As we first reported with respect to Gramercy Towers this past November:
We doubt it will sell at asking, but if it does it might as well be a plugged-in person who picks it up. Purchased for $698,000 in June 2007, taken back by the bank “mid-remodel” last month, and now listed for $389,900, 1177 California #512 is a 1,056 square foot Gramercy Towers one-bedroom atop Nob Hill.
Keep in mind the 411 square foot Gramercy Towers studio #203 is currently in contract as a “short sale” having most recently been listed for “$299,000” and purchased for $362,000 in January 2008.
As plugged-in people know, the sale of 1177 California #512 Closed escrow with a reported contract price of $408,000 in December, down 42 percent ($290,000) versus 2007.
And on Friday, the sale of 1177 California #203 closed escrow with a reported contract price $265,000, down 27 percent ($97,000) versus 2008.
UPDATE: As a plugged-in reader notes, there appears to be more distress on the way at 1177 California as at least six other units are currently scheduled to be sold on the courthouse steps and at least two others on their way.
According to RealtyTrac, there are more to come.
[Editor’s Note: According to our counts, at least six more units are currently scheduled to hit the courthouse steps with two others on their way.]
Why are units at this building priced so low? Is it the high HOA? The old finishes? Unit #512 at $347 psf sounds like a steal.
#512 was gutted and sold that way as an REO – I can’t find the old listing, but #512 does NOT look like an Apple. So 27% down for the building given #203’s price is probably more accurate.
per a previous thread – this building attracts pied-a-terre buyers…. not exactly what you want to be known for in a down market.
This building will be no different than any that gets a lot of short sales and REO’s…. they produce price pressure on everyone else in the building thus creating even more short sales and REO’s. the good news for the area and north end of town in general is this building doesn’t come up in comparable searches against most buildings due to its location, number of units and high HOA’s. So they are mainly killing the prices on other units in the same building – and poor #712 currently asking $689k has no chance thanks to #512 even though the place was destroyed by the previous owner (figure that is a $50k problem not a $200k problem)
With this price, it begins to make sense to buy instead of to rent even with the high HOA. The HOA including everything and parking.
Unit #302 – 511 sq ft sold 8/9 for $267K
http://www.redfin.com/CA/San-Francisco/1177-California-St-94108/unit-302/home/1267872