theFrontSteps…step inside San Francisco real estate

San Francisco Association of Realtors members now have access to active listing and off-market data for the following counties: Alameda, Contra Costa, El Dorado, Lake, Los Angeles, Marin, Mendocino, portions of Merced, Napa, Orange, Placer, Riverside, Sacramento, San Bernardino, San Francisco, San Joaquin, portions of San Mateo, Solano, Sonoma, Stanislaus, Ventura and Yolo. Oh the fun to be had….

Information below provided by Damion Matthews via PR Web

“California MLS Organizations Form New Mega-Data Sharing Group

New MLSAlliance™ Provides Single Search Platform to State’s MLS Listings

Boca Raton, FL. (PRWEB) July 31, 2007 - In an unprecedented cooperative effort, 10 Multiple Listing Service (MLS) organizations in California have signed a joint data sharing agreement forming the California MLSAlliance™, a new MLS gateway providing agents and brokers with a single source for accessing real estate information throughout California.

The new California MLSAlliance system was launched today and is now available to more than 150,000 brokers and agents, providing access to over 2.5 million active listings and off-market properties combined from 10 MLSs into one system. The system was developed and is managed by real estate technology provider eNeighborhoods, a division of Dominion Enterprises.

California is a prime example of today’s real estate market. Brokers and agents conduct business throughout the state, often across the traditional MLS boundaries. With the new MLSAlliance system, brokers and agents who belong to one of the 45 local real estate associations serviced by the 10 participating MLSs can now search one system to find listings spanning across the state. The joint data access agreement between the MLSs extends a blanket offer of compensation and cooperation to all authorized users of the California MLSAlliance. Read the rest of this entry »

by Damion Matthews

Glenn Kelman, CEO of discount real estate brokerage Redfin, recently boasted that “Most agents only close about eight deals a year. Our agents can close 100.” So when Carol Lloyd, the SF Chronicle’s real estate columnist responded, “They can, but do they?” I immediately set out to find the answer.

And the answer, my friends, is a big fat NO.

A review of Redfin transactions, as recorded by the San Francisco Multiple Listing Service from July 2006 to July 2007, shows that the widely publicized firm has had only 15 closed transactions in the city, with work divided among three agents (the bulk of it was done by one.)

It’s astonishing that such a small firm has received so much attention, with coverage nationally on “60 Minutes” and locally on the cover of the San Francisco real estate section. Kelman may not be a great real estate person, but he sure excels in publicity!

He’s also good at convincing investors that his company is destined for financial success when, in San Francisco at least, the evidence would suggest otherwise.

In July Redfin received $12 million in venture capital financing. This, despite the fact that in San Francisco — one of the strongest and highest-priced real estate markets in the country — the company has received, by my estimate, only about $125,000 in revenue to date!

That $125,000 figure is based on total commissions received, minus the 2/3rd rebate it pays back to its customers.

Redfin’s site shows that the company is currently doing business in seven other markets — like Baltimore, Boston, and San Diego. Could it be any more profitable there than in San Francisco? The agents would have to close twice as many transactions in Baltimore to bring in half the commissions they make here!

How Redfin is ever going to make money is beyond my grasp, but it hasn’t stopped the media from covering it as if Kelman is some business genius who knows more than all us old fashioned pre-internet dinosaurs. At least Carol Lloyd voiced the question no one else has bothered to ask. And now you’ve got the answer.

– Damion

-Redfin.com [website]
-The changing face of real estate deals [sfgate]

On July 3rd, “eddy” sent in a great post (A Tale of Two Districts) comparing two similar properties in different locations, and whether or not one would sell faster than the other. The answer is clear, and not surprising.

689 Douglass, a 4 bed, 3.5 bath, single family home in Noe Valley asking $1,895,000 set an offer date, received multiple offers, and is in contract for over asking. We’ve been asked by the listing agent not to disclose any more information than that, but from our experience in this market, it was a highly competitive situation, and we’re guessing it is substantially over. No surprise, it is a beautiful home in a great location.

2679 Sacramento, a 3 bed, 1 bath, single family in Pacific Heights asking $1,550,000 on the other hand, is starting to get that Stalefish ™ smell, and as far as we can tell, may be looking at a price reduction in the not so distant future. No surprise. It needs work, has a funky layout, and seems priced to high.

However, as “eddy” recently pointed out in an email to us, perhaps 2030 Scott, a 3 bed, 1.5 bath, single family home in Pacific Heights asking $1.7M, is a better comparison to Douglass. It just hit the market and spent nary 10 days there before going into contract. Also, no surprise. Great, unique home, great location, tons of light and outdoor space. Priced right.

The moral of this story? We leave that to you.

-A Tale of Two Districts [theFrontSteps]
-689 Douglass [mls]
-2679 Sacramento [mls]
-2030 Scott [mls]

This week alone we have received the following emails, literally cut/pasted:

“Do any of you have any fixers in your pockets or coming up? Open to anything with parking, yard and delivered vacant up to 1.5.”

“Does anyone have a vacant lot for sale in SF for under $1M?”

“Does anyone have any pocket listings or upcoming listings in District 4? My clients have been looking for a great single family home around the $800k (with room to negotiate) price tag. They are pre-approved and ready to put together a deal. Your help would be greatly appreciated!”

“I have a client who is looking for a 15 unit and up building in San Francisco. If you have any pocket listings or know of any potential buildings please contact me.”

Just another bit of information for you to help formulate your opinions about our market. We never, ever, ever receive any emails asking if anyone has a condo pocketlisting South of Market. San Francisco is all about the micro-markets, or as sfnewsletter says, the nano-markets.

We took the liberty of putting these requests in our Marketplace. We’ll see if we get any bites.

In a very short month and a half, we appear to be gaining a bit of a following, and we thank all of you who are stepping up to theFrontSteps.

We were recently notified of a very interesting stat that has nothing to do with real estate, and everything to do with us and you, our valuable reader.

There are currently 1,247,612 blogs worldwide on WordPress.com (our blogging platform), and we recently ranked #88 on their “top blogs” list.

Who beat us? A lot of blogs beat us, but this blog in particular caught our eye, for no other reason than the name, “I Can Has Cheezburger?”!? If you’re a feline freak, check that site out.

Thank you, thank you, and thank you for reading. Please continue to spread the word about us, as we think it will make your real estate discussions much more invigorating and enlightened.

-Plugged by “Curbed”, You Gotta Love It [theFrontSteps]

by Meagan Levitan

Question: What are the real estate signs of summer?

Answers: Still available! Price Reduced! Motivated Seller! Back on the Market — at no fault of the property!

Whether it’s the fact that people are out of town or simply that sellers have become too confident in San Francisco’s market, there’s an increase in the number of notices I receive from fellow agents hyping that their fabulous listing is “…hard to believe but still on the market…” or perhaps making a price reduction.

Recent reports in a certain local newspaper found that San Francisco sales are down but that sales prices are up — great if you’re a seller, not as great if you’re a buyer. News of the impact of subprime loans hasn’t helped the overall climate, either. Nevertheless, the City’s real estate market remains stable — and then some.

Inventory has dropped off — as witnessed by a paucity of new listings for the weekly broker’s tour on Tuesday. It was bound to happen, just as the thick, pea soup-like fog was bound to enshroud our city. Alas, it’s summer in San Francisco.

Pulled from the comments made by “boomtime” on “636 Steiner, an offer and a UFC style beat down”. We edited slightly and added property links so everyone is on the same page.

I call it the way I see it. It is an incredible Boomtime now, and I can’t wait to get my bonus this year. I have never experienced such a tight labor market, and salaries and bonuses are reaching new record highs. Imagine a 23 yr old, 1 yr out of school, clearing $115,000 in total compensation? Now, imagine the legions of more experienced people in my industry, and what they are getting paid. It is not uncommon for a 28 year old to get paid $300,000 and a 32 year old to get paid $500,000+. This is the prime demographic of home buyers in SF. Add a spouse, and you get another $50,000 AT LEAST + income.

1330 Chestnut St. anyone? In contract after one Sunday open house for $1.495 million purchased last year for $1.025 mil with a $200K remodel.

2255 Steiner St.[we think you mean 2255 Washington], a 2/2 asking $1.498 mil at under 1,500sqft with no view. Impressive! I bet it gets into contract by another $500,000/yr couple.

2249 Washington St., a 2/2 in contract for $1.525 mil. Who’s buying this?

2745 Laguna St., a 3/2 in contract for over $1.55 mil, purchased for $1.20 mil a couple yrs ago? Who’s buying this?

3042 Jackson, a 2/2 in contract for $1.595 mil, who’s buying this?

2865 Jackson, a 3/2, 1700sqft place with $775/month HOAs… who’s buying this?

2138 Beach St., a 3/2 in contract for $1.799+ mil. Nice location, lower unit. Who’s buying this?

The list goes on, and on and on. I’ve never seen so much strength in th $1.3 and higher condo market. Personally, I would look to buy a Single Family Home over a condo in this price range, but maybe these buyers just want simplicity?

The key is LOCATION and distinction of the property. Think about the best properties sitting atop a pyramid. The base, which is demand, gets wider and wider due to rising incomes, inflation, population=demand, as the supply remains fixed. Think of fine art appreciating over time. Same thing, and that’s why I’m amazed people are plunking down $1,000sqft+ for new properties in SOMA where there is an endless supply, and NEW becomes NOT NEW in 5 years. People start screaming the market is falling when a SOMA condo gets reduced. I’m just giddy because prices there, in my opinion, should be no more than $600/sqft, yet people are paying $800-1,600sqft.

Finally, I have met an incredible amount of people in SF who have help from Mom & Dad. Even kids in their late 20’s and older are getting help from Bank of Mom & Dad. Heck, on my block there are two 26 yr old kids living at home with Grandma! One underestimates the wealth in SF.

If you have thoughts or ideas you’d like to share, feel free to comment on this post, or you can also email us your thoughts, or submit them anonymously via our contact form. Either way, we appreciate all the participation from our Stammtisch and growing number of readers thus far. Keep spreading the word! And thanks for reading.

[Because we posted this on the front page, doesn't mean we agree or disagree with the statements made. We simply think it provides an open door to all kinds of topics to discuss/debate.]

-1330 Chestnut…How much for the remodel? [theFrontSteps]

by Shanendoah Forbes

The current trend in the market is pretty clear and the Q2 numbers will support one basic fact. Residential Real Estate is slumping and Commercial Real Estate is firming up.

The Micro-trends break down more like this: Record setting sales for both office buildings and hotels. However, there have been fewer apartment transactions than we have seen the last couple of years.

Incredibly, we have seen an increase in values across the board. The smaller 5-9 unit buildings are still hitting record high sales figures and the 10+ unit deals are climbing as well.

Because of the number of “trophy” properties trading hands the average price per foot and price per unit has jumped significantly.

What about the “bubble”? Well transactions over all are down approximately 50% from 2004, yet values are continuing to grow.

From one Realtor to another, the incentives are there. You just need to know where to look, or hope this shows up in your email. We’re keeping anonymity on this, but putting it out there for your viewing pleasure. It is not a totally stale listing, but has been on since at least April.

****Close a Sale = Commission + Luxury Vacation****

What: 2 week-free stay when your client closes the sale of a unit at X St. [in San Francisco]

Location: South Beach, Miami (beach front)

Description: A 2000 square foot luxury waterfront condominium with ocean views from every room. There is an Olympic size pool, three outdoor spas, gazebo with gas burners, gym, award winning tropical gardens, and valet parking.

Contact:…for more deals about this incentive.

We’re there!

It took them ages to get there, but they’ve finally destructed the Coronet Theater on Geary St. “This Streamline Moderne cavern is San Francisco’s Church of the Big-Budget Blockbuster. Both “Star Wars: Special Edition” and “Phantom Menace” made their debuts here, with people camping for weeks in the dumpster-strewn parking lot. Despite its massive appeal, gigantic screen, and state-of-the-art sound system, the Coronet was closed in March 2005 and is slated to be razed for a senior-care facility.”
The facility, the Institute on Aging is now officially under construction and doing some heavy destruction:

If you hurry, you might still be able to project a few hand shadow dogs and bunnies, maybe even a butterfly, on the big screen.

What it will be (photo from SFgate):

Thanks to our reader, AC, for sending the photos!

by Alexander Clark

If you’ve never seen an Ultimate Fighting Championship match you’ll have no idea what I’m talking about, and I know it’s a stretch comparing writing an offer to stepping into the Octagon and taking on the likes of Chuck Liddell, but to some of my clients, they truly feel they are getting kicked while they are down and they just want to get a place to stop the bleeding.
Our story of 636 Steiner, a 3 bed, 1 bath, 1582 sqft. condo in Alamo Square, asking $869,000, is quite a doozy.

I’ve put this picture of the kitchen in so you all can see what kind of kitchen near $1,000,000 buys you these days, and illustrate a big problem (among others) I had advising my clients to go much higher in their offer price.
This all started a couple weeks ago when my clients said they’d found a place they want to write an offer on. (This would be the third offer they’ve written, the other two being 218 Cole, and 256 Page).
The seller decided not to do the typical pre-contractor and pest inspection in order to promote super “clean” offers, so we thought we’d get a leg up on the competition and do them prior to the offer date…the seller said no, because we weren’t the only party requesting to do this. So we waited until Monday.
Offers were due at noon, and I was continually calling the selling listing agent to find out how many were coming in, so that we could adjust our asking price and submit an offer at a price that we thought would keep us in the game. Our first offer was at $915,000, which I submitted at 12pm. I called the agent and asked how many offers he had received…the answer “four so far, but I expect 9 total.” My thought…”F*ck!, what the hell!”. Called my clients, told them the story, and said we better put our best foot forward. So at 2pm we revised our offer, told them to burn the other one, and submitted our max offer at $950,000 pleading the selling agent to keep us in the game. So we are now $81,000 over on a home that has tiny tandem parking, a trek down the stairs to the washer/dryer, really no easily accessible outdoor space, a kitchen that really has no counter space, and 8 other interested buyers. I told the agent to give it to me straight, so we don’t waste any more time. His answer, “I have three offers higher than yours, and they’re very ‘clean’.”
That’s it. Throw in the towel, clean up the blood, lick our wounds and move on. The property was in contract that evening, so I’m thinking there wasn’t too much in the way of counter offers and I wouldn’t be surprised if it sells north of $985,000, which to me, is absolutely nuts.
The score: my clients 0, the market 3. These clients need a knockout on their next offer and we’ve asked Mr Liddell for some help, so steer clear.

Happy house hunting.

-218 Cole: Damnit it happened again [theFrontSteps]
-Why’s this keep happening to me?! [theFrontSteps]
-636 Steiner [MLS]

Last Friday I hastily threw some pictures and video up on this blog of my visit to the almost highest point of the tallest residential building west of the Mississippi. I promised the full story and more “unobstructed view” pictures, so here goes…(Some pictures that wouldn’t fit in this screen can be viewed in full glory by clicking the photo.)

Why not start things off with a booming view that some lucky home owner will have from their window. This is looking North, North East at Treasure Island, the Bay Bridge (obviously), the East Bay, and if you look to the right, you’ll even see Mt. Diablo.

Read the rest of this entry »

Today is another day of stellar reporting on the state of the San Francisco market in one of our largest publications. We’re not trying to brush the whole “subprime debacle” under the rug, or hide the fact that foreclosures are definitely on the rise, or that sometimes real estate can go south, but we’d like to point out something about this article that ran today in the San Francisco Chronicle as well as SFGate. The focus of the article can pretty much be summed up in the opening paragraph:

The number of Bay Area homes lost to foreclosure during the second quarter hit the highest level in almost two decades, and the region’s homeowners also received a record-high number of mortgage default notices

Here’s the interesting part…at least to us. Both publications come out of San Francisco, but there is only one tiny little sentence that applies to us, and our market:

Underscoring that thesis, three affluent Bay Area counties stood out as having the least likelihood of default notices: Marin, San Francisco and San Mateo counties.

We’re just putting this out there as something to pay attention to, and to make it clear that we aren’t the ones pumping the market. If you actually read the “guts” and “fine print” of a lot of these “bay area housing reports”, you’ll find that San Francisco is still doing pretty damn good.

-Foreclosures go through the roof [San Francisco Chronicle]

from “Eddy” via Core 77.  

“Could be the new housing trend in SF greenhome building…”

“The benefits of mud construction aren’t just confined to the Third World, [Environmental engineer Dominic Dowling] says. “Look at the massive amount of energy required to build modern houses using steel and concrete. There’s the energy required to make those materials, and transport those materials. “If you can make something from the earth, it can be sourced very close to the location. And, at the end of the day, it can all just be returned to the earth. It’s got to be the way of the future.”

We’re thinking probably not the best idea for San Francisco, but it would be interesting to see a 40 story mud and bamboo highrise filled with bankers in suits. We can only imagine the elevator and muddied leather shoes.

-Green Houses that stand up to ‘quakes [Core 77 Design Blog]
-Design feat that’s down to earth [The Sydney Morning Herald]
-A rectangle on end on the Great Highway [theFrontSteps]

Sometimes it doesn’t have to be on the market to catch our eye. We’ve known about this beach house designed in 1950 by Ernest Born for quite some time (we have a surfer in the house), and also known about its pending publicity in Dwell Magazine, and NY Times, but we kept our lips sealed.  But now, the cat is out of the bag, so Duggo, here you go, this post is for you.

The present owner, Tom Lloyd-Butler, first spotted the place after a day riding 20-foot waves on the far side of that road, called the Great Highway. “I was changing, and I looked up and saw this tiny ‘For Sale’ sign,” he recalls. “It was totally different from any other house at the beach…

Like Cosimo in Italo Calvino’s The Baron in the Trees, the [local] architects perched in the branches of the cypresses and pines, observing where the canopy was dense and where it was porous, noting various perspectives and view corridors to the ocean. Then they came down again and, removing only one tree in the process, planted a three-story, 24-by-24-foot steel-sheathed glass pavilion next to the house, tethering it by means of a translucent bridge connected at the second stories.

We were sold even before this article ran…now we get a look inside, and we’re wondering when it will sell again, so one of our readers can buy it and throw a huge Indian Summer beach party for all of us…we’ll bring the limes. 
(More photos in the magazine.  You might want to pick one up.)

-Highway Hideaway [Dwell]
-Aidlin Darling Design [website]
-(Photos: Aidlin Darling Design and Dwell Magazine)

by Greg Angilly

In every market there are properties that can be obtained for below market value – many that have a strong upside. Here are two we’ve been watching for a few weeks. Our sense is these are available at or below asking and are both strong investment opportunities.

3479 Sacramento St – List Price - $1,075,000

2 bed / 1.25 bath + bonus room down. Parking and outdoor space and on the market for 90 days. Good location – slightly busier than the typical Presidio Heights location – but surrounded by boutique shops and cafés. Well under the average price per sqft in Presidio Ht’s. I imagine there is a willingness to negotiate the price if other terms of the offer are strong. The unit doesn’t show well at all. It’s dark and could use some upgrades. That said, nothing needs to be done so you can owner occupy while you renovate. New kitchen and bath / upgrade lighting / repaint the façade / research the inclusion of bonus room via interior stairs. With basic upgrades this unit should sell for $1.15+ - if you can include the downstairs rooms you are looking at $1.35+.

2080 3rd St # 8 – List Price - $649,000

Property has seen several price reductions from original price of $689,000.  Top floor unit with walk out deck with expansive views in smaller building. If purchased for 635K the loft becomes a great investment. Can serve as a nice rental / income property – approximate rental rate is $2500/ month. There are several new projects going in on 3rd St which will bring additional owners and businesses. The Mission Bay campus continues to grow and several new businesses have recently opened along the 3rd St corridor. This area will continue to mature and a deeded top floor deck with views will be a commodity people are willing to pay money to obtain.

I will be tracking these properties for our readers, and I am open for any discussions regarding the two, and/or my opinion on their investment value.

-2080 3rd St # 8 – List Price - $649,000 [mls]
-3479 Sacramento St – List Price - $1,075,000 [mls]

This will be the only post for today. More tomorrow, and thank GOD for our readers!

Boomtime asks:

Duggo-…Maybe you can provide further insight on 1330 Chestnut, a 3/2.5 remodelled lower unit condo asking $1.495 mil. It was purchased for $1,025,000 last year as the market slowed. I’m curious if you know what the estimated remodel cost is? Would love to get feedback from people here. I’m guessing 200K remodel… perhaps a $200,000 profit in one year?

Heres the link: 1330 Chestnut.”

Duggo’s Answer:

…hard to say what the remodel costs were, since I’ve not actually seen the place. But only judging from the photos, I’d say the remodel was more like $350 k.. The kitchen appears to be about $100k..with the granite and oh so trendy but requisite stainless steel appliances. I’d say the master bath was $75k.. Nice cast in place concrete sink.. Pretty nice plumbing fixtures, finishes and lighting. The other baths probably $30k each..+-…Then there’s other remodel stuff.. The exterior decks, lighting, flooring, and maybe some electrical and plumbing upgrade.. Anyway, thats how I would arrive at about $350 k.

Anyone else care to add insight? I’m off to write an offer, and of course will report back how it goes…it will be competitive.

-1330 Chestnut [mls]

We have a new page we’re testing out….the Marketplace.  Currently there are two pocketlistings (condo in Russian Hill and single family in Pacific Heights) on the page.  We invite you to check it out.

I had the distinct pleasure of being invited to the “topping off ceremony” at One Rincon Hill this morning. There were quite a few notables in attendance, including Mr. Willie Brown (da mayor), the architects, and a few others, which I’ll note next week when I revise this post. For now, I thought you’d enjoy some pictures and video of the inside, outside, views, and elevator ride to the 59th, and 41st floors. Enjoy…The views were INSANE! (Click the thumbnails for larger images.)

NEW POST IS UP WITH MORE/DIFFERENT PHOTOS FROM THIS POST

Going up One Rincon Hill construction elevator with Willie Brown in the house!

Getting to the top of the elevator on the 59th floor…white knuckled

What goes up, must come down…and finally figured out the best shot.

These are undoubtedly some of the first images you are seeing of this, so please if you take them, claim your source, and link back to here.

Lots more unobstructed view pics to come next week, as well as descriptions of these pictures. For now…I have to get out of town. Thanks for checking them out. Oh…that is Julie with the hat, which is now in the time capsule.

NEW POST IS UP WITH MORE/DIFFERENT PHOTOS FROM THIS POST
Thanks!

p.s. Apologies for the raw video…

-“Foreclosures go through the roof”…Really?” [theFrontSteps]
- One Rincon Hill Topping off at 631 ft BONUS post [theFrontSteps]

You stumped the Editor, that is for damn sure, but we have pretty good distribution and our Stammtisch is growing, so maybe they, or a reader, can help. Thanks for asking.

Hi There -

Love your site. I have a question that maybe you might be able to answer. I live in bernal heights and take the 67 almost every day through the neighborhood. A few years ago a plot of land on Ripley street sold and was dormant for quite some time. It is located between Alabama and Folsom street on Ripley, sandwiched between two beautiful, modern houses with amazing views. About a year back two side by side units started construction. I was frothing at the mouth hoping they would come to market (at least one) because they look as sweet as can be. One now looks complete and it appears that somebody has moved in there but the other one is under construction. I was curious if you knew anything about these properties and if the second one was going to be for sale.

Thanks much

Reader, can you tell us if it is the red or blue arrow, or neither, or go to the map and pinpoint the lot for us. That might help…or an address (next time you’re on the 67.)
[Update: From the reader..."The RED arrow is the correct one... It is next to a super modern rust/brown/red house. So it is the lot closer to Alabama. It was the first open lot you would see going from Alabama to Folsom on Ripley. So Red is the one."]

If you ever have any questions about our market, properties around the city, or anything that has to do with real estate, please feel free to ask by sending an email to thefrontsteps@gmail.com. We’re here to help and inform.

by Greg Angilly

After 1 week off, we have yet another incredible city deck to showcase. This week takes us to Cole Valley, specifically 282 Carl St.

282 Carl St is a two unit building located in the heart of Cole Valley / Haight Ashbury. The upper unit has been very nicely remodeled including an incredible horizontal and vertical addition. The addition includes several decks which offer the future owner a ton of light and outdoor living and some fantastic views. I won’t lie to ya’ll – this view is of particular interest to me as the lacrosse coach at St Ignatius College Prep and as a sports fan in general. From the upper deck you can clearly see 70% of the playing field at Kezar Stadium. The Wildcats play several football and lacrosse games at Kezar. (Think Waveland Ave across from Wrigley). A great place to call home and to tailgate!

-282 Carl St [Zephyr Real Estate]
-Sittin’ on the Deck by the Bay [Greg Angilly]

This from Damion Matthews

“The SF Chronicle reports that 610 Rhode Island sold for over $2.5 million!”

“Sotheby’s Realty agent Gregg Lynn listed 610 Rhode Island St. in San Francisco’s Potrero Hill area on June 22 for $2.3 million. After receiving more than a half-dozen offers, the property sold this week for more than 10 percent over the asking price.
The house, which has been featured in architectural publications, is a unique property designed by a couple of professional musicians who outfitted it with a 24-foot-high living room ceiling and good acoustics. That said, the kitchen and bathrooms date to 1989, when the home was built.

“People who can afford to live anywhere they want to live … want to move to San Francisco and live at that level,” Lynn said. “There’s no end to what they’ll do to get it.” “

MLS is still showing pending.

-As sales skid home prices remain strong [SF Gate/Chronicle]
-610 Rhode Island…my take [theFrontSteps]
-610 Rhode Island [website]

If that is not a suave $1,750,000 kitchen, we don’t know what is.  We were asked to post this, so we are.  This is a two bed, two bath, Marina District home located at 12 Rico, that came on the market for $1.7M and sold in the blink of an eye for $1.75M in June of 2007.

-12 Rico [mls]

Let’s step aside for a minute, forget about the price and how quickly this property sold, and ask ourselves…what the hell is with this picture and what the hell does it have to do with selling a house? Okay, back to the scoop.

142 Cervantes is a very nice 3 bed, 3 bath, 2260 square foot home in the Marina. It came on the market in June at $2,290,000, spent seven (yes 7) days on the market and sold for $2,360,000 (3% over and $1,044 per square foot.) Pause for a second…..

Let’s not focus on the overbid, let’s focus on the fact that really the only reason the prices go over is that there is more than one buyer interested in this property. The others who lost out are still out there waiting for the next $2.36M Marina district home stumbling distance from all the fine Marina meat markets, and other fine Marina establishments. (We really like the Marina, we’re just poking fun.)

Taking it one step further, this home last exchanged in 1999 for $1,250,000 (4% over asking then) which put the ppsf at $553.  Does basic math put that at $159,000 appreciation per year since it last sold (assuming 7 years)?  We’re talking real basics here.  The point being, if we were the sellers, we could give two sh*ts about prices last year, because we didn’t buy it last year, we bought it in 1999, and this year (2007) we did just fine thanks. (Yes, we know they may have done better last year, but you get the point.)

And thanks to “boomtime” for forcing us into posting this.

-1771 North Point, a done deal and no price :-(” [theFrontSteps]
-142 Cervantes [mls]

The Fairmont Heritage Place at Ghirardelli Square is a very interesting development and fractional ownership opportunity. The location is top notch (could get a little annoying with all the tourists milling about though), the views from the upper units will be incredible (think 4th of July), and the amenities, services, and nearby attractions should keep you busy for quite some time (or feed your chocolate addiction).

A bunch of sweet before shots for you…after will be in Spring 2008

Views from the balcony of the “Cocoa” building, which will house mainly two bedroom units:

This is what will be the lobby and valet area which is in the “Cocoa” building.

This is a view from the “Woolen Mill Building” and the garden terrace in the foreground looking back toward the project. The “Clocktower” is on the left, which will house the 3 bedroom units, the “Cocoa” is in the middle under the big “Ghirardelli” sign, the “Chocolate” being directly in front of the camera.

Inside the second floor of the “Chocolate” building looking north.

On this terrace will be a fire pit, and outdoor loungy area (can’t wait to see the after of this spot.)

“Cocoa” building which will house many 2 bedroom view units.

“Clocktower” building will house 3 bedroom units

This is inside the “Woolen Mill Building” which is closest to the water and will have some amazing views and as you can is well under way.

My walkthrough was basically a chance to get in and see the project under construction and get some photos to complement the “after” renderings provided by zum llc.

There are 54 homes in the entire development, 43 of which are planned to be two bedrooms. There are 540 interests in the 54 homes being sold, you get a 10% interest in one property (and you get a deed, so you are free to rent your time out). So far they have sold around 70 interests (sold meaning deposits have been received), and they are expecting move-in and occupancy in Spring of 2008 (could be a good investment opportunity here). The first release price of the two bedrooms was $199,500, the price then increased to $233,179. They have two interests left at this price and they will then be implementing a price increase. The small amount of three bedroom units that were initially released have been “sold”, but they will have more in the future, and the price is not yet determined.

You get 35 days of use per year for each 1/10 interest you purchase, as well as numerous benefits around the world as part of your ownership in the Fairmont portfolio. Each owner will have a membership to the 10,000 square foot spa and fitness facility, access to indoor and outdoor owners’ lounge areas, parking, storage, signing privileges at the Fairmont San Francisco, and some other amazing opportunities within Fairmont Hotels & Resorts, and Fairmont Residences.

All the units will come with high end materials and appliances by such names like Sub-Zero, and Wolf, and there are a number of new commercial tenants (restaurants, spa, wineries) that are planned to go into the Ghirardelli Square. The homes are fully furnished. All you have to do is show up, hit the valet (not literally), use room service, shout orders at your private chefs, waiters, and 24 hr concierge…then take off and just leave the key (after you stuff your belly with a big ice cream sundae from downstairs).

It seems like an interesting opportunity, and I invite you to go visit the sales office and check it out. There is a sales office at Ghirardelli Square, as well as one in the Fairmont downtown.

-The Fairmont Heritage Place at Ghirardelli Square [Virtual Tour]
-The Fairmont Heritage Place at Ghirardelli Square [Website].