Monday, July 06, 2009

CRE: Half Off Sale in San Francisco and More

by Calculated Risk on 7/06/2009 06:24:00 PM

A few interesting stories. The first story (more than half off from the peak price) the buyer bought the loan, and then the current owner transferred the deed in lieu of foreclosure. The second story is a photo essay of the real estate bust, and third story is about the City Center project in Las Vegas.

From the San Francisco Business Times: Sale shows San Francisco property values in free fall (ht Steve)

A downtown San Francisco office building that sold for $400 a square foot in 2006 has traded for just $172 a square foot, a 57 percent decline ...

The sale, at a price that represents about 25 percent of replacement cost, represents the first San Francisco office building sale in a year. ... Colliers International Executive Vice President Tony Crossley said the price “gives the market a data point it has been lacking.”
From the NY Times Magazine, a photo essay: Ruins of the Second Gilded Age (ht Shawn)

And from the WSJ (condos): Buyer's Remorse Hits Vegas Project (ht ShortCourage)
One of the costliest and highest-profile condominium developments in the country -- the $8.4 billion City Center project in Las Vegas -- is facing a revolt from some early buyers. ... So far, buyers have put down $313 million in deposits on 1,500 units in the 2,440-unit complex. Those who agreed to buy early on now fear they will take possession of condos whose market values are far below what they agreed to pay. Many of the contracts were signed in 2006 and 2007 ...