Quietly acquired by the newly recruited CEO of Uber for $16.5 million in 2017, the 6,200-square-foot, five-bedroom home at 3090 Pacific Avenue, an “impeccably remodeled” and light-filled pad “on a desirable tree-lined block in Pacific Heights,” returned to the market priced at just $12.5 million last month.

Already in contract and positioned for a “quick sale,” the list price for 3090 Pacific Avenue was actually dropped to $10.5 million last week, a sale at which would be considered to be “at asking!” according to all “surging” industry stats and aggregate market reports.

If you think you know the market for uber high-end homes in rather established San Francisco neighborhoods, now’s the time to tell and to possibly start spinning with an above-average number of big spec home redevelopments underway within a few blocks. Keep in mind that an “at asking!” sale for 3090 Pacific would represent a net 36 percent drop in value for the prime Pac Heights home on an apples-to-apples basis from the end of 2017.

9 thoughts on “Pac Heights Mansion Priced for an Uber “At Asking” Loss”
  1. Uber began trading at $42 per share on the New York Stock Exchange on May 10, 2019 (that’s about $51.22 in today’s money). Closing price today was $66.99, but it was as high as 81.39 in February of this year. Assuming that the CEO of Uber derived a significant portion of his income in the form of stock-based compensation, and his awards were like those of similar companies, he could easily afford to swallow a $6 million dollar nominal loss and not think twice about it. It’s not like he had to work extra hard to get that marginal increase in compensation, most of that stock price appreciation was probably derived from sticking it to the drivers via Proposition 22. For those reasons, this might be an idiosyncratic sale and not have much to say about “the market for…high-end homes in rather established San Francisco neighborhoods”. I realize that sounds like spin.
    The real question is where is he going to live. Is he pulling an Ellison or Zuckerberg and selling his San Francisco home for grander digs in Hawaii? Is he going to telework? If that’s the case, why don’t most executives at that company and others like it get the message, sell their “high-end homes” here (at a loss, if necessary) and work remotely?

    1. According to the company’s proxy statements filed for the 2023 fiscal year, the Chief Executive Officer & Director at UBER TECHNOLOGIES INC. made $24,248,208 in total compensation. Of this total $1,000,000 was received as a salary, $3,174,800 was received as a bonus, $6,089,126 was received in stock options, $13,721,292 was awarded as stock and $262,990 came from other types of compensation.
      For no reason other than the fact that I mentioned it above, let’s focus on the awarded stock portion of his total compensation. And just to cut off all the chain yankers who might weigh in and say that he “works hard for the money”, let’s assume he worked a a 996 schedule that year, or 72 hours per week (hah!). Under those assumptions, if he takes the $6 million dollar nominal haircut he only sacrificed about 31 weeks worth of just the equity portion of his compensation (and not the options) for one year in exchange for this “quick sale” and that’s assuming the valuation of the stock at the time it was awarded.

  2. There seems to be a square footage line (6k? 5.5k?) above which there is a major price correction but less so below the line. The 3k – 4k square feet homes in Pac Heights, Presidio Heights and Cow Hollow don’t seem to be facing drops of this size.

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