Latest real estate shocker: Silicon Valley tear down on 0.7 acres selling for $5 million


  • c6392 920x920 Latest real estate shocker: Silicon Valley tear down on 0.7 acres selling for $5 million

    A 31,715-square-foot parcel with three fixer-upper homes at 582 E. Maude Ave. in Sunnyvale is listed for $4,915,825 million and offers a unique investment opportunity in California’s Silicon Valley.

    A 31,715-square-foot parcel with three fixer-upper homes at 582 E. Maude Ave. in Sunnyvale is listed for $4,915,825 million and offers a unique investment opportunity in California’s Silicon Valley.


    Photo: Steven Ramos

  •  Latest real estate shocker: Silicon Valley tear down on 0.7 acres selling for $5 million
  •  Latest real estate shocker: Silicon Valley tear down on 0.7 acres selling for $5 million
  •  Latest real estate shocker: Silicon Valley tear down on 0.7 acres selling for $5 million
  •  Latest real estate shocker: Silicon Valley tear down on 0.7 acres selling for $5 million
  •  Latest real estate shocker: Silicon Valley tear down on 0.7 acres selling for $5 million
  •  Latest real estate shocker: Silicon Valley tear down on 0.7 acres selling for $5 million
  •  Latest real estate shocker: Silicon Valley tear down on 0.7 acres selling for $5 million
  •  Latest real estate shocker: Silicon Valley tear down on 0.7 acres selling for $5 million
  •  Latest real estate shocker: Silicon Valley tear down on 0.7 acres selling for $5 million
  •  Latest real estate shocker: Silicon Valley tear down on 0.7 acres selling for $5 million

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A 31,715-square-foot parcel with three fixer-upper homes at 582 E. Maude Ave. in Sunnyvale is listed for $4,915,825 million and offers a unique investment opportunity in California’s Silicon Valley.

A 31,715-square-foot parcel with three fixer-upper homes at 582 E. Maude Ave. in Sunnyvale is listed for $4,915,825 million and offers a unique investment opportunity in California’s Silicon Valley.



Photo: Steven Ramos


An abandoned tear-down in a coveted location about five miles from both the Google and Apple campuses is the latest shockingly priced property to become a symbol of Silicon Valley’s insane real estate market.

The 0.7-acre property at 582 E. Maude Ave. in Sunnyvale, which includes an abandoned home and two smaller fixer-upper cottages, is listed for $4,915,825.

Some were quick to notice the price.

Sunnyvale Councilmember Jim Griffith shared a photo of the ramshackle home with a lawn of dead grass and wrote on Twitter, “Sunnyvale real estate market in a nutshell.”

Griffith followed up, “Clearly a development opportunity. Can probably support 5 SFHs (single-family homes) or 8 condos.”

Listing agent Steven Ramos admits the price might seem high to anyone living outside the San Francisco Bay Area, but says the property presents an opportunity for a developer or investor.


The land is identified by the city of Sunnyvale as as an “underutilized residentially zoned site,” meaning that if you buy this property and tear down the houses, you can pack it with multiple residences and turn a significant profit.

“I’m told you can build up to 15 town house-type homes here,” Ramos says. “Imagine a three-level townhome at 1,400 square feet. Retail price on that is going to be around $1.3 to $1.4 million, and then multiply that by 15. That will tell you what the potential investment would be here.”

ALSO: Fire-ravaged San Francisco home once labeled a ‘drug den’ sells for $2 million


Local real estate agents Patrick Carlisle and Lamisse Droubi explain the cycles in the housing market and how it applies to the Bay Area.


Media: San Francisco Chronicle



Real estate data for the area supports Ramos’ logic. The median home price for Santa Clara County was about $1.1 million in July. By comparison, the average home value in the country is about $218,000.

Sunnyvale has seen dramatic increases in prices since 2011, when Apple announced it would move into the former Hewlett-Packard site in neighboring Cupertino. Ever since, the city has seen 15 to 20 percent increases in year-over-year prices.

The average price per square foot in Sunnyvale is now about $1,112, which puts a 1,400-square-foot abode at around $1.5 million — and who knows what that price might be in two-plus years when the 15 potential townhomes are on the market.

Article source: https://www.sfgate.com/realestate/article/Sunnyvale-real-estate-prices-Apple-Google-13227827.php

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Bay Area real estate gains highest in country since recession

If you bought a Bay Area home in 2012, pat yourself on the back.

You almost certainly doubled your investment, just by sleeping in your own bed.

Home values across the country have stepped up since the aftermath of the Great Recession a decade ago, but nowhere have values vaulted higher than in the Bay Area.

New research released Thursday by real estate website Trulia shows homes in the San Jose, Oakland and San Francisco metro areas have more than doubled in value since 2012.

The cities ranked three of the top four in the country for appreciation: San Jose (122 percent) led the way, followed by Las Vegas (114 percent), Oakland (108 percent) and San Francisco (101 percent). By comparison, the SP 500 index during that stretch rose 87 percent.

Nationally, home values have grown 45 percent since 2012, when they hit bottom across the country.

“Things are considerably different in the Bay Area,” said Trulia housing economist Felipe Chacon, author of the report.

The rocket fuel for rising Bay Area home values has been a mixture of booming job growth — more than 14 percent — and few building permits issued for new homes. Depending on the city, one new building permit was issued for every two or four new people moving into the area during the period. That’s far below the national average of roughly one permit for every 1.6 new residents.

Chacon believes the Bay Area’s population growth would have been even more rapid if not for the high cost of living driven by a dearth of new housing. He added that building permits had recently started to rise in the Bay Area, but still remain far below the national average.

The populations in San Jose, San Francisco and Oakland grew by between 5 and 6 percent, well behind fast-growing Austin, Texas (15 percent), Houston (11.5 percent), Dallas (10.9 percent) and Seattle (9.1 percent).

The median home value in Santa Clara County is $1.3 million, and $954,000 in San Francisco and Alameda counties, according to Zillow.

But while the growth in home values has been a boom for owners, the business community and some state lawmakers believe the shortage has reached a crisis. They  are pushing for more permissive zoning and faster approvals for affordable housing.

The Silicon Valley Leadership Group has set housing as a top priority, and is supporting a campaign to pass a $4 billion bond aimed at creating affordable housing for low-income residents and veterans.

State lawmakers expect to introduce more bills in the coming session promoting higher density around transit hubs and more construction of affordable housing.

Article source: https://www.mercurynews.com/2018/09/13/bay-area-real-estate-gains-highest-in-country-since-recession/

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Alain Pinel acquires Hill & Co. in merger of two luxury real estate firms

Another week, another real estate merger. But this time it’s two Bay Area brokerage firms — both serving the luxury market — getting hitched.

Alain Pinel Realtors, based in Saratoga, has acquired Hill Co., a boutique brokerage with three offices and 60 agents in San Francisco.

Pinel, which has almost 1,300 agents in 60 offices, was the nation’s seventh largest residential real estate brokerage in terms of sales volume last year, handling about $12.2 billion worth of deals. But it ranked only 73rd in terms of transactions, according to Real Trends, a real estate data and consulting firm.

Its average sales price was $1.6 million, highest in the nation. That’s because it caters to the high end of a wealthy market, said Scott Wright, director of mergers and acquisitions with Real Trends.

Hill Co. did not show up on the Real Trends ranking of the nation’s top 500 companies because it did not do at least 500 transactions. However, its agents handled $545 million worth of deals for clients, and its average sales price was $2 million, said Jay Costello, president of Hill Co.

Alain Pinel President Michael Hulme said he was talking with Costello about subleasing a Hill office “and it turned into a discussion on what if we got together.”

Since early July, the venture-funded New York firm Compass has acquired two of the Bay Area’s largest firms, Pacific Union and Paragon Real Estate Group.

“It’s just so competitive now, you have these big companies that are well-funded, they can come in and almost decimate a brokerage, specifically a small one,” by raiding its agents, Hulme said. “There is so much staff, tools, technology you need to be competitive. I think a lot of them are looking for ways to cash out before their business isn’t worth anything.”

Compass “reached out to us maybe a month ago,” Hulme said. “We told them no.” In the past month, Hulme said he has been called by a couple of attorneys representing other brokerage firms, and “it’s possible” Alain Pinel could be making more acquisitions.

Costello said Compass hired away 10 or 12 Hill agents. “It was clear to us that unless we aligned ourselves with a stronger brand, a larger company, the potential for success for our agents would be limited.”

Pinel was co-founded 28 years ago by Hulme’s father, Paul Hulme, and two partners who are no longer with the firm including Alain Pinel.

Costello’s father, Joe Costello, founded Hill in 1956.

“It’s one family company selling out to a stronger family company, just what we wanted,” Costello said.

Costello said he plans to stay on with the company. Hill offices will take on the Alain Pinel name.

Kathleen Pender is a San Francisco Chronicle columnist. Email: kpender@sfchronicle.com Twitter: @kathpender

Article source: https://www.sfchronicle.com/business/networth/article/Alain-Pinel-acquires-Hill-Co-in-merger-of-two-13224908.php

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10000 Attendees at Real Estate Wealth Expo in San Francisco Bay Area – Celebrity Speakers Galore

About Marilyn Anderson

Marilyn Anderson is a bestselling author, travel entertainment reporter, and award-winning film and television writer. She wrote for Murphy Brown, FAME, Sherman Oaks, and Carol Company, starring Carol Burnett. Marilyn is writer-producer of the family film, How to Beat a Bully, and author of the personal finance book, How to Live Like a MILLIONAIRE When You’re a Million Short. 

Marilyn is currently working with the Real Estate Wealth Expo, offering businesses the way to meet face-to-face with thousands of potential new clients at exciting events in different cities. The Real Estate Wealth Expos are high-energy experiences for investors, home owners, realtors, entrepreneurs, sales people, celebrities, and fans to come together for networking, learning, great business leads and connections.

Article source: https://www.expertclick.com/NewsRelease/10000-Attendees-at-Real-Estate-Wealth-Expo-in-San-Francisco-Bay-Area-Celebrity-Speakers-Galore,2018161838.aspx

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Thinking Long-Term Can Help Navigate Through Market Downturn

Buying property with the next five to seven years in mind is the safest route when a down housing market is a possibility, says Bay Area real estate agent Tim Gullicksen.

SAN FRANCISCO (PRWEB) September 11, 2018

According to Bay Area realtor Tim Gullicksen, the interconnected world economy we live in can be quite frightening.

“Trade wars, traditional conflicts, and extreme weather events rage around the world,” he said. “We are left to wonder if and when this chaos will affect us in the delightful bubble that is the San Francisco Bay Area. Will mortgage interest rates be going up? Have housing values gone as high as they can? Will property values come down in the near future?”

Unfortunately, he continued, there is no way to predict the future so buyers must consider why they are thinking of buying a home in the first place. Obviously, having a place to live is most important. In high rent areas like San Francisco, it can be more expensive to rent a home rather than buy, especially when the potential tax savings from the mortgage interest deduction is taken into account. Therefore, a buyer would not only have a place to live but also be spending less in the short term.

Gullicksen thinks the potential of a home as an investment vehicle should be considered over the mid-to-long term.

“As property values go up you can realize substantial gains on the initial investment you made in your property,” he said. Of course, values don’t go upward forever. Even in the city we have had downturns before, and will have again. The safest bet is to make sure you buy a home that is likely to meet your needs for the next five to seven years minimum. That way if there is a downturn you can ride it out in comfort. The market may provide opportunities to sell your property sooner than five years, but it’s best to be prepared for a longer haul if circumstances require it.”

Gullicksen advises property owners to remember that while they can’t control the factors affecting interest rates and home values, they can make the best decision for their particular situation. An experienced realtor is an invaluable asset in this endeavor! The Gullicksen Group of San Francisco would love to help!

About the company:

Tim Gullicksen has been a top-producing real estate agent since he first entered into the business and takes great pride in managing every aspect of each transaction. After graduating from high school in the South Bay, Tim earned a bachelor’s degree in political science and history from the University of California-Berkeley. He went on to earn his teaching credentials from JFK University in Orinda and taught kindergarten in the San Jose Unified School District. He brings an educational approach to real estate developed from that background and sees himself as a facilitator of property transactions. For more information, visit his website at http://www.gullicksengroup.com/.

For the original version on PRWeb visit: https://www.prweb.com/releases/thinking_long_term_can_help_navigate_through_market_downturn/prweb15752521.htm

Article source: https://www.benzinga.com/pressreleases/18/09/p12337081/thinking-long-term-can-help-navigate-through-market-downturn

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