December 11, 2009
Another Bank Owned Watermark Comp To Be: 501 Beale #6C
While the bank owned 501 Beale #1D remains active and available, the bank owned #6C just hit the market. A South Beach comp at $806,000 in June 2006, the Watermark one bedroom was taken back by the bank this past November with $776,341 owed.
Asking $569,900 today, a sale at which would represent a 29 percent drop in value below its 2006 price. The bank owned 501 Beale #12G ended up selling for $750,000 in October, $1,000 "over asking" but 23 percent below its May 2006 purchase price of $975,000.
∙ Listing: 501 Beale #6C (1/1) 801 sqft - $569,900 [MLS]
∙ One Of Thirty Underwater Properties New To The Market This Week [SocketSite]
∙ 501 Beale #12G: No Short Sale For You! (Foreclosure Instead) [SocketSite]
∙ Rent Versus
Buy Default [SocketSite]
∙ 1br - Waterfront Condo steps from the Financial District [Craigslist]
First Published: December 11, 2009 9:30 AM
Comments from "Plugged In" Readers
Ouch. $701 HOAs.
Posted by: joh at December 11, 2009 9:36 AM
wow the photos really show off the great natural light the unit gets. psssh.
Posted by: ArianaMM at December 11, 2009 9:43 AM
efficiency living at its very best...
Posted by: priced_out_with_envy at December 11, 2009 9:53 AM
At this point it almost seems comical that people were paying $1,000 per square foot for places like this. I think $570K is still high for a one bedroom. That's what a 2-bedroom should sell for in this building if you want to get close to rental equivalent.
But easy money is back, so never say never. If our benevolent central planners decide to set mortgage rates below 3%, for example, then $570K for a one bedroom makes sense (even with $700 HOA) if equivalent rent is around $2,500/month.
Posted by: Legacy Dude at December 11, 2009 9:54 AM
Well it's cool that it overlooks the Bay but there's a larger 12th floor 1BR at the Beacon that also overlooks the bay, has lower HOA, and is asking quite a bit less...
Posted by: J at December 11, 2009 9:56 AM
Wow. My dog could have taken better pictures of that unit than that. Plus the place just looks cheap. Complete incompetence by the agent here.
On the plus side, the bathroom looks like it has plenty of space in case you have a wide stance. Should have used some of that space for the kitchen instead.
Posted by: sfrenegade at December 11, 2009 9:58 AM
and it looks like the fridge is gone
Posted by: Mike at December 11, 2009 10:05 AM
...And possibly the microwave...
Posted by: J at December 11, 2009 10:24 AM
Anyone know what the large square pier beside the Beacon will be used for in the future? Seems like prime waterfront real estate and should be developed.
Posted by: What is at December 11, 2009 10:36 AM
That's gotta be a photo from the perch of my faaavorite building in the area!
Posted by: Rincon Hill Billy at December 11, 2009 10:40 AM
Legacy Dude says, "At this point it almost seems comical that people were paying $1,000 per square foot for places like this." If you want a big chuckle take a look at what I found on Redfin today.
Updated MLS Listing
3311 FILLMORE St #203
San Francisco, CA 94123
1 Bed, 1 Bath, 550 Sq. Ft.
The list price was "$529,950" and changed to "$569,950"
So they have upped the price and it is now $1,036/square foot.
Of course its over a dental clinic so at least you can go in for quick repairs as you gnash your teeth and wonder why on earth you paid this much to be this close to Lombard and Chestnut.
Posted by: Oceangoer at December 11, 2009 10:46 AM
^ What is...the large square pier was SUPPOSED to be the cruise ship terminal. The Watermark was developed as the first phase of that project, which also incorporated the lovely triangular parking lot that the Watermark looks out over. However, the Cruise Ship terminal was ultimately too expensive to build here, the developer pulled out, and it's now hopefully going to be built north of the Ferry terminal. (luckily, the Port scored some funds from the Phase 1 (Watermark) project to support development of the terminal).
I have no idea what current plans are for the Pier. It is prime real estate, but it is real estate that is in the process of falling into the bay. And can only be developed with maritime uses (no residential or general office).
Posted by: curmudgeon at December 11, 2009 11:03 AM
Posted by: SocketSite at December 11, 2009 12:12 PM
I've been trying to figure out why values in these SOMA towers have fallen 30% from peak while sub-$1MM condos a couple of miles away in Noe have slipped only in the 10% range. Is it just because the bubble was so much more inflated in SOMA? $1000/sf?? I'm sure there must be a few examples, but I don't remember many 800 s.f. condos in Noe selling for over $800K. The prices that were paid for some of these SOMA units is just mind blowing. Current asking prices of $700/s.f. still seem way out of line, especially given the HOAs.
Posted by: offshoreflow at December 11, 2009 3:30 PM
J, What Is --
The building in the photo is the Watermark, not the Beacon. The Beacon is nearly a mile away and is not a comparable building, due to the different benefits/drawbacks of its location.
I'm not famliar with the Noe condo market, but it is extremely unlikely that Noe has seen anything like the volume of new condo construction that SOMA has in the past 5 years, especially if you include Berry St. I do consider everything north of Mission Creek to be part of SOMA, regardless of what some real estate organization's map might suggest.
Posted by: Delancey at December 11, 2009 4:22 PM
This place make apartments in Tokyo look spacious. Give me a break. $250K and you still could not make me move into this place. But of course with $0 down and a pick a pay loan I could be pursued to stick around until the bank kicks me to the curb.
Posted by: Carlitos Way at December 12, 2009 6:34 PM
The list price for the bank owned 501 Beale (Watermark) #6C has been reduced 5% from $569,900 to $541,400. Once again, purchased for $806,000 in June 2006.
Posted by: SocketSite at January 5, 2010 10:11 AM
Oceangoer, regarding 3311 Fillmore, it looks like it changed from active to pending today.
It will be interesting to see if this really does go for over $1000 sq/ft.
Posted by: Morg at January 21, 2010 11:44 AM