March 31, 2011
Giant Value Housing Or Headache To Come In The Mission?
Having purchased the fully entitled housing site at 1800 Van Ness last year for $4.25 million, Oyster Development is now in contract to purchase the Giant Value store at 2558 Mission Street which hasn’t been entitled for development but was targeted for almost a hunderd housing units over 14,000 square feet of retail by seller Gus Murad.
From J.K. Dineen at the San Francisco Business Times:
The site has long been one of the most contentious in the Mission, if not the entire city. It has faced strong opposition from groups like the Mission Anti-Displacement Coalition, which fights market-rate housing development and anything that it regards as gentrification. The group has particularly targeted Murad, an ally of former Mayor Gavin Newsom whose restaurant has been a popular gathering place for elected officials.
Murad bought [the adjacent New Mission Theater] and the Giant Value store from City College of San Francisco in 2005 for $4.35 million. Last year he went into default on a $2 million loan to CCSF, the junior lender on the property. A trustee sale was scheduled for March 22, but that has now been cancelled, according to [Oyster President Dean Givas].
Murdad, who owns Medjool and had a Noe Valley home on the market last year, didn’t sell his stake in the theater which he hopes to redevelop "into an entertainment complex with movies, music and dining."
∙ Copy That, 1800 Van Ness/1754 Clay Street Site Sells For $4.25M [SocketSite]
∙ Oyster tries to crack Mission [San Francisco Business Times]
∙ A Medjool Of A Modern Noe Valley Home (767 27th Street) [SocketSite]
From Quintessential To Designer And A New "$15,000" Kitchen
2721 Sacramento #B wasn’t listed as a "designer" condo when it sold for $1,400,000 in 2008. At the time, it was simply "quintessential." Since then, however, and amongst other improvements, the kitchen has been remodeled from the above to the below.
According the permit and associated fees for the remodeling, that’s a $15,000 job. But if you buy that, you really don’t understand the rules of the game. Or if you'd be willing to bid that work for $15,000 let us know, we'll keep you busy all year.
Back on the market and asking $1,450,000, while not noted this time around, in 2008 the condo was listed at 1,350 square feet.
∙ Listing: 2721 Sacramento #B (2/2) - $1,450,000 [MLS]
Living Large In 435 Square Feet: Inside 86 Stanton
Behind the little gate and down the flagstone steps at 86 Stanton, a 435 square foot cottage originally constructed in 1918 but recently remodeled lies on two lots.
And while its surrounding grounds (or at least the yard) could use some care, we’re totally crushing on what’s now inside, from the Pedini kitchen to the sleek bath (or shower).
Just listed for $1,150,000, the cottage is also being offered for rent at $3,000 a month. We'll let you run the numbers.
UPDATE: As a number of plugged-in readers have quickly and correctly noted, while the permit to remodel 86 Stanton was pulled in 2006, in 2008 a permit was filed to build a new three-story house on the font half of the double lot but has yet to be approved.
March 30, 2011
$75 $100 Million Dollar Los Altos Hills Mansion
According to the Wall Street Journal, the sale price for the rather large Los Altos Hills home recently purchased by Russian investor Yuri Milner was $100 million, 30 percent more than was previously reported.
The Los Altos Hills mansion runs more than 30,000 square feet and was completed around 2008, according to an architect who helped design the home. Mr. Milner, who heads Digital Sky Technologies, whose investments include Facebook Inc., Groupon Inc. and Zynga Inc., bought the mansion through a limited-liability company. The home was not on the market, according to people familiar with the deal. Mr. Milner has no immediate plans to move into the home, a spokesman said. The sale was previously reported by the website TechCrunch; it and other outlets had reported the sale at $70 or $75 million.
The symmetrical limestone mansion with San Francisco Bay views was inspired by 18th-century French chateaux; the design process began around 2001, according to architect William Hablinski, who designed the home with his then-partner Richard Manion. “There wasn’t a real budget,” Mr. Hablinski said of the home, which has a ballroom, home theater, wine cellar and indoor pool. Public records put the house at about 25,500 square feet with a 2009 completion date.
Believe it or not, the purchase was
hedged seller financed with a $50 million dollar note.
To Enclose Or Not To Enclose, That's A Reader's Question Of The Day
I'm hoping to do one of those bath-in-the-shower-enclosure setups [like at Jackson Square] and wondered if people had any experience with them. It'll be a sealed steam shower enclosure.
∙ A Plugged-In Pot Filler Comment (And Theme) We Couldn’t Resist [SocketSite]
∙ See Inside But Not Around Jackson Square (845 Montgomery) #C [SocketSite]
San Francisco’s Condo "Double Dip" Is (Or Was) Here
According to yesterday's S&P/Case-Shiller report, the index for San Francisco MSA condo values has officially "double dipped," falling to 134.59 in January versus a localized low of 135.79 in March 2009 and after having ticked up to 149.49 this past July. The index is now back to between December 2002 and January 2003 values.
At 133.37, the aggregate San Francisco MSA single-family home index remains 13 percent above its localized low of 117.77 in March 2009 while the index for the top third of properties, as defined by original purchase price, is currently 6 percent higher than its March 2009 level of 133.23 versus 13 percent higher last May (150.07).
With respect to a recent uptick in condo sales volume which some might characterize as "hot," keep in mind that it’s being driven in part by a downtick in values, which to those who own the properties might be considered to be more of a "not" (quite so hot).
Closer To Home For 845 Montgomery #C
In 2009 a list price of $1,095,000 didn’t attract a buyer, nor did its reduced price of $995,000, and a year ago it was withdrawn from the MLS. Today, 845 Montgomery #C is back on the market and listed for $1,029,000, the two-bedroom Jackson Square condo was purchased for $1,000,000 ($958 per square foot) in 2008.
And while the listing photos might not be quite so polished this time around, at least those for the neighborhood establishments are actually in the 'hood versus a mile or so away.
No word on whether or not the "show to most select clients" line from the listing is code.
∙ Listing: 845 Montgomery Street #C (2/2) 1,044 sqft - $1,029,000 [MLS]
∙ See Inside But Not Around Jackson Square (845 Montgomery) #C [SocketSite]
∙ The Jackson Square Condominiums (847 Montgomery) [SocketSite]
SF Property Tax Reduction Informal Review Deadline Tomorrow
"San Francisco homeowners have until Thursday to request a temporary property tax reduction for 2011-12 by filling out a one-page form and returning it to the county assessor's office...property owners who miss the March 31 deadline can still file a formal appeal between July 5 and Sept. 15, but [it's] a more involved process [with] a $65 fee."
∙ Deadlines to seek Bay Area property-tax reductions [SFGate]
∙ Temporary Homeowners' Property Tax Reduction/Informal Review [sfassessor]
∙ Formal Tax Assessment Appeal [sfbos.org]
56 Sotelo Shortly Returns A Little Less Short
It’s been ten months since 56 Sotelo Avenue first hit the market asking $1,995,000 having been purchased for $1,900,000 in 2007 and then remodeled incorporating new wrought iron gates imported from South America amongst other updates.
Relisted, reduced a few times and eventually listed as a short sale for "$1,599,000," the listing for 56 Sotelo was withdrawn from the MLS on Monday despite having been in contract since mid-February according to the MLS.
Don’t fret if your "fussiest clients" never had a chance to see it, however, for the next day 56 Sotelo was listed anew with a new brokerage at $1,835,000 and an official "Days on the Market" count of one.
∙ Listing: 56 Sotelo Avenue (4/4.5) 2,770 sqft - $1,835,000 [MLS]
∙ There Were Bids For The Before Will There Be Bids For The After? [SocketSite]
∙ No Bids So A New Listing And (Another) Reduction Up On Sotelo [SocketSite]
March 29, 2011
Pacific Heights For 50 Percent Below 2006 Expectations And Debt
As we wrote about 2523 Steiner back in 2007:
After 138 days on the market, and three price reductions (now $505,000 or 15% below its original list price [of $3,300,000]), 2523 Steiner is still on the market. But now it’s also testing the waters as a rental ($10,000 per month). We’ll let you run the numbers.
And as a plugged-in reader added at the time:
I went to an open house here and it really is just awful. It was like walking around in an M.C. Escher painting it was so ill conceived: bizarre stairs everywhere, bathrooms you can't turn around in, a "media room" that's pretty much a dungeon, and poor, poor finishes. Definitely a WTF were they thinking property. I seriously doubt it'll ever sell...
Two years later 2523 Steiner was foreclosed upon with no bidders at $2,408,718 cash and nearly $3 million owed. While today, 2523 Steiner returned to the market listed for $1,450,000 with possession at close of escrow (i.e., no tenants over which to fret).
If you'd like a peek inside, follow our link above for what was the original asking rent.
Two Big Tests For San Francisco's New Board Of Supervisors
San Francisco’s new Board of Supervisors will hear and vote on the appeals against certifying the Environmental Impact Reports (EIR's) for two big developments in San Francisco this afternoon, first the proposed 350-foot tower at 350 Mission and then the proposed redevelopment of Parkmerced.
The EIR’s for both projects were passed by San Francisco’s Planning Commission prior to the election of the four newest members of San Francisco’s Board of Supervisors.
∙ San Francisco Board of Supervisors Agenda: 3/29/11 [sfbos.org]
∙ 350 Feet At 350 Mission (And San Francisco’s Planning Commission) [SocketSite]
∙ Parkmerced's Proposed Urban Design, Open Space, And Sustainability [SocketSite]
542 Valley Closes For $558 Per Contemporary Square Foot
Listed for $2,995,000 in 2008 but taken back by the bank this past October with $1,648,285 owed on its first, the bank-owned sale of 542 Valley closed escrow yesterday with an "over asking" contract price of $1,701,000.
Call it $558 per foot for the 3,051 square foot home which was rebuilt by Len Brackett in a contemporary Japanese style on a double Noe Valley lot.
∙ A Contemporary Japanese Estate In Noe (And No, It's Not Ellison's) [SocketSite]
∙ A Little Too Japanesey Indeed As 542 Valley Goes Back To The Bank [SocketSite]
∙ Numerology Nuts Take Note As 542 Valley Returns REO In Noe [SocketSite]
S&P/Case-Shiller: San Francisco Value Decline Accelerates In January
According to the January 2011 S&P/Case-Shiller Home Price Index, single-family home prices in the San Francisco MSA fell 1.8% from December ’10 to January '11, down 38.9% from a peak in May 2006 and down 1.7% on a year-over-year (YOY) basis, a steady slide from the 18.3% gain reported this past May and the second consecutive YOY decline since October 2009.
For the broader 10-City composite (CSXR), home values fell 1.0% from December to January, down 31.7% from a June 2006 peak as values fell 2.0% year-over-year.
“Keeping with the trends set in late 2010, January brings us weakening home prices with no real hope in sight for the near future” says David M. Blitzer, Chairman of the Index Committee at Standard & Poor's. “With this month’s data, we find the same 11 MSAs posting new recent index lows. The 10-City and 20- City Composites continue to decline month-over-month and have posted monthly declines for six consecutive months now.
“These data confirm what we have seen with recent housing starts and sales reports. The housing market recession is not yet over, and none of the statistics are indicating any form of sustained recovery. At most, we have seen all statistics bounce along their troughs; at worst, the feared double-dip recession may be materializing. A few months ago we defined a double-dip for home prices as seeing the 10- and 20-City Composites set new post-peak lows. The 10-City Composite is still 2.8% above and the 20-City is 1.1% above their respective April 2009 lows, but both series have moved closer to a confirmed double-dip for six consecutive months. At this point we are not too far off, and that is what many analysts are seeing with sales, starts and inventory data too.
For the sixth time in six months prices fell on a month-over-month basis across all three price tiers for San Francisco MSA single-family homes. And for the third time in three months, home values fell on a year-over-year basis for San Francisco's top two price tiers.
The bottom third (under $327,921 at the time of acquisition) fell 0.8% from December to January (down 2.3% YOY); the middle third fell 2.3% from December to January (down 3.1% YOY); and the top third (over $602,297 at the time of acquisition) fell 1.2% from December to January, down 1.5% on a year-over-year basis.
According to the Index, single-family home values for the bottom third of the market in the San Francisco MSA have fallen back to June 2000 levels having fallen 58% from a peak in August 2006, the middle third has fallen to just above April 2002 levels having fallen 39% from a peak in May 2006, and the top third has retreated to just above January 2004 levels having fallen 26% from a peak in August 2007.
Condo values in the San Francisco MSA fell 1.9% from December ’10 to January '11 for a 6.5% drop in value year-over-year (down 33.3% from December 2005).
Our standard SocketSite S&P/Case-Shiller footnote: The S&P/Case-Shiller home price indices include San Francisco, San Mateo, Marin, Contra Costa, and Alameda in the "San Francisco" index (i.e., greater MSA) and are imperfect in factoring out changes in property values due to improvements versus appreciation (although they try their best).
∙ S&P/Case-Shiller: Home Prices Off to a Dismal Start in 2011 [Standard & Poor's]
∙ S&P/Case-Shiller: San Francisco Home Values Dropped In December [SocketSite]
∙ May Case-Shiller: San Francisco Tiers Up But Gains Moderating Atop [SocketSite]
March 28, 2011
1840 Washington: Rendering, Timeline And Floor Plan Scoop
It was two and a half years ago that we first plugged you in to the plans for 26 new units at 1840 Washington and a year ago when construction commenced. And while we managed some rough renderings last year, we now have the inside scoop on the latest rendering above and most of the floor plans below (click to enlarge).
The building is expected to be construction complete mid-September and will yield eighteen (18) two-bedrooms, six (6) one-bedrooms, and two (2) three-bedroom penthouses with private 600 square foot terraces.
One car parking and same-floor storage for each unit while a rooftop terrace with built-in BBQ will be shared. Prices have yet to be set, you'll be the first to know when they are.
∙ The SocketSite Scoop On 1840 Washington: Demo And 26 New Condos [SocketSite]
∙ 1840 Washington: Construction Commences (And Calling All Tipsters) [SocketSite]
∙ 1840 Washington: The Design (By Way Of A Plugged-In Tipster) [SocketSite]
The Smitten Ice Cream Scoop: T-Minus Two-ish Weeks
Since anchored with systems and three of four "Kelvin's" in place, it should be two-ish weeks before Smitten’s walk-up instant ice cream bar opens its roll-up door for the public.
∙ The Containers Are Coming! The Containers Are Coming! [SocketSite]
∙ The Evolution Of EnvelopeA+D’s Proxy Project For Parcels K+L [SocketSite]
A Decade Over Decade Drop In District 4 For 165 Hazelwood Avenue
As we wrote five months ago, having been remodeled and flipped for $712,000 in March 2001, the Westwood Park home at 165 Hazelwood Avenue returned to the market this past October in District 4 listed as a short sale for "$699,000."
Today, the list price for three-bedroom home was reduced to $680,000 and the all important word "approved" has been added to the listing.
∙ Listing: 165 Hazelwood Avenue (3/1) 1,080 sqft - "$680,000" (short sale) [MLS]
∙ A Lost Decade Listing For 165 Hazelwood Over In Westwood Park [SocketSite]
If They Weren't Million Dollar Views Before, They Really Are Now...
In 2006 the "Vintage Cow Hollow Edwardian" in need of some "TLC" at 3025 Scott Street was purchased for $2,750,000 by its uphill neighbor(s) in what would appear to have been a strategic bid to protect views.
Four years later, and with an easement aimed at restricting any increases in height newly attached, the property returned to the market listed for $2,100,000. Failing to sell in 2010, the property was relisted for $1,900,000 with "one day" on the market in January.
Thirteen days ago the sale of the 2,557 square foot Cow Hollow fixer officially closed escrow with a just now reported contract price of $1,800,000 ($704 per square foot). Call it a little over a million dollars spent to protect a few million dollar views and a 35 percent ($950,000) drop in value for the property.
More Green For The Red And Gold And New Urban Agriculture Rules
Amongst the items on the agenda for San Francisco’s Land Use and Economic Development Committee this afternoon: Another informational hearing on the on the proposed Parkmerced Project, a planning code amendment related to urban agriculture, and a $12,852,000 settlement between the City of San Francisco and the San Francisco Forty Niners in the form of rent credits, rent reductions, and $3,000,000 in stadium improvements to settle a claim over the current state of Candlestick Park.
San Francisco Listed Housing Inventory Update: March 28, 2011
Inventory of listed single-family homes, condos, and TICs in San Francisco increased 2.3% over the past two weeks to 1,476 active listings. Listed inventory levels have increased an average of 4.7% in San Francisco during the same two weeks over the past five years.
Current listed inventory is closing in on last year's levels, up 2% on a year-over-year basis, up 13% versus the average of the past five years, and up 50% as compared to an average of 2006 and 2007. On the demand side of the equation, listed sales were up 1.5 percent in February with 276 properties sold as the median sale price fell 7 percent year-over-year for single-family homes, down 13 percent for condos.
The inventory of single-family homes for sale in San Francisco is up 15% on a year-over-year basis to 632 homes while listed condo inventory is down 5% to 844 listings.
The percentage of active listings in San Francisco that have undergone at least one price reduction ticked up two points to 32% as the percentage of active listings that are either already bank owned (73) or seeking a short sale (215) sits at 20%, down 1% on an absolute basis over the past two weeks.
The standard SocketSite Listed Inventory footnote: 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).
March 25, 2011
Of Course You Deserve 566 Kansas, But Does It Deserve You?
Purchased for $1,540,000 in October 2005 when listed as a 1,750 square three-bedroom home with high ceilinged storage space and garage, 566 Kansas was remodeled in 2006. Think all new bathrooms, a new kitchen, and two new bedrooms below.
This week, the Potrero Hill home returned to the market as a 2,962 square foot four-bedroom "oasis for a deserving buyer" listed for $1,899,000.
Of course you deserve 566 Kansas, our only question is whether or not it deserves you?