As we outlined last year, the 4,320-square-foot, two-level Nob Hill penthouse unit #1002 atop the Park Lane at 1100 Sacramento Street hit the market priced at $12.495 million in June of 2020, having been acquired for $7 million in 2013 and then completely renovated, with custom millwork, Venetian plaster, Italian marble, and high end finishes throughout.

Withdrawn from the market having failed to trade, the high-end TIC unit returned to the market listed for $8.995 million in March of last year, was reduced to $7.995 million last July, and then further reduced to $7.495 million a month ago.

And the resale of the prestigious Nob Hill penthouse has now closed escrow with a contract price of $6.967 million, which is “down under a percent!” (over the past decade) according to all industry stats and surging market reports, ignoring the seven-figure budget for the renovation between.

12 thoughts on “Prestigious Nob Hill Penthouse Traded at a (Big) Loss”
  1. And the resale of the prestigious Nob Hill penthouse has now closed escrow with a contract price of $6.967 million
    So what, then, is the evidence that this unit is actually “prestigious”?
    (Or maybe the alternate meaning is implied 2: archaic : of, relating to, or marked by illusion, conjuring, or trickery?)

    1. Uh, check your favorite listing site, and compare this unit to the nearby ones that are either on the market or sold recently. Unit 1002, even at the contract price which represented a 7 percent reduction from the asking price of a month ago, is still almost 580 percent more expensive than nearby properties.

      1. You mean the simple fact that it sold for more than 99.9 % of homes in America should land it such a coveted title?? OK. But I hope when a home in somewhere other than SF sells for more than 99.3% of other homes, a similar clemency will be offered, rather than the often snide response that it isn’t real money

        1. The price in and of itself isn’t what establishes this home as prestigious. That’s one reason why I was comparing against other homes in the area, because some of that price is just due to where it is located. But not all of it.
          In addition to the physical features outlined by Dixon Hill (below), there’s this, from Landmarks, by Bridget Maley, November 2016:

          Architect Edward Eyestone Young became known for his collaborative work with speculative housing developers during the first few decades of the 20th century. Designing and building houses primarily on San Francisco’s north side, with a particular focus in Pacific Heights, Presidio Heights and along Lake Street, Young established strong relationships with some of the city’s important developers. Several homes were often crafted in a small group, each with a similar floor plan but with varying facades.
          Three of Young’s more distinctive Pacific Heights collections still stand at the corners of Octavia and Jackson, Divisadero and Green, and Presidio and Jackson.

          Young’s larger-scale projects include Glide Memorial Church and the Californian Hotel, now the Serrano Hotel, both listed on the National Register of Historic Places; an apartment building at California and Octavia Streets that Young both designed and developed; the Francisca Club near Union Square; and the Park Lane Apartments on Nob Hill.
          In The Historic Houses of Presidio Terrace, architectural historian Patrick McGrew noted that Young’s work “was successful and sold easily, generating a repeat clientele among the developers.”

          Before it was converted into a Tenancy in Common building, the above-featured building was the Park Lane Apartments on Nob Hill.

  2. 7 figure renovation and kitchen cabinets still look like out of the “premium line” Home Depot catalog?

  3. Yes…prestigious. This is a really nice unit in a great building with open views in multiple directions. A two-level unit with internal elevator and tall ceilings is quite rare in San Francisco. The only thing wrong with this building (for the person who can afford it) is the shortage of easily walkable retail/services Despite the 98 walk score, the steep hills are problematic.
    I continue to have trouble understanding the idea popular here that declining prices, in a market where everything except interest rates is going down, is evidence that a property is not good or “prestigious”. Is it about schadenfreude, seeing some stranger lose several million dollars? If/when this property goes back up in value, will that be proof that it was nice after all?
    This wasn’t a flipper…they owned the place for 11 years. And I don’t recall 2013 being an especially heated market. Generally accepted wisdom is that, if you plan to own for the long-term, you will usually come-out OK on a home purchase. Didn’t work out that way for these folks. Maybe they paid too much or maybe they had a change in life/family situation making it necessary to sell the property at an inopportune time. So what?

    1. >The only thing wrong with this building (for the person who can afford it) is the shortage of easily walkable retail/services

      Anyone who can afford a $7 mil place can pay for delivery.

      1. It actually considered better location to be up on steep hill in SF, because homeless junkies don’t like the hike.

  4. A “seven figure budget for the renovation” might mean they spent 1 million dollars, and it simply didn’t translate to a $12.495 million dollar value.

  5. But the real estate brokers said that for every $1 invested in improvements, you can expect $4 in return??
    Four years marketing period, with $5.5M in price reductions.

    1. “But the real estate brokers said that for every $1 invested in improvements, you can expect $4 in return??”
      No one says that.

  6. What a dream! Pay less than what someone else did 10+ years ago; plus it’s been remodeled. One of my jealousy-induced fantasies from tech boom era.

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