June 30, 2008
Coming Soon: A Noe Valley “Masterpiece In Progress” (625 Duncan)
According to its website, 625 Duncan is “a masterpiece in progress” and “estimated to be marketed in Fall 2008.” Four bedrooms, four and one-half baths, and a one bedroom apartment. And the anticipated asking price? $6,250,000 (only slightly below that of the record seeking 3816 22nd Street). We’ll keep you plugged in.
∙ Coming Soon: 625 Duncan [2820scott.com] [Map]
∙ The Holy Hotness Of Firehouse 44 (3816 22nd Street) Hits The Market [SocketSite]
Mini Meltdown At The Metropolitan? (333 1st Street #N1906)
According to the listing, 333 1st Street #N1906 is now a bank owned studio at the Metropolitan with an asking price of $399,000.
And while according to Redfin the 506 square foot #N1906 sold for $885,000 on May 30, 2008 (which doesn’t quite pass our smell test even assuming out-and-out mortgage fraud), according to the Chronicle it changed hands in April of 2005 for $525,000.
And if Cyberhomes is correct, Metropolitan units #N1203, #S1508, and #N1006 are either in foreclosure or headed that way as well.
SocketSite's San Francisco Listed Housing Inventory Update: 6/30/08
Inventory of Active listed single-family homes, condos, and TICs in San Francisco decreased 1.4% over the past two weeks and is currently running 34% higher on a year-over-year basis.
We still haven't seen a significant post Memorial Day bump in inventory and new listing volume is down on a year-over-year basis, but sales volume has started to slow as well. And perhaps as a measure of mismatched "expectations," thirty-three percent (33%) of current listings have undergone at least one price reduction versus twenty-six percent (26%) at the same time last year.
Keep in mind that our listed inventory count does not include listings in any stage of contract (even those which are simply contingent) nor does it include listings for multi-family properties (unless the units are individually listed).
Tomorrow Night At The Commonwealth Club: Buy, Sell Or Wait 2008
It’s another real estate redux (Buy, Sell or Wait, Part II: Real Estate in the Bay Area 2008). It’s another great panel:
Joseph Perkins, President and CEO, Home Builders Association of Northern California
Rich Arzaga, Financial Planner; Professor, Real Estate Investment, UC Berkeley Extension
Tom Davidoff, Assistant Professor of Real Estate, UC Berkeley Haas School of Business
Joske Thompson, Agent, Pacific Union GMAC Real Estate
∙ Buy, Sell or Wait, Part II: Real Estate in the Bay Area 2008 [Commonwealth Club]
Posted by socketadmin at 8:00 AM
From Our Word On The Street To Officially On The Market: 2820 Scott
It’s been almost two months since we let our readers know that while not officially on the market 2820 Scott Street (a.k.a. the 2008 Decorator Showcase House) could be yours for “an offer north of $29,000,000.”
And today, it’s officially on the market (although not on the MLS) with an asking price of $29,500,000. It’s funny how that happens (and it’s good to be plugged-in).
UPDATE (7/2): While advertised for $29,500,000 in print, it's listed for $27,500,000 online.
∙ Listing: 2820 Scott Street (7/9.5) -
$29,500,000 $27,500,000 [2820scott.com]
∙ The SocketSite Scoop On 2820 Scott: 2008 Decorator Showcase House [SocketSite]
June 27, 2008
San Francisco Magazine Is Plugged-In (Not That They Weren’t Before)
Our thanks to San Francisco Magazine for identifying SocketSite as one of the 217 best things about the Bay Area in 2008 (“Best Source For Real Estate Info”). And while we’re officially biased, great party last night (and even greater cause).
∙ San Francisco Magazine: Best Source For Real Estate Info [sanfranmag.com]
∙ Family House [familyhouseinc.org]
Posted by socketadmin at 2:01 PM
They're Not Building Any More
Land Condos Across The Bay
"Oakland's condo building boom has ground to a near halt. While construction has continued on existing projects, Patton said no new projects have broken ground during the first half of 2008.
A June report on the East Bay condo market from the Mark Co. lists at least a dozen projects slated to begin construction in 2008 that are now on hold. And work halted on Olson Co.'s City Walk at 1260 Martin Luther King Jr. Way last July and has yet to resume because of funding problems, according to Olson spokeswoman Nancy Green.
Other projects, such as Lightner Property Group's 120-unit 3250 Hollis St. and 100-unit 2847 Peralta St. are ready to break ground, but have been put off until the market shapes up."
UPDATE: From a plugged-in developer: "I own a nearly fully entitled 16 project in a great location by Lake Merritt and it does not come remotely close to penciling out. I figure the market there has dropped 40%."
∙ Oakland developers freeze housing projects [San Francisco Business Times]
Soma Grand (1160 Mission) BMR Applications Are Now Available
Applications are now available for the 29 Below Market Rate (BMR) condos at Soma Grand. Seventeen one-bedrooms ($217,868 - $221,698), eleven two-bedrooms ($240,266 - $246,664), and one three-bedroom ($275,739). All prices exclude parking (spaces available for an additional $45,000).
These are “100% of 2007 HUD Unadjusted Area Median Income” units, so household incomes can not exceed $60,550 for one person, $69,200 for two, and $77,850 for three. Applicants must be first-time homebuyers and applications are due Friday, July 25, 2008 by 5:00 p.m.
Incentives In San Francisco: They’re Not Just For Condos Anymore
According to J.K. Dineen, half a million square feet of unneeded office space in San Francisco has returned to the market over the past few months. And if you’re trying to time the market with respect to a move, the next 18-24 might be a good time to act.
While many landlords still resist lowering asking rates, concessions in free rent and tenant improvements are becoming more and more generous. Three- and four-year deals that landlords would have rejected a year ago were widespread. In fact the average lease term in the second quarter was 49 months, some 10 months shorter than average deals seen in 2006 and 2007, according to Colliers.
And once again, while an oft reported industry metric (in this case average base rent) might suggest one thing about the market, the actual trend in effective rents might suggest another.
∙ Office space floods onto San Francisco market [Business Times]
June 26, 2008
The SocketSite Scoop On 900 Folsom/260 Fifth: Condo Idol Comes!
Avant Housing, a joint venture between AGI Capital and TMG Partners, has launched a website providing some unique insight into the development process and soliciting community feedback for a trio of interconnected buildings in the works at 900 Folsom/260 Fifth Street.
The two adjacent parcels at 900 Folsom Street and 260 Fifth Street are the locations of a new mixed-use development project. What is currently a large surface parking lot, office building and adjoining small parking lot, will be transformed into a transit oriented, green, residential project. Airy 19 foot high, neighborhood-serving retail will be located at the ground level.
The two buildings, which are aiming to be LEED Gold certified, will bring 466 units, 466 parking spaces, and over 10,000 square feet of retail to the neighborhood.
And while Architecture International is driving the exterior design, here’s where it gets really interesting:
Word on the street is that the project sponsor has not designed the [interiors of the units] yet, and will be eventually using this site [for] polls on different floor plans, types of stone for counters, appliance brands, public amenity space, etc.. And the winners will actually be constructed. The American Idol of condos…
Actually involving potential buyers early on in the design process? What a novel concept. And a big hallelujah (and it's about time) assuming they can actually pull it off.
∙ 900 Folsom & 260 Fifth Street [900folsom.com]
The First “Official” Resale At One Rincon Hill Closes Escrow: #2202
With only six days between its listing for $1,300,000 and closing escrow, it’s probably fair to assume an offer was in hand prior to hitting the MLS.
That being said, the sale of 425 First Street #2202 officially closed escrow on 6/24/08 with a reported contract price of $1,300,000. And as far as we know, this represents the first on-the-record secondary market resale of a post-possession - versus contract assignment - condo at One Rincon Hill.
Do keep in mind that the 1,309 square foot “02” two-bedrooms with Bay Bridge views are oft considered to be some of the most desirable units in the building although a listing for #1802 at $1,399,000 was withdrawn without selling and leased (asking $5,250/mo).
And in terms of the original contract price for the unit two years ago, stay tuned (but it's safe to assume it was significantly less).
UPDATE: Pre-construction pricing for #1802 and #2202 when the sales office first opened: $980,000 and $1,020,000 respectively (not including any upgrades).
U.S. Home Resales Up But Remain Off (As Do Mortgage Applications)
While previously owned U.S. home sales ticked up two points in May to an annualized rate of 4.99 million sales, on a year-over-year basis sales remain off by 16 percent, the median sales price dropped 6.3%, and the increase is compared to the month prior which “matched a record low for existing home sales.”
A drop in property values may have spurred demand in some of the most distressed areas, such as California and the Midwest. Even so, rising mortgage rates, a glut of unsold homes, and stricter borrowing rules indicate the real estate recession will persist for most of the year.
And looking forward rather than back, "The Mortgage Bankers Association's index of loan applications to purchase homes fell last week to the lowest level in more than five years."
∙ Home Resales in U.S. Rose to 4.99 Million Rate in May [Bloomberg]
June 25, 2008
Behind The Great
Wrought Iron Wooden Gate At 830 El Camino Del Mar
While 300 Sea Cliff is withdrawn, 830 El Camino Del Mar is listed around the bend. And if you’ve always wondered what’s behind that great wooden gate, here’s a chance to peek inside (and if you've actually been inside, here's a chance to tell your tale).
Sure, $18,000,000 might seem a bit pricey for only two bedrooms (and under 4,000 square feet), but “approved plans" for a 3,500 square foot "penthouse level” are included. Our estimated cost to actually affect said addition on this particular home? Priceless...
UPDATE (6/26): From another plugged-in reader: "I know this house and [had] spoken with this owner decades ago. Since 1998 he has put it on the market 11 times, each time with a [high-end/profile] realtor at an inprobable price."
∙ Listing: 830 El Camino Del Mar (2/2.5) - $18,000,000 [John Saar] [Virtual Tour]
∙ The Latest Listing For The Captain’s House Sails Into The Sunset [SocketSite]
∙ Secluded Sea Cliff home on the market for $9 million [SFGate 2002]
California Sues Countrywide (And Who Do You Think Might Pay?)
As Countrywide’s shareholder’s approved Bank of America’s takeover offer, California and Illinois filed suit against the mortgage lender for “luring borrowers into risky loans they couldn't afford.”
Countrywide and Chief Executive Officer Angelo Mozilo were named in the suits, filed today, claiming the lender's tactics led thousands of borrowers to lose their homes when they couldn't make their payments. Countrywide used deceptive practices, including low ``teaser'' rates, to entice borrowers into adjustable-rate loans without adequately informing them that the payments would balloon in later months, according to the suits.
The suit seeks “restitution for borrowers, civil penalties of as much as $2,500 per violation and a court order halting the practices.” Mortgage surcharge anyone?
UPDATE: From a plugged-in litigator: "I litigate cases under this statute all the time. It will be resolved with a promise to stop doing all these things and a payment to the state of several million dollars. The alleged "victims" (those who took out CW loans) won't get a dime and there will be no "mortgage surcharge." Basically, B of A shareholders will take an insignificant hit and that will be the end of it."
Below Some Expectations (But Not If You’re Dan): 1635 Castro Closes
First on the market for $1,595,000 but quickly reduced to $1,495,000 (at which point a few expected it to fly), and then to $1,400,000 (“The deal of the year!”), 1635 Castro Street closed escrow yesterday with a reported contract price of $1,350,000.
Hats off to Dan who was on the record a month ago with his plugged-in prediction: “I'll say it goes for $1.35M.” And that it did.
JustQuotes: The Fed Doesn't Cut, Inflation Giving Reason To Raise?
"The Federal Reserve left its benchmark interest rate at 2 percent, ending the most aggressive series of rate cuts in two decades, as higher energy costs threaten to boost inflation....Treasuries, which had fallen before the statement, dropped to their lows of the day before rebounding. Two-year note yields were 2.93 percent at 2:26 p.m. in New York, from 2.84 percent late yesterday."
∙ Fed Keeps Rate at 2%, Cites `Upside' Inflation Risks [Bloomberg]
The Latest Listing For The Captain’s House Sails Into The Sunset
After an effective 65 months on the market, an $8,000,000 renovation and $2,400,000 price increase (followed by a $3,900,000 reduction), the latest listing for 300 Sea Cliff (a.k.a. The Captain’s House) has been withdrawn from the MLS. No word on whether or not it will soon return or was quietly sold. And if so, with (or to) whom and for how much.
Perhaps stucco really isn't more palatable to those modern millionaire tastes...
∙ Listing: 300 Sea Cliff Avenue (5/5.5) - $22,000,000 [Sotheby's]
∙ Top Five San Francisco Trophy Homes [SocketSite]
∙ The $8,000,000
Man Renovation [SocketSite]
∙ Another Chance At (For?) The Captain's House (300 Sea Cliff Ave) [SocketSite]
∙ 300 Sea Cliff: $3,900,000 Reduction (After An $8,000,000 Renovation) [SocketSite]
∙ Can’t Sell? Then Stucco! [SocketSite]
Here’s A Spot, There’s A Spot, Everywhere’s A Spot, Spot
Following the lead of new zoning plans that are already in place for a few neighborhoods, the San Francisco Board of Supervisors have approved new parking legislation for throughout the city:
“A new ordinance ends a rule requiring parking spaces at residential developments to be available only to tenants and opens the spaces to anyone who lives within one-quarter mile. The law also permits building owners and developers to use stacking machines and valet parking to meet city requirements for parking at housing developments.”
“San Francisco generally requires that existing residential buildings and new developments provide one parking space for every housing unit. Previous rules required that each residential parking space be accessible without the help of a person or a machine.
Tuesday's legislation follows the trend of new neighborhood zoning plans in the downtown area, Rincon Hill and the Market-Octavia neighborhood, which have lowered the required number of parking spaces. To encourage public transit use, the plans have allowed stackers, valets and other measures to reduce space occupied by cars.
Other provisions in the new ordinance could affect the amount of parking available to residents. Parking spaces in new or converted residential buildings of 10 units or more must be sold or leased separately from the housing units so that prospective residents aren't forced to take both a residential unit and a parking spot.”
In related “rent a parking space news,” a new website that allows people to “rent out their driveways on an hourly, daily, weekly or monthly basis” has launched in San Francisco.
Expect GottaPark to quickly expand their offering to include the brokering of individual spaces in new developments (to people living within "one-quarter mile" of course). And if they don’t, consider this your free entrepreneurial idea of the day.
Now about those invitations to the
housewarming launch party…
Psst! Hey Buddy, You Need A Kitchen To Go With That New Condo?
Last week the sale of 151 Alice B. Toklas Place #708 closed escrow with a reported contract price of $580,000 ($40,000 under asking).
To recap, purchased on 10/05/06 for $865,000; remodeled with a high-end kitchen (think Pedini) and bathroom; then subsequently “un-remodeled” and sold back to the bank (less the $55,000 kitchen and bathroom fixtures) for $708,933 on 1/9/08 (and following an unfortunate turn of events).
If you happen to be (or know) the buyer and are interested in repurchasing said kitchen and a toilet that’s “worth more than you think,” you know where to plug in. And regardless, let’s not forget those invitations to the housewarming (after it's re-remodeled, or at least has a toilet, of course).
∙ Another Non-Comp Comp Along The Booming Van Ness Corridor [SocketSite]
∙ Change Of Heart, Cash Crunch, Or A Condo Sitter Gone Crazy? [SocketSite]
∙ From Foreshadowing To Foreclosure For A Marquee Loft Off Van Ness [SocketSite]
June 24, 2008
Heritage On Fillmore Update: 90% Sold, Reductions And Incentives
According to a plugged-in tipster the Heritage on Fillmore sales office has been hitting the phones:
Received a call from the Heritage sales office yesterday…7 units remaining, prices reduced and offering incentives.
As far as we know Heritage first started advertising “only seven homes remaining” at the end May (which would suggest a bit of a lull over the past month). And in terms of the aforementioned reductions and incentives, unfortunately we didn't get the specifics, but perhaps you did (and would be willing to step up to the mic).