residents have taken this time to downsize and sell their lots.  Many younger residents who had bought elsewhere in town will now be able to find a lot to build on.   Some residents decided to move on and buy elsewhere, but most are building back and most are building back bigger and better.  I believe Eagle Circle is going to look more upper end and less cookie cutter, this will be good news for home values on that street.  I do not for see many lots at the golf course being sold on the open market, more private treaty.  I believe the same can be said about Fairway Drive in Elk City.  Pre-May 17th there were several 1980s style homes located on Fair Way Dr., some even under 1800 square foot, but most were wiped out and bigger and better will take their place.  I believe summer of 2018 will see a much-improved Fair Way Dr. and Eagle Cir.   

We think of just home being affected during the May 17th tornado, but a boat load of commercial property was just wiped off the Elk City commercial landscape.  I would venture to say that 2 to 3 million square feet of warehouse is now gone.  These are purely my estimates.  Many of the properties were snatched up by those who offered to clean them up for free if you just deeded them the land.  If you were lucky enough to have insurance on your commercial property, the insurance company will pay you to clean up the site.  Many just kept the money and deeded the land to those who had the equipment to clean it, win win.  The ownership of these lots along HWY 6 in Elk City are now much more consolidated to just a handful of owners.  These lots are vacant and I don’t believe rent rates are high enough to justify building a new building just to rent, and many oil field companies do not buy and build, they rent.  I’m afraid that these lots will stay vacant for a long time.  When there is a need for commercial space in Elk City the market will not be fast enough to absorb these new tenants making Elk City a less acceptable place to relocate or open another office.  

Fairway Drive, Elk City

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