jakob
Posts:550
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| 03/24/2008 4:57 PM |
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Over a fifth of the "sold out" building on the MLS, not one closed yet. 53 units. Daily price drops. How's that $800/mo HOA treatin ya? Not to mention property tax and mortgage payment. I expect we will see a lot of bank-owned Electra units soon. That should do wonders in marking these to market. Beautiful building too, a sad but fitting monument to dashed condo flipping dreams.
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stella
Posts:361
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| 03/24/2008 5:33 PM |
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| Personally I highly discount a mass of bank owned properties at Electra. Keep in mind all of these units needed a large deposit and the mortgages were underwritten during the credit downturn. Sure these may turn out to be bad or low returning investments in the short run but Electra is not a distress property like others downtown. |
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waterboy
Posts:25
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| 03/24/2008 5:54 PM |
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| How can that not be a distress situation? When these go back to the banks who is going to purchase these and at what price level? |
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Brian
Posts:2647
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| 03/24/2008 7:08 PM |
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I agree with waterboy and jacob. How can there not be distress.
I submit that the level of speculation at Electra was even higher than the lower cost buildings. The flippers will get steam-rolled and will walk out en masse.
We will find out by next year or 2010 at the latest.
Sad? No I don't think so. What's so sad about the market working the way it should. High rewards entail high risks as well.
No pity from me. Leverage amplifies gains but also losses. Those are the rules of the games. Winners know to how to play in an up market as well as in a down market.
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jakob
Posts:550
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| 03/26/2008 11:33 AM |
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Many electra units for rent on CL. You can see the people who are trying to cover their mortgage payment asking $6000 a month. And those that are just trying to slow the bleeding, asking $2700.
http://sandiego.craigslist.org/search/apa?query=electra |
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Brian
Posts:2647
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| 03/26/2008 12:45 PM |
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jakob, I noticed the Craigslist ads also.
Anyone contemplating a purchase needs to compare rent to carrying costs. Why give the money to the seller? The difference is money that could be better spent at the Emperor's Club. ;) Or saved for a future purchase.
$2750/mo for a penthouse is pretty desperate pricing. It's a comp killer in terms of high end rentals.
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$2750 / 2br - Electra Townhouse unit in San Diego's premiere highrise
Reply to: hous-618950541@craigslist.org
Date: 2008-03-25, 10:22PM PDT
Beautiful 2-story 2-bedroom Townhouse. This unit features a private 5th floor entrance from the courtyard, views of the city lights from private 700 square foot roof deck, wood flooring, bamboo cabinets, marble and travertine throughout, Bosch appliances, granite counter tops, only a few of its kind.
Don't miss this opportunity to live in the most luxurious Highrise in Downtown San Diego. Over 1500 sqft 2-Bedroom, 1 1/2 Baths, one parking spot and private roof deck. Enter on 5th floor to 2 bedrooms and full bath with living, dining and kitchen on the 6th floor, which is the top unit of the existing historic structure. Stairs from 6th floor lead you to your private roof top.
Electra services and amenities include: concierge, business center, parking, spa, steam, sunny outdoor pool, fitness center, hot tub, and 'Electra Park' on the 5th floor with 2 outdoor BBQs and fireplace.
The common space is absolutely breathtaking. The intricate glass dome is the crowning glory of the 7-story 'Conservatory', perfect for stargazing. Hand wrapped books complete the luxury decor of the stunning library. Enjoy soft music from the grand piano, sophisticated furnishings, art, and the stunning Art Deco detail of the early 20th century columns and arches restored by Bosa's craftsman. Electra is San Diego's Tallest Residential Tower.
Available April 15. Additional photos can be emailed upon request.
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Brian
Posts:2647
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| 03/29/2008 7:43 PM |
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I know that this is an East facing Unit Plan E. But $467/sf will set a downward trend for Electra and other high end buildings.
MLS# 081023543
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700 W E St #1605
San Diego, CA 92101
Price: $749,000 to $850,000
Status: Active
Assoc. Fee: $730 Monthly
Year Built: 2008
Area: Downtown
Community: Electra
Size
Beds/Baths: 2 / 2
Square Feet: 1,605 sf
PPSF: $467
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Goingup?
Posts:167
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| 04/02/2008 7:41 PM |
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| The real square footage for that unit is closer to 1100 square feet, putting it in the 700 dollar PPSF range. As for pricing at electra, most put at least 20% down, and have their units for sale at least 10% above what they paid for them (flipper mentality dies hard). In order for there to be forclosures in that building you'd have to have price declines of at least 30% from their current levels. Anything facing W needs to correct in the 20% range because of that surprise office tower that will go up destroying all the views (and 2 years of noise), but units facing E should should sell in the break even range for flippers (maybe 10% below currrent asking prices). SE corner will make money, as some of those units have already gone pending and my guess is they'll sell at a 5% profit for the flipper (should find that out within 60 days or so). This is the last of the flipper projects downtown. When Bosa's next project (Bayside) comes on line, you'll see very few resales (but it sure won't be sold out by then). |
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Brian
Posts:2647
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| 04/03/2008 10:02 AM |
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Opps, i didn't verify square footage.
We will see in the fall of 2009 if there are any foreclosures at Electra. My bet is yes. But we shall see.
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jakob
Posts:550
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| 04/03/2008 10:16 AM |
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| Another flipper breathes a huge sigh of relief as a 2nd flipped unit closed today. I wish we could see the price paid to the developer. |
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Brian
Posts:2647
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| 04/04/2008 12:17 AM |
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Here's an Electra unit at $514/sf.
http://www.sdlookup.com/MLS-086010750-700_W_E_St_805_San_Diego_CA_92101
MLS# 086010750
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700 W E St #805
San Diego, CA 92101
Price: $599,000
Status: Active
Assoc. Fee: $730 Monthly
Year Built: 2008
Area: Downtown
Community: Electra
Beds/Baths: 2 / 2
Square Feet: 1,165 sf
PPSF: $514
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Brian
Posts:2647
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Brian
Posts:2647
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| 04/04/2008 12:28 AM |
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#1005 was apparently resold for $625,000 on 3/26/2008
With transactions costs and carrying costs, it's looks like this seller got out just in time.
Parcel Number: 533-532-10-29
Property Location: 700- E ST WEST #1005
Purchase Price: $539300
Living Area: 1161
Bedrooms: 2
Bathrooms: 2
Document Date: 1-8-2008
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Brian
Posts:2647
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| 04/04/2008 12:31 AM |
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04/02/2008
#1406 $1,075,000 $694sf
This one also just got out just in time.
Parcel Number: 533-532-10-54
Property Location: 700- E ST WEST #1406
Purchase Price: $946880
Living Area: 1548
Bedrooms: 2
Bathrooms: 2
Document Date: 1-25-2008
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Brian
Posts:2647
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Brian
Posts:2647
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| 04/04/2008 1:24 AM |
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Looks like:
1) 118 units closed so far, according to the County's website. They maybe others that will show up later. But that's what we have so far.
2) of the 52 listings 14 appear to be directly from Bosa (as they are not shown as previously closed on the County's site). Those Bosa units may eventually end up undercutting the resale listings, depending on how long the downturn drags on.
3) 3 units are currently listed under purchase price. #518, #2503, #2805
4) Most units are listed a little bit above original purchase price, just to recoup the original "investment"
5) There are 248 units at Electra for a sold ratio of 48%, so far. No good for a building that claims to have been "sold out."
6) The question I would like answered is how many walked away from their contract rather than close. I suppose the other 52% or 130 units, if we are to accept the claim that the building was "sold out" within a few days of pre-contruction sales.
7) How will that affect HOA reserves? The developer may not contribute to the reserves account.
8) Closings began in January. We may begin to see NODs in June or July of this year. If that happens we will have confirmation of the level of speculation at the San Diego's tallest residential tower (and arguably the most "primo" at the time of construction sales).
Time will eventually give us all the answers. |
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Brian
Posts:2647
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| 04/04/2008 1:55 PM |
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| For you guys who might be interested, here is an Excel spreadsheet of all the closings as shown by the County. I'll update it later as more info is available.
Edit: I couldn't post the xls but pdf is OK. If you want the xls, post your email address and I'll sent it to you. |
Attachment: Electra.pdf
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jakob
Posts:550
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| 04/04/2008 2:09 PM |
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Dude, that is awesome!!! I spent some time trying to get property tax info but the units don't seem to exist in the database yet. A column for property tax paid or not paid would be sweet to add to your spreadsheet.
Here's the property tax search. If I put in "700 W E" "STREET" "92101" I get some listings, but they look strange. Not sure what's up with that. Similar strange things happen if I try searching on parcel numbers. Maybe this will get sorted out when the taxes are due next.
https://www.sdctreastax.com/ebpp3/
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Brian
Posts:2647
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| 04/04/2008 10:03 PM |
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jakob, I'll add the columns you suggested... My spreadsheet will be improved overtime. I'll post the updates periodically.
I'll monitor Electra closely because I beleive it's the harbinger of things to come on the high-end market downtown. My bet it that we'll see an NOD before year-end.
The two closings have not been confirmed and my bet that they got less than list price.
I'm leery of developers as I believe that in a slow market, they sell some of their units to related parties/business associates to create comps. There maybe behind the scene deals that we don't know about.
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KnifeDodger
Posts:7
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| 04/07/2008 11:24 AM |
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| #1505 sold for a slim profit of $16,000. A loss after transaction costs. Still a lot of flippers holding on to their wishing prices. |
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