Concrete redhead--2318 Pacific Avenue, Alameda, CA
For a couple of days now, this somewhat big house on a huge lot (>10,000 sqft) has been advertised on Craigslist, without the benefit of an address, MLS ID or realtor (tm), but I suspect it is the one I'm thinking of, based on the description and former price:
Compare to the property page on Trulia, Alameda Home Finders or Zillow:
Compare to the property page on Trulia, Alameda Home Finders or Zillow:Trulia and my fuzzy memory show this house as being on the market for months--as of April 9, 2008, Trulia says (emphasis mine):
I think we all agree that Zillow's Zestimates (tm) are terminally silly, but as a general ballpark they're often within 20% of the current market value; this house full of possibilities Zillows out at a hair over $700K, so even with with the mammoth $455,000 price reduction, it still doesn't add up:
Think about it for a second--$455,000 isn't the asking price, it's the amount the price was dropped. It boggles the mind.
Update 6/16/08: Price dropped a whole $25,005 to $969,995.
Update 7/8/08: Down we go.
Update 7/9/08 (already!): Down we go again.
This Single Family Home located at 2318 Pacific Avenue, Alameda CA 94501 is currently for sale and has been on the market for 152 days. 2318 Pacific Ave is in the 94501 ZIP code in Alameda, CA. This property is listed by www.alamedahomefinders.com for $1,450,000. The average listing price for ZIP code 94501 is $650,560, which is lower than the list price for 2318 Pacific Ave. The average list price for similar homes for sale found on Trulia is $1,199,999, which is lower than the list price of $1,450,000 for this property. 2318 Pacific Ave has 4 beds, 1 bath, approximately 1,833 square feet, and was built in 1907.The theme in the old sales pitches has been "live, work, fixer, possibilities?" but I guess people want more than just possibilities when they are asked to drop $1.45M on a house, even if the lot is huge. And frankly, its proximity to Park Street shopping is really proximity to car dealers and body shops, with the yummy anomaly that is the cute shopping center with the fabulous bakery, Ching Hua restaurant and a number of other deli type stores, but whose name eludes me right now. And the huge lot is great if you do plan to take advantage of the dual zoning, but if you want an oasis of duck-infested peace or have evil rug rats who need a yard to burn off the excess sugar you feed them constantly, all that concrete isn't too appealing.
I think we all agree that Zillow's Zestimates (tm) are terminally silly, but as a general ballpark they're often within 20% of the current market value; this house full of possibilities Zillows out at a hair over $700K, so even with with the mammoth $455,000 price reduction, it still doesn't add up:Zestimate Information
- Zestimate: $701,500
- 30-day change: $9,500
- Value Range: $589,260 - $792,695
- Last updated: 04/07/2008
Think about it for a second--$455,000 isn't the asking price, it's the amount the price was dropped. It boggles the mind.
Update 6/16/08: Price dropped a whole $25,005 to $969,995.
Update 7/8/08: Down we go.
$889000 Huge Price Reduction ! Unique Propery off Park St. X-tra Large Lot (alameda) (map)
Update 7/9/08 (already!): Down we go again.
$840000 The Best Deal in Alameda ! Huge 129k Price Reduction (alameda)
What the owner wanted to capitalize on was the Commercial/residential zoning which would impact the value of the property. It's not the house --- it's the potential to build, convert to offices, set up light manufacturing, etc. with parking, downtown.
See Alameda's Municipal Code for the allowed uses. http://www.ci.alameda.ca.us/gov/municipal_code.html,
Chapter 30-4.10 C-M, Commercial-Manufacturing District
This property is also within the "New Strategic Plan for Park Street Commercial District" as posted on the City's website http://www.ci.alameda.ca.us/news/0808_parkstreetstrategicplan.html
Admittedly, it was a mistake to list the property at the high price the seller wanted especially in a dwindling market. But after seeing the software company building go up on Blanding (next to the Little House Cafe), this new low price should invite interest. There are enough curious investors who like the location, but not the old price. They may want to give this a second look now.
This is probably a good example of miscalculation and bad timing.
"This is probably a good example of miscalculation and bad timing."
This is probably the understatement of the century :)
The owner was pitching the place mostly as a cool house, not an office building, and touting the location alternately as great for commuters (good luck turning left on Park from there during rush hour), an urbanite's paradise (with a partial view of car dealerships, no thanks), and now a backup location for Raiders game tailgate parties, it seems.
The "possibilities" argument is fine, but it's obviously not working, and by pitching the property as something that will require a lot of work to turn a house into a business office, or vice-versa, the listing is turning both pools of buyers off.