Hyperventilating Real Estate Market

  • Posted by a hidden member.
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    Mar 03, 2014 7:02 PM GMT
    SAN FRANCISCO — Not long ago the pink house at 1829 Church Street, in the Glen Park neighborhood here, hit the market for $895,000.

    It sold for $1.425 million — $530,000 over the asking price — in less than two weeks.

    The story of this fixer-upper, with three bedrooms, two baths, linoleum floors and an Eisenhower-era kitchen, is in some ways the story of the moment in the city, where longtime residents complain that Silicon Valley money is basically ruining the place for everyone else.

    More wealth is concentrated in the San Francisco Bay Area than just about any other place in the nation. Google alone, the story goes, minted 1,000 millionaires when it went public. Ditto Facebook. And Twitter? Some estimate 1,600. Tech worker bees are doing just fine, too, with average base salaries now north of $100,000.

    To understand how all this money is transforming San Francisco, for better and worse, look no further than this city’s hyperventilating real estate market. As technology companies have moved in — more than 5,000 start-ups now make their home locally — the influx of well-paid workers has pushed rents and home prices through the roof. Worsening matters, San Francisco has also become a bedroom community for many of the young people who work in Silicon Valley. Each day, Apple, Facebook, Google and others shuttle tens of thousands of their employees to work using private buses that have become a controversial symbol of rising tech wealth.

    http://bits.blogs.nytimes.com/2014/03/02/the-housing-market-with-nowhere-to-go-but-up/?hpw&rref=technology
  • Apparition

    Posts: 3529

    Mar 03, 2014 7:17 PM GMT
    so people complain about a house they own selling for 600k more than they thought is was worth. Retire and move to Iowa, with 1.4 million$. This happened a few years ago near the university of waterloo too. Longtime crybabies were at every council meeting with 65 year olds complaining that their 250k at best houses were suddenly worth a million and change, and everyone around them was a student not the families they were used to. One of the council members asked one old woman "do you play the lottery?" she said yes, he said "you won, you won! move to any neighbourhood in town and keep the extra million...next"

    Renters as always are screwed.
  • Import

    Posts: 7193

    Mar 03, 2014 7:23 PM GMT
    fuck san franscisco.

    all the artsy, liberal types are too poor to live there. it's becoming more conservative cuz only rich white ppl can afford to live there now.

    so overrated too. icon_rolleyes.gif
    i was unimpressed.
  • Posted by a hidden member.
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    Mar 03, 2014 8:52 PM GMT
    Oaktown is going through gentrification. I recommend buying properties there now. That $30K crack house will eventually be sold for $1 million in a year or so to some dot-com CEO. icon_lol.gif
  • MikeW

    Posts: 6061

    Mar 03, 2014 9:07 PM GMT
    xrichx saidOaktown is going through gentrification. I recommend buying properties there now. That $30K crack house will eventually be sold for $1 million in a year or so to some dot-com CEO. icon_lol.gif

    Depending on the neighborhood, it's already happened. older not remodeled 3 bd, 1 bath, detached garage, partial basement, upper rock ridge neighborhood is now near the 7 figure mark.
  • Import

    Posts: 7193

    Mar 04, 2014 6:05 PM GMT
    southbeach1500 said
    Import saidfuck san franscisco.

    all the artsy, liberal types are too poor to live there. it's becoming more conservative cuz only rich white ppl can afford to live there now.

    so overrated too. icon_rolleyes.gif
    i was unimpressed.



    San Francisco is NOT conservative!

    I realize it's not conservative. But at the same time--- it's becoming more conservative than it was due to a demographic change due to sky high real estate costs.
  • roadbikeRob

    Posts: 14372

    Mar 04, 2014 7:01 PM GMT
    woodsmen saidSAN FRANCISCO — Not long ago the pink house at 1829 Church Street, in the Glen Park neighborhood here, hit the market for $895,000.

    It sold for $1.425 million — $530,000 over the asking price — in less than two weeks.

    The story of this fixer-upper, with three bedrooms, two baths, linoleum floors and an Eisenhower-era kitchen, is in some ways the story of the moment in the city, where longtime residents complain that Silicon Valley money is basically ruining the place for everyone else.

    More wealth is concentrated in the San Francisco Bay Area than just about any other place in the nation. Google alone, the story goes, minted 1,000 millionaires when it went public. Ditto Facebook. And Twitter? Some estimate 1,600. Tech worker bees are doing just fine, too, with average base salaries now north of $100,000.

    To understand how all this money is transforming San Francisco, for better and worse, look no further than this city’s hyperventilating real estate market. As technology companies have moved in — more than 5,000 start-ups now make their home locally — the influx of well-paid workers has pushed rents and home prices through the roof. Worsening matters, San Francisco has also become a bedroom community for many of the young people who work in Silicon Valley. Each day, Apple, Facebook, Google and others shuttle tens of thousands of their employees to work using private buses that have become a controversial symbol of rising tech wealth.

    http://bits.blogs.nytimes.com/2014/03/02/the-housing-market-with-nowhere-to-go-but-up/?hpw&rref=technology
    How about commercial real estate, how much does downtown office space cost to rent in both San Francisco and Oaklandicon_question.gif I am more than sure that it is not cheap in either city because of all the wealth in the Bay Region but I am curious.
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    Mar 04, 2014 7:16 PM GMT
    In 2013, San Francisco became the second-most-expensive city in the country, behind New York, in which to rent office space. Rents rose from to $53.84 per square foot from $46.12 in the third quarter, according to C.B.R.E. Vacancy levels stand at 8.2 percent, down from 9.7 percent the same time last year. Four years ago, it was 15 percent.

    Twitter leased space from Shorenstein Properties, a real estate firm based in San Francisco, known for its blue-chip office towers in the Financial District here. Shorenstein bought an 11-story building in 2011 fronting Mid-Market that had been vacant for five years. For them, it made sense to buy the undervalued Art Deco landmark built in 1937, which had some of the most spacious floor plans in the city at a time when office space was tight. Twitter signed a lease until 2021 for 295,000 square feet in the building and could expand that as its work force grows. “In our gut, we believed if we changed it, they would come. We thought it would be a real catalyst for the neighborhood,” said Charles W. Malet, chief investment officer for Shorenstein Properties.

    Now 15 other companies, like Spotify, Square and Yammer, emboldened by Twitter’s move and a city tax incentive that largely exempts them from city payroll taxes if they relocate to the Mid-Market, have committed to take 1.3 million square feet in the area, which the city has renamed Central Market. Apartment towers with 5,500 units are in the works, and arts groups, chefs, retailers and even a venture capital firm have taken up residence.

    Not to be outdone, the rest of San Francisco is in the middle of an impressive building boom. Developers are building office towers downtown for the first time in five years, many confident enough to build without signed leases for the space. Other buildings are undergoing extensive renovation. Branches of technology companies, old and new, like Google, Amazon, Microsoft and Yahoo, are expanding or moving to the city and now make up more than half of demand for office space. (During the tech bubble in the late 1990s, tech accounted for only a quarter of demand.)

    http://mobile.nytimes.com/2013/11/02/business/twitter-helps-revive-a-seedy-san-francisco-neighborhood.html
  • roadbikeRob

    Posts: 14372

    Mar 04, 2014 7:27 PM GMT
    woodsmen saidIn 2013, San Francisco became the second-most-expensive city in the country, behind New York, in which to rent office space. Rents rose from to $53.84 per square foot from $46.12 in the third quarter, according to C.B.R.E. Vacancy levels stand at 8.2 percent, down from 9.7 percent the same time last year. Four years ago, it was 15 percent.

    Twitter leased space from Shorenstein Properties, a real estate firm based in San Francisco, known for its blue-chip office towers in the Financial District here. Shorenstein bought an 11-story building in 2011 fronting Mid-Market that had been vacant for five years. For them, it made sense to buy the undervalued Art Deco landmark built in 1937, which had some of the most spacious floor plans in the city at a time when office space was tight. Twitter signed a lease until 2021 for 295,000 square feet in the building and could expand that as its work force grows. “In our gut, we believed if we changed it, they would come. We thought it would be a real catalyst for the neighborhood,” said Charles W. Malet, chief investment officer for Shorenstein Properties.

    Now 15 other companies, like Spotify, Square and Yammer, emboldened by Twitter’s move and a city tax incentive that largely exempts them from city payroll taxes if they relocate to the Mid-Market, have committed to take 1.3 million square feet in the area, which the city has renamed Central Market. Apartment towers with 5,500 units are in the works, and arts groups, chefs, retailers and even a venture capital firm have taken up residence.

    Not to be outdone, the rest of San Francisco is in the middle of an impressive building boom. Developers are building office towers downtown for the first time in five years, many confident enough to build without signed leases for the space. Other buildings are undergoing extensive renovation. Branches of technology companies, old and new, like Google, Amazon, Microsoft and Yahoo, are expanding or moving to the city and now make up more than half of demand for office space. (During the tech bubble in the late 1990s, tech accounted for only a quarter of demand.)

    http://mobile.nytimes.com/2013/11/02/business/twitter-helps-revive-a-seedy-san-francisco-neighborhood.html
    My other concern is height. Since San Francisco and Oakland are both situated in seismically unstable areas with the San Andreas Fault running nearby, I have seen some proposed mixed use tower designs for downtown San Francisco and the heights are quite risky. An 80 story+ tower is really pushing it in a seismically unstable region and that is whats proposed in downtown SF. I understand the demands for space in that city and region are extremely intense right now but I am hoping that they don't compromise safety just for profit and egos.
  • metta

    Posts: 39155

    Feb 25, 2015 7:37 AM GMT
    What does a Million buy you in Del Mar (San Diego County), California...

    a tear down....


  • metta

    Posts: 39155

    May 16, 2015 4:17 AM GMT
    I remember when Venice was a scary place to go and real estate was cheap....well....it has gotten a lot better there and the prices...



    This One-Bedroom Stucco Hut in Venice is Asking $2.2 Million

    IN15099179_0.jpg


    http://la.curbed.com/archives/2015/05/this_onebedroom_stucco_hut_in_venice_is_asking_22_million.php
  • Posted by a hidden member.
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    May 16, 2015 9:55 AM GMT
    A useful bellwether of the US real estate market is how often CuriousJockAZ posts on RJ.
    Market bad: Posts often
    Market good: Rarely posts

    We can only hope the demand for front-end aircrew, Corvettes and whatever Bob3 does, improves in similar fashion.
  • Posted by a hidden member.
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    May 18, 2015 4:25 PM GMT
    not worth it, block a troll.

    in most markets that matter, the thrifty gay is not investing in new real estate since 2013. Stay put and cash in on your investment.

    comparatively few markets are inflating at this time.

    the 2006 home market bust was a significant event but likely not to blame for the start of the great depression.
  • metta

    Posts: 39155

    Jun 17, 2015 6:35 PM GMT
    What the U.S. is really worth, state by state

    http://www.msn.com/en-us/money/generalmoney/what-the-us-is-really-worth-state-by-state/ar-BBkTfZS?ocid=iehp
  • coolarmydude

    Posts: 9190

    Jun 18, 2015 2:47 AM GMT
    metta8 saidWhat does a Million buy you in Del Mar (San Diego County), California...

    a tear down....



    This is obscene. Not even Donald Trump would do this.
  • coolarmydude

    Posts: 9190

    Jun 18, 2015 2:48 AM GMT
    The same thing is happening in Seattle.
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    Jun 18, 2015 3:33 AM GMT

    Record tear down in Del Mar?

    76 MILLION!!!!


    http://peddlincoastal.blogs.com/the_wisdoms_of_overanalyz/2007/09/75-mil-del-mar-.html
  • metta

    Posts: 39155

    Jun 18, 2015 5:03 AM GMT
    timmm55 said
    Record tear down in Del Mar?

    76 MILLION!!!!


    http://peddlincoastal.blogs.com/the_wisdoms_of_overanalyz/2007/09/75-mil-del-mar-.html


    That is from 2007. I wonder what that property has on it now.

    I found the address: 929 Border Avenue in Del Mar

    http://www.bergproperties.com/blog/76m-mansion-goes-on-the-market-near-san-diego-just-after-vanna-whites-ex-puts-a-beverly-hills-ca-estate-on-the-block-for-50m/

    The assessed value is around $20 million so that is around what they paid for it plus 2% per year:

    http://www.zillow.com/homedetails/929-Border-Ave-Del-Mar-CA-92014/16760245_zpid/

    It was recently for sale for about $40 million but taken off the market.
    https://www.redfin.com/CA/Solana-Beach/929-Border-AVE-92075/home/4370993

    Map
    [url]https://www.google.com/maps/place/929+Border+Ave,+Solana+Beach,+CA+92075/@32.9773292,-117.2679051,859m/data=!3m1!1e3!4m2!3m1!1s0x80dc0f2a5559b68f:0x3c9589ae43a66b6b[/url]

    Please note that it is in Del Mar. So would most likely be owned by someone that would own race horses.
    I don't think they tore down anything.
  • Posted by a hidden member.
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    Jun 22, 2015 3:50 PM GMT
    U.S. Home Sales at 5-1/2-Year High on First-Time Buyers

    http://www.nytimes.com/reuters/2015/06/22/business/22reuters-usa-economy.html?ref=business
  • metta

    Posts: 39155

    Jun 23, 2015 9:34 PM GMT
    What $1 Million Will Buy You in America’s Most Expensive Gayborhoods



    - See more at: http://www.trulia.com/blog/what-1-million-will-buy-you-in-americas-most-expensive-gayborhoods/
  • HottJoe

    Posts: 21366

    Jun 23, 2015 9:53 PM GMT
    I bought a house in the housing slump, and now I've come to realize that we could actually remodel the whole thing and update it top to bottom, and add another bedroom, and actually profit, if we decided to sell.icon_smile.gif
  • Posted by a hidden member.
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    Jun 23, 2015 9:55 PM GMT
    HottJoe saidI bought a house in the housing slump, and now I've come to realize that we could actually remodel the whole thing and update it top to bottom, and add another bedroom, and actually profit, if we decided to sell.icon_smile.gif


    Ahhhhh, that free market capitalism!!!
  • metta

    Posts: 39155

    Jun 25, 2015 1:59 AM GMT
    There Aren't Enough Rich People to Fill NYC's Luxury Condos

    http://ny.curbed.com/archives/2015/06/23/there_arent_enough_rich_people_to_fill_nycs_luxury_condos.php
  • metta

    Posts: 39155

    Jun 25, 2015 2:02 AM GMT
    I have heard that a lot of people, many of whom are artists, from NYC and San Francisco are moving to LA because it is cheaper and still a major city. So to those artists...we welcome you to LA. Can never have too much art. icon_biggrin.gif
  • roadbikeRob

    Posts: 14372

    Jun 25, 2015 2:13 AM GMT
    metta8 saidThere Aren't Enough Rich People to Fill NYC's Luxury Condos

    http://ny.curbed.com/archives/2015/06/23/there_arent_enough_rich_people_to_fill_nycs_luxury_condos.php
    Yet they keep proposing more super tall condo skyscrapers in Midtown Manhattan, I don't get it.icon_neutral.gif