Purchased as new for $1,160,000 in 2008, the 1,146 square foot southeast corner condo on the 18th floor of the 22-story SOMA Grand resold for $1,198,000 a year ago next month.
Six months later, the two-bedroom hit the market listed for $1,289,000, a price which was reduced to $1,199,000 two months ago.
Yesterday, the sale of 1160 Mission Street #1806 between 7th and 8th Streets (“in the heart of SOMA’s Tech Belt”) closed escrow with a reported contract price of $1,175,000, fifteen grand more than in early 2008 but twenty-three grand less than a year ago.
While the condition of the condo was “apples-to-apples” with respect to the sales, keep in mind that the SOMA Grand’s homeowners association filed suit against the building’s developer, builder, and architects eight months ago, a fact that can affect financing and limit the pool of potential buyers.
I looked at this unit, and it’s fabulous, but I was disappointed by the lack of any sort of balcony or outdoor view space. Some units in the building have tiny ledge balconies, which is better than nothing. I wish buildings like this and the Millennium without much in the way of balconies would at least include roof decks for residents to hang out and admire the views. Of course this also seems like a sketchy area for $1M+ condos, but the neighborhood seems to be improving with Twitter, the giant new Trinity middle class rental development next door, etc.
The building has a phenomenal roof deck on the 5th floor, with a gas fire pit, water feature, cabanas, lounge furniture, BBQ area, and hot tub. I was in the area recently, and just shocked at how nice it is compared to even just a year ago. These buyers lucked out and got the litigation discount.
Greg, that’s a good point and that walled patio area is nice, but you don’t get the views or sunshine of what I would consider a real roof deck. Here’s a picture of it:
http://imgur.com/V5o3wTE
Imagine the views if they would put even a small deck on that flat roof which is just going to waste right now. Other recent developments like One Hawthorn got this right, IMHO.
The area is improving. It used to be a war zone. Now it’s just a nasty skid row. At least the trend is in the right direction! But a million bucks to live in that crappy neighborhood? Have to be stupid or insane. Maybe it will be livable in about 10-15 more years. But why pay the pricing as if it has already gotten there?
Why pay a million bucks? Because real estate value can only go up.