San Francisco "on verge of rebound", says Barbara Corcoran

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Economic slowdown leading to downsized development plans for SF

A plan to remake one of the last large tracts of San Francisco's waterfront likely will be more modest than originally imagined and bring the cash-strapped Port of San Francisco less money than once hoped.

The Port Commission today will decide whether to allow port officials to negotiate exclusively with a team that wants to construct a neighborhood on a 16-acre tract that has been used as a parking lot for AT&T Park...

As it stands, the project would produce approximately 10 commercial and residential buildings, including two towers near 200 feet and another taller than 300 feet. The area would be broken into 12 small city blocks and would feature 8 acres of open space, including the waterfront park.

SOURCE: SF CHRON

Turnberry calls it quits on SF

As reported last month here on HighRiseSF, Turnberry had been shopping their lot on Lansing Street, looking to exit the SF market after an ambitious plan to build super luxury condos. Well, now San Francisco Business Times confirms that Turnberry will be packing up and heading back to Miami:

Rincon Hill developer Turnberry Associates has canceled its 40-story deluxe condo tower at 45 Lansing St., and asked the city to refund an $8.4 million affordable housing fee it paid when the building permit application was filed in 2007.

In a letter dated May 4, land use attorney Andrew Junius said the building permit for the 227-unit tower “will be withdrawn immediately by the project sponsor.”

The cancellation is a significant blow to the future of highrise development in Rincon Hill and other downtown neighborhoods. Turnberry bought the property in September, 2006, near the height of the market, paying $30 million, or $130,000 per buildable unit. At the time Turnberry President Bruce Weiner told the Business Times that the project would cost $230 million to $240 million and would be the most upscale development Rincon Hill has seen, with “exotic marble baths, Italian Snaidero cabinetry, Gaggenau cooking appliances, Jacuzzi hydrotherapy tubs with built-in TVs, individual security systems and 12-foot penthouse ceilings.”

SOURCE: SF Biz Times

Socketsite round-up

Always a wealth of information on Socketsite, run by HighRiseSF's friend, Adam Koval. Here are the highlights from the past few weeks, as it relates to development and real estate in SF:

113 New Apartments Planned around Main/Beale

Values continue to drop at 235 Berry St

Pending US Home Sales on the rise

One Rincon Hill selling...SLOWLY

According to Socketsite, One Rincon Hill (ORH) is

at around 70 percent sold which would suggest almost no net-new contracts since October of 2008 when roughly 30 percent of Tower One inventory had yet to close.

Having worked for the same sales and marketing firm when the building first commenced sales, it seems as though sales have fallen backwards consistently since their "record-breaking" first week of sales. From roughly 330 homes sold then to roughly 250 now. Was/is this building just an investment property? Judging from the number of attempted flips and insider knowledge of staff buying multiple units for themselves, I think the answer is clear: This ain't no Infinity.

SOURCE: SOCKETSITE

Bad news for One Rincon Hill owners

According to Socketsite,

Originally seeking $849,000 as a resale, the listing for One Rincon Hill #2307 was reduced down to $749,998 and then withdrawn from the MLS after 200+ days. Returning to the MLS [73] days ago asking $699,000, the list price for the northeast corner and 819 square foot 425 1st Street #2307 was [then] reduced to $649,000. The resale ... closed escrow on 4/17/09 with what appears to be a "confidential" sale price according to the MLS. Public records via the Chronicle report a sale price of $560,000 ($684 per square foot). And if tax records and the Chronicle are correct, that’s roughly 22% under what the seller had paid to the sales office ($873 per square).

Ouch. Glad I didn't buy one during the first week of sales.

SOURCE: SOCKETSITE

Open House tours this weekend

The weather's beautiful...a great weekend to go look at new homes. Enjoy!