Five months ago, and according to 188 King’s marketing team, unit #207 “Sold” for $1,650,000. Yesterday it hit the market as a resale. List price: $1,595,000.
∙ Listing: 188 King #207 (2/3) – $1,595,000 [Virtual Tour] [MLS]
∙ 188 King Street: Sales Update [SocketSite]
Funny you mention this. When I see a property on CL or MLS, I usually try and see when the current owner bought it and how much they paid. I’m increasingly starting to see failed flips (flops?) on many properties.
I really don’t understand how someone buys a $1million+ property with plans to stay for less than six months.
I can’t understand why someone would by a loft with very contemporary finishes and then furnish it with period pieces, and what looks like a (insert your own descriptor here) Z-Gallery bed. Strange if it’s just staging, stranger if someone actually lives with it.
“I really don’t understand how someone buys a $1million+ property with plans to stay for less than six months.”
I do….think of the mis-attributed P.T. Barnum quote and there’s your answer.
According to propertyshark.com, there have been =no= sales at 188 King Street for 1.65m The closest is a resale dated 15Aug2006 for 1.45. PropertyShark does not give the individual unit numbers for the units involved.
Since Aug 2006, seven units have sold, according to PropertyShark. Five of those are listed as “subdivision.” The other two are listed as “resale.” The seller in each case is 188 King St Associates LLC. The buyer in the case of the $1.45m sale is an individual.
The sales are (individual info &c. stripped)
10/18/2006 $750,000
10/6/2006 $795,000
8/18/2006 $925,000
8/15/2006 $1,450,000 (resale)
8/4/2006 $1,025,000 (resale)
8/3/2006 $1,075,000
8/3/2006 $780,000
The four units you listed as sold in your August post are on this list at the prices listed in August, except for the price of #207, which is listed at $200K less than the price given then.
With that $200K drop in price, this current sale looks less like a bailout at rock bottom pricing and more like someone changing her mind and hoping to get back what she put in and a bit more besides.
The seller in each case is 188 King St Associates LLC.
correction: King Street Associates LLC.
How do you know it’s a she?
Even if that is the sum total of all the sales, and the unit being sold is the one purchased for 1.45, it’s shocking how few have been sold, and that the price was lowered to make that sale.
It also tells me that, if there are still other units for sale, and they are discounting to sell them, the owner is smoking crack if he/she thinks he/she can get an extra $100K in 5 months in that environment.
How do you know it’s a she?
Because PropertyShark provides the names of the sellers and buyers. I elided the names from the list I posted.
So let’s remember to add the 6% sales commish… if this sells for the ask, the net to the seller will be $1.499M That’s a $50k pretax profit before subtracting any other costs such as HOA, taxes, interest on the 41MM+ loan, any upgrades, etc…Post tax at 35%, that’ s $32k before any of these expenses, and I roughly calculate the interest alone to be 30k in the 6 months expenses…Let’s do one more exercise and assume the seller used a 20% down payment, or $290k, to buy the property. A $50k return on $290k, provides a pretax gross return of 17% over six months. It looks pretty good, but again consider paying the bank perhaps 30k ininterest on the $1mm+ loan, and it looks like this money could have been better placed in an S&P index fund if not a 5% money market.
Seriously, they’d be better off removing ALL of the furnishings or hiring a staging company to come in and put more contemporary, loft-appropriate furniture. What’s in there now makes it look ch$*p and t#@ky.
“I can’t understand why someone would by a loft with very contemporary finishes and then furnish it with period pieces”
“Seriously, they’d be better off removing ALL of the furnishings or hiring a staging company to come in and put more contemporary, loft-appropriate furniture. What’s in there now makes it look ch$*p and t#@ky.”
Looks like “transitional” style to me (and staged), which is the latest craze.
I see cool lofts often furnished with mish-mash pieces. Could be bad taste, or after paying the mortgage there’s nothing left over to buy furnishings…
For the newbies, here’s an intro to “transitional” interior design style. You’re going to see a lot more of it.
http://www.hgtv.com/hgtv/dc_styles_other/article/0,1793,HGTV_3526_2703525,00.html