Posts Tagged ‘gold rush’

Gold Rush Real Estate: Then & Now

Portsmouth Square, 1851

Portsmouth Square, 1851

 

When writer Bayard Taylor arrived in San Francisco by ship in the summer of 1849 and began chronicling the Gold Rush economy in his dispatches for the New-York Daily Tribune, he feared nobody would believe him. The imbalance of supply and demand for basic essentials — food, tools, clothing, equipment — was riding high, driving prices to astronomical levels–

 

“There were reports of canteens charging a dollar for a slice of bread or two if it was buttered, the equivalent of $56. A dozen eggs might cost you $90 at today’s prices; a pick axe would be the equivalent of $1,500; a pound of coffee $1,200 and a pair of boots as much as $3,000…”Smithsonian

 

In today’s economy — booming not with gold but with technology — even San Francisco locals are in disbelief to learn the premiums being paid for another commodity in short supply: real estate. In sharp contrast with current times, mid-19th century SF was a largely rural setting with abundant raw land awaiting the development of businesses, homes and infrastructure. Now, there’s practically nowhere to build up — and when it comes to homes prices here in one of America’s richest cities, the sky is the limit.

Just for fun, let’s take a look at some Gold Rush era properties that have hit the market in recent years and their inflation adjusted prices. They’ll have you wishing you could travel back in time!

 

1032 Broadway Street, Nob Hill

Year Built: 1853

2015 List Price: $12,000,000

Inflation Adjusted 1853 Price: $434,813.47

1032 broadway

 

 

1948 Sutter Street, Lower Pacific Heights

Year Built: 1858

2006 Sales Price: $2,405,000

Inflation Adjusted 1858 Price: $115,151.52

1948 sutter

 

 

816 Grove Street, Alamo Square

Year Built: 1850

2004 Sales Price: $1,650,000

Inflation Adjusted 1850 Price: $75,370.45

816 grove

 

 

10 Napier Lane, Telegraph Hill

Year Built: 1855

2012 Sales Price: $810,000

Inflation Adjusted 1855 Price: $32,849.01

10 napier

 

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Meredith Martin is a Broker Associate at Paragon Real Estate Group and can be reached at Meredith@OpeningDoors.me

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San Francisco Secret Spaces

Rooftop Reverie

Rooftop Reverie

San Francisco is a very special place. Right now, some think  it’s the epicenter of the universe. The Titans of Tech, the heart of artistic culture and Karl the fog (our weather is now a mascot!) reside here, working and playing hard. But we all need a break…

The folks at SPUR have shared their local real estate expertise in a cell phone application titled, SPUR Secret Spaces & Hidden Oases to showcase destinations for revitalization. The best part, all are open to the public!

I have narrowed to my top 5. Enjoy!

1. Rooftop Reprieves at The Crocker Galleria on 50 Post St. @ Montgomery St. This breath of fresh air location boasts 2 Rooftop Sun Terraces. Complete with lovely benches, flowering trellis’ and a working foundation, this quiet open space has lived up to its name since its construction in 1982. With easy access to restaurants & restrooms, Rooftop Reprieves receives a stamp of excellence!

2. Standing Among Giants at TransAmerica Redwood Park on 600 Montgomery St. @ Clay St. This iconic oasis lives up to it’s fame.

TransAmerica Redwood Park

TransAmerica Redwood Park

Resting beneath the shadow of this towering skyscraper, an Urban Park accessorized with massive Redwood trees, grass, wooden benches and a stage, takes my first prize for best of the best. Nearby restaurants have cooked lunch for the voyeur of these gentle Redwood giants since 1973.

Moroccan Bliss!

Moroccan Bliss!

3. A Moroccan Plaza at Citicorp Center Building on 1 Samsome St. @ Sutter St. This remarkable architectural accomplishment has provided San Francisco with a glass enclosed roof, supported by 2-story arches of white marble since 1912. A visitor is sure to have a few moments of holiday bliss as palm trees accent this quaint cafe scene. Drift amongst the true show stoppers, an art deco bronze sculpture and marble fountain centerpiece. Sit back, relax and enjoy the tables and chairs free for visitors use since 1983.

4. Up in The Clouds on 343 Sansome St. @ Sacramento St. This split location shares 2 open spaces with the public. Savor the sun and the view from the 15th floor terrace.

15th Floor Terrace

15th Floor Terrace

Travel to the adjacent mall for easy food service. Bring lunch back over and appreciate the olive trees and flower bed planters. This special space has been gifting benches, moveable chairs and tables since 1990.

5. Power Lunch Greenhouse on 101 2nd St. In 2000, contemporary minimalism invited an expansive, glass-enclosed designer cafe to SOMA.

Modern Greenhouse eatery

Power Lunch Greenhouse

Bath in sunlight and pull up a chair or a bench to watch daily noon-time entertainment. Delight in the contrasting white marble and black granite decor that frame an over-sized painting and sculpture. What are your favorite San Francisco spaces?

Rita Roti is a broker associate / assistant manager at Zephyr Real Estate and can be reached at Rita@ritaroti.com.

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2014 San Francisco Real Estate is on the Rise…Literally!

City Limits Rise

City Limits Rise

In 2014, the San Francisco skyline will adapt to the high demands for housing. As the country’s top-ranked market construction pipeline, San Francisco has approved the addition of 43, 850 new residential units, many following the trend of micro-housing. For an expanded view, roughly only 35,000 units have been constructed in the city by the bay over the past 14 years. Supporting a thriving bay area economy, positioned by an increase in equity capital and a hot job market, San Francisco’s “sustained improvement in the underlying economic fundamentals” is not the key to its klout says Peter Walker of UrbanLand Institute.  Simple timing and the pace of interest rates are developer’s tickets to rising returns, announced by experts from Emerging Trends in Real Estate.

Foreign investors, institutional investors and private equity financing have flooded the housing market, issuing a “solid buy” stamp for all property types in the gold rush city. 13% of the US real estate market transactions between January and August 2013 were compliments of foreign flex dollars. Furthermore, the increases in available debt from insurance companies, mezzanine lenders and issuers of commercial mortgage-backed securities have the highest bidders snapping up major parcels in hot neighborhoods of South Beach, Mission Dolores and Hayes Valley.

Blanca Torres, reporter for the San Francisco Business Times shares her research. “California was among a handful of states particularly hard hit by the housing bubble, seeing home values decline by 45 percent statewide, according to an analysis by the American Action Forum, a center-right policy institute. San Francisco notably stands as one of the most improved hard-hit markets.”

The next Gold Rush?

The next Gold Rush?

Confidence is spawning as promises of positive results spread to secondary markets. With many developments scheduled to be completed by 2017, if experts are accurate, the keys to success of these billion

dollar developments are simply time and the federal government. Thus, the dawn of the new San Francisco horizon will fulfill its historical destiny of boom or bust!

The next BIG conversation surrounds the basic infrastructure of the city and how it plans to sustain the environmental impact of the additional residents. Stay tuned…

 

References:

http://urbanland.uli.org/economy-markets-trends/san-francisco-is-top-market-for-2014/

http://www.socketsite.com/archives/2013/01/the_43580_units_in_san_franciscos_housing_pipeline.html

 

Rita Roti is a broker associate / assistant manager at Zephyr Real Estate and can be reached at Rita@ritaroti.com.

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