3BR/2BA Top Floor Condo - Lone Mountain/Inner Richmond - $749,000

Once again, I shamelessly plug my own listings here on the blog.

3173 Turk Boulevard @ Arguello - Offered at $749,000

This one is a really sweet three bedroom, two bath, top floor condo with parking and storage on the border of Lone Mountain and the Inner Richmond. This is just a block from Koret Rec Center and two short blocks to Golden Gate Park.

The coolest part? There is an enormous yard with a common treehouse... Check out the photo!

I'll be open this weekend, Saturday from 12p - 2pm and Sunday from 1pm - 4pm.

See more photos and full details at www.3173turk.com

Truly a new real estate Web site: Trulia.com

I'm not giving any opinion on this yet, but thought I'd pass it on. This site incorporates Google Maps and serves to aggregate real estate listings from agent and broker web sites. Of course, this will be FAR less than what you'll find on the MLS, for example, and you'll likely see LOTS of outdated information, but it's yet another avenue through which you might find your next home online.

Inman News has an editorial piece on the site. "Trulia.com, now in beta testing, grabs property listings from about 100,000 real estate Web sites in California and displays basic property information while mapping property locations."

"[The company's CEO Peter Flint] said that some agent and broker Web sites have become too busy and cluttered, clouding the core property information that consumers are after. Their solution – taking a page from Google's streamlined, less-is-more user interface – was to build a minimalist site that provides consumers with what they want but nothing else."

Three Years, 15 Sites, Not One Home

Beyond Chron has an article this week about the Surplus Property Ordinance.

"...three years after the Board of Supervisors enacted a Surplus Property Ordinance requiring the city to set aside vacant or underutilized land for the development of affordable housing for homeless and low-income people, not a single property has been actively perused. Moreover, a site that has real development potential might be instead used as a shelter or turned into a landmark. "

"While [The Mayor's Office of Housing] deemed most of the 15 sites too small, isolated, or inaccessible for development, one property, located at 150 Otis Street might be usable under the ordinance. Previously the Juvenile Court and Detention Home, until 1949, and then a homeless shelter for the Department of Human Services, it currently is being used to house possessions of homeless residents. "

S.F. revels in snow day

Despite the neighbors doing everything they could to prevent the event from happening, Icer Air 2005 went ahead yesterday with thousands of people in attendance.

From the Examiner, "Skiers and snowboarders launched near a mock cable car at the top of the Fillmore Street hill at Broadway and then tore down a narrow strip of snow, reaching speeds around 30 mph. Just a few feet away on either side, crowds beat on wooden barriers that lined the route."

"The event was originally scheduled for the end of August, but organizers and city officials decided to delay it after complaints from neighbors and safety concerns."

SF Gate has a great 4 minute Quicktime video of the event as well, including how they brought the snow into Fillmore Street.

New lighting standards begin Oct. 1

From the San Francisco Business Times, "Beginning Oct. 1, people building or remodeling homes in California will have to obey new lighting standards meant to help consumers save up to 75 percent on lighting costs."

"The new 2005 changes will now require that more than 50 percent of the wattage in kitchens must be high efficiency. The ratio of incandescent lights to the high efficiency lights must be four to one. At least one high-efficiency light fixture or vacancy sensors will be the minimum requirement in virtually every room. Outdoors, lighting attached to a building, such as a porch light, must be energy efficient or controlled by a motion sensor with a built-in photo control unit that detects dusk."

Sparks fly over changes to condo conversions

Go figure. There were raised voices in the Land Use Committee yesterday when the subject of condo conversions hit the floor. The Examiner today has an article on the people that were yelling.

"A plan that would give extra chances to property owners who have long waited for The City's approval to convert their units to condominiums became too hot to handle Wednesday, when a debate among supervisors ended with raised voices and a one-month postponement of the item."

"Committee members agreed to revisit the issue on Nov. 2. But when a city representative on hand to answer questions about the city-run lottery process said it would be more timely if the committee acted now, Sandoval forcefully told him to stop advocating. Dufty soon raised his voice as well in defense of the staff, and it took committee Chairwoman Sophie Maxwell's repeated banging of the gavel to close the matter."

Once again they look to the king of tenants (or is he the jester?), Ted Gullicksen, for a quote but I'm not going to pass that one on. His lack of education on what it is he's fighting for (or unwillingness to truly understand it) is getting old.

The city has a chance to create a great neighborhood on Rincon Hill

The Chron's John King discusses the creation of the Rincon Hill 'neighborhood' in his Urban Design column today.

"The clock tower atop Rincon Hill doesn't tell the time anymore, and by the end of November, there won't be a clock tower at all. A 50-year-old landmark will be taken down, and a pair of towers, 55 and 45 stories, will rise in its place."

"The funny thing is, the neighborhoods that work the best are the ones were got slapped together long ago. Space was at a premium, so houses were jammed close together; cars weren't that common, so commercial districts were pulled in close to transit lines."

"These days, by contrast, development is shaped by process and politics -- with mixed results. Planning too often is nothing more than an attempt to satisfy the demands of every conceivable interest group. For most politicians, meanwhile, the long-term look and feel of San Francisco isn't nearly as important as making your most strident constituents happy."

"It's easy to take down a clock tower; it's tough to create a community. Let's hope San Francisco is up to the task."

Median price of a home in California at $568,890 in August, up 20.1 percent from year ago; sales increase 7 percent

From the California Association of Realtors this week comes some data that shows a statewide increase in the median price of a home of over 20% since a year ago. The rise for the San Francisco Bay Area was over 13%.

CAR President Jim Hamilton is quoted, “While fixed mortgage interest rates have not increased, adjustable rates have risen in reaction to the Federal Reserve and a more general increase in short-term rates,” he said. “Since more buyers are relying on adjustable-rate mortgages to finance the purchase of their homes, buyers may be moving more quickly to make the home purchase decision in anticipation of future rate increases. This is adding more pressure to the price of a home.”

Available Affordable Housing Units

At the request of one of my readers... There is a page on the SFGov.org site under the Mayor's Office of Housing where they list all currently available units that fit into the 'affordable' program. This is where the Beacon units were advertised as well as the meeting referred to in my post earlier today.

Remember, they are affordable to get into, but you must resell them at a zero-profit. This is, of course, better than renting in that you still get a tax deduction for your mortgage payments, but you must sell for what you paid plus any documentable costs (in nearly all cases). Not that all things real estate must result in profit, but that is many people's motivation for purchasing in San Francisco.

Consumer confidence takes big dive

From the USA Today, "Consumer confidence took the biggest tumble in 15 years in September, as Americans grappled with soaring energy prices after Hurricane Katrina, the New York-based Conference Board said Tuesday."

"Economists said that while the September consumer confidence figures were not good news, they did not necessarily mean a dramatic slowdown in consumer spending, about two-thirds of the economy. The outlook depends on the pace of job growth and how far gasoline prices decline from recent highs of more than $3 a gallon."

"Accept this for what it is: an emotional reaction to tragic circumstances. But are people going to stop spending? No," says Ken Mayland of ClearView Economics.

"The decline in new-home sales followed Monday's report that existing-home sales in August were the second-highest on record. Even with the drop in new-home sales, they were 6.2% above year-ago levels. Further, builders must replace hundreds of thousands of homes damaged or destroyed by Katrina. That will boost the industry, as well as related sectors such as furniture makers."

"Sam Bullard of Wachovia said that, given strong fundamentals, he does not expect to see any major slowing until mortgage rates rise toward 7%."

Thanks again to Brett for the tip on this article.

The well-off are better off, but the ranks of the poor are growing, and middle- and low-income workers feel pressure of high prices

From today's SF Gate, "The gap between high-income and low-income Americans is widening, the ranks of the poor in California and nationwide are swelling, and middle-class workers have lost ground compared with the 1970s, several national and state studies show."

"And on Labor Day, the Budget Project reported that California's highest-paid workers -- those in the top 10 percent -- earned 5.1 times more than workers making wages in the lowest 10 percent, up from 3.8 times more in 1979."

Condo-conversion ordinance to be heard

From the Examiner, "The Board of Supervisors Land Use Committee today (Wednesday) is scheduled to take up a proposal by Supervisor Bevan Dufty to factor seniority into The City's lottery for converting jointly owned tenancies in common to sought-after, individually owned condominiums. Under current rules, people who've tried unsuccessfully for several years become less likely to win one of the 200 slots awarded annually."

Huge S.F. crowd vies for affordable luxury condos

From the Examiner, "By the time Robert Schlesinger went over the details of the Beacon condominium project — the heated outdoor pool, the private dog run, the concierge service, the granite kitchen countertops — he hardly needed to sell it to the crowd. Roughly 500 people showed up to hear Schlesinger's presentation Thursday about 20 condos being offered — by lottery — for prices well below market rate in two South Beach luxury towers across from SBC Park. Another 1,000 people had gathered a few nights earlier to find out how, in San Francisco, one could still buy a luxury condominium in a vibrant, safe part of town for less than $200,000."

"[Matt] Franklin (director of the Mayor's Office of Housing) said, in addition to the demand for units at the Beacon, about 10,000 applicants vied for 100 spots in the International Hotel, a recently completed affordable senior project. Other condominium projects that contained an affordable-housing component have also drawn throngs of would-be homeowners hoping they can be among the lucky few."

"But those looking to cash in on rising real estate prices by reselling the property at market rate for a huge profit should look elsewhere: The City's program puts limits on resale prices."

S.F. tops list for cost of living

From today's Examiner, "A family of four in San Francisco must make nearly $80,000 a year to afford basic needs, according to a report released Tuesday."

"According to study estimates, two working parents in San Francisco with two children would need to both work full time and make more than $17 an hour — or $40,000 a year — each — in order to afford housing, utilities, childcare, food, transportation, health care and taxes. Although The City's minimum wage is almost $2 higher than the state's, at $8.62 per hour, it's about half of what's needed to get by, according to the report."

Vision of new life for Old Mint as history museum

From today's SF Gate, "These fall days mark the beginning of a major effort by the San Francisco Museum and Historical Society to transform the venerable Old Mint at Fifth and Mission streets into a museum to celebrate San Francisco."

"There's no museum about San Francisco,'' said Gilbert Castle, executive director of the museum and historical society.

"One of the designers is "asking the museum's potential audience for ideas on how the museum should look and what stories it should tell. He and the historical society have assembled a 22-page vision statement that covers the city from the days of the Ohlone Indians to the end of the 20th century as a kind of guideline. It's not a blueprint or a plan -- that will come in part from the community and other historians -- but rather a way of drawing comment from the public."

"The vision statement is available in public libraries and on the Internet (www.sfhistory.org). The society will also circulate the vision statement for comment and ideas to more than 400 San Francisco community groups, to academic historians, to community historians, and other groups such as the California Historical Society."

What constitutes a landmark?

Also from the Examiner this morning, "For Joel Schechter of the Ocean Beach Historical Society, the Doggie Diner sign near the zoo is a cultural artifact that represents a lost era of The City's history, marked by a great oceanfront amusement park called Playland and a molded fiberglass dachshund's head."

"The Doggie Diner head, wearing a chef's hat and bow tie, symbolized a now-defunct restaurant chain, and it is beloved by tourists and locals. But does it deserve to be considered as a possible landmark?"

Residents irked by Ocean Beach parties

From the Examiner, "Despite a 2004 law that bans bonfires on the beach south of Lincoln Avenue and down to Sloat Boulevard, business and homeowners say problems have persisted — and that the illegal parties may have led to one local business' front window being smashed and another neighbor's porch being torn up in the middle of the night for firewood."

Somehow, however, the few rangers that the GGNRA employ have no problem ticketing off-leash dogs and their owners... Guess they can't be bothered to be out past their bedtimes....

Sales of existing homes are second highest on record

USA Today has two real estate-related pieces, starting with August existing home sales numbers.

"Defying expectations, sales of previously owned homes rose in August to the second-highest level on record, with prices rising at the fastest pace in 26 years. The National Association of Realtors said Monday that sales of existing homes rose 2% in August to a seasonally adjusted annual rate of 7.29 million units, a sales pace that was exceeded only by an all-time high 7.35 million units in June."

"Economists had been forecasting a slight decline, believing the red-hot housing market was finally beginning to cool." Doh! [my own emphasis added]

The second article includes Alan Greenspan's current view on the housing market, which has become more optimistic in recent weeks. "Federal Reserve Chairman Alan Greenspan, softening his concern about a possibly overheated housing market, said Monday that many homeowners have enough equity to cushion the shock if prices drop."

"The vast majority of homeowners have a sizable equity cushion with which to absorb a potential decline in house prices," he said. Less than 5% of home borrowers were highly leveraged, according to one measure, he cited.

Thanks to Brett for sending these to me.

Home Depot appeal heads to full board

The seemingly never-ending battle between Bernal Heights, The Bayview, and Home Depot is coming to a head again in front of the full Board of Supervisors.

From the Examiner today, "The Atlanta-based Home Depot chain has tried repeatedly to open a store somewhere in San Francisco but has been blocked until now. In spring 2004, supervisors enacted tight restrictions on "big-box" stores over 120,000 square feet but exempted the Home Deport project because Bayview residents had been working on it to boost their economically stressed area."

Personally, I hate this idea. I have plenty of sympathy for the folks who need the jobs that would be created by this store, but realistically many of the people that would work at the Bayshore store would just be moving from their jobs at the Colma store. Is ANYONE really inconvenienced by the additional 5 minute drive down I-280? Although I do want to see Bayshore stay industrial and inexpensive, putting a Home Depot in will not only dramatically change the landscape and traffic congestion, but will force a lot of smaller business to shut down and will raise rents in the area.

If you live nearby, you're running out of time to make your opinion heard. Once this gets approved, the whole Bayshore area will be forever affected, and if you look around the country at the impact that Home Depot has had, there will be nothing gained from this new store other than a savings of a five minute drive to Colma. Everyone loses in my book, even the 100 people with their new jobs who may be pushed out of the area due to further development with or without the store.

Mission Bay sees rapid growth spurt

Today's Examiner has a piece on the progress of both residential and commercial development in Mission Bay.

"Though market-rate condominiums at Mission Bay are fetching exorbitant prices, affordable housing is part of the mix. The agency requires 28 percent of the units to be affordable to four-person households making between $33,000 and $95,000 a year. Bringing more life sciences jobs to the area will be the next big push."

A second Examiner article discusses the housing being built around the UCSF campus.

"After a long day in the lab at Mission Bay, UCSF graduate student in biophysics Clement Chu no longer has to commute back to the Inner Sunset at 2 a.m. Instead, he can stumble across the street to his $1,030-a-month studio apartment to sleep."

Bank of America Center in S.F. fetches $1.05B

Not that this is 'homes' related, but the sale of the Bank of America Center is significant for a couple of reasons: 1. it was a record price for commercial property in San Francisco, and 2. if the residential market stayed hot when there were fewer jobs and a bleak outlook for jobs, this obviously shows a strength in the commercial sector (which has been slumping since 2000), and might mean that a new surge for the residential sector is forthcoming yet.

From the San Francisco Business Journal (who sources a Friday WSJ article), "Bank of America's former headquarters in San Francisco was sold to a group of Hong Kong investors and Donald Trump for $1.05 billion, a record price for office space in the city, the Wall Street Journal reported Friday."

Even better is that "last year, an investment group led by New York investor Mark Karasick purchased the building for $879 million, or $489 per square foot. This week's sale of the center was priced at $583 per share foot."

$131M in profits don't suck. Especially after only a year.

What does this mean for the residential market? Perhaps nothing, but it might also mean that there is a strong enough optimism in the commercial sector to justify paying record prices for office space. This usually means more or better jobs, equalling more $$ for the residential economy.

I'm looking forward to seeing how the doom-n-gloom media reports on this one...

Manufactured homes find a place in inner city, tired mobile home parks

From today's SF Gate, "In a bid to curb soaring Bay Area housing costs, developers are taking a closer look at manufactured homes and discovering that, even when it comes to erecting small projects in cities, the latest generation of factory-built homes can often reduce costs without compromising quality."

"Jose Silva, 45, can attest to the latter phenomenon. Silva, his wife, Elsa Hernandez, 40, and their two school-age daughters recently moved into a new three-bedroom, two-bath home on 94th Avenue in Oakland. Unlike a traditional house that's erected on the site, starting with the framing lumber, Silva's home was built in a factory and delivered to Oakland in two, long regular halves that were split down the middle where the roof peaks."

The only problem in San Francisco is land... But when there is available land, perhaps some of the new pre-fab homes (such as the ones I mentioned earlier in conjunction with Dwell Magazine) will become a better and better option for some want-to-be homeowners.

Home Sales Around San Francisco

Once again, the link to recent home sales around San Francisco from SF Gate.

Paying just interest on a loan

From Robert Bruss in today's SF Gate comes the answer to a reader's question about interest-only loans.

"There are pros and cons. If you expect to stay in your home less than five years, an interest-only mortgage keeps your monthly payments at fully tax-deductible rock bottom. You won't be paying any of the principal balance, but if you will be selling in five years, who cares?"

Reductions at Muni mean longer waits, fewer stops

If you're a regular rider of public transportation in San Francisco, beginning today your wait times may be longer, or your walk to the nearest bus line may be further.

From SF Gate today, "In the last six years, we have increased service by 7 percent," MUNI spokeswoman Maggie Lynch said Friday. "The service changes represent a service reduction of 4.2 percent. Although we are reducing service, we will still be above the service levels of six years ago."

For more information, go to www.sfmuni.com/changes.

Fleet Week returns to SF

In case you weren't aware of it, the Blue Angels are back in San Francisco from October 6th - 10th.

Some love it, some hate it, and it will almost certainly disrupt the golfers, but it's always good to know when to expect the loud jets.

Check the schedule at www.FleetWeek.us.

How to Find a Great Real Estate Agent

Disclaimer: This is from an SF Chronicle Advertorial last Sunday, and this page was paid for by Pacific Union, but has good information, nonetheless.

Click here to read the advertorial

New Orleans has post-disaster real estate lessons for San Francisco

This week's Surreal Estate column discusses why an earthquake would not bring housing prices back to levels that most people would find affordable.

"For all of you waiting for a major quake to bring the cost of housing down to a tolerable level -- to democratize this city of real estate haves and have-nots -- don't count your square feet quite yet. New Orleans has offered San Francisco an eerie glimpse of its possible future. In the wake of Hurricane Katrina, the Big Easy has become the site of another perfect storm. And I don't mean Rita, which as I write is rushing headlong toward the southern states -- I'm talking about the perfect storm of real estate madness."

"In fact, many real estate investors seem to have decided that New Orleans is the new land of opportunity. For two weeks now, Craigslist's New Orleans real estate listings have been inundated with offers from real estate investors from all over the country offering to buy New Orleans properties, whether they were flooded or not."

I've always thought that a strong, yet non-damaging quake could cause many to weigh their options and leave town, but there's still too much demand for that to really bring prices down. Besides, the folks that have been waiting since 1997 for things to crash will never see those prices again. Even the day after a catastrophic quake. We're too far gone for that to happen...

"Even though prices are already ridiculously high in San Francisco, one can imagine that a similar mind-set might prevail in the wake of the "Big One" -- especially since the frequency of catastrophic earthquakes pales in comparison to the potential for hurricanes in the Gulf Coast region. In this sense, real estate in the wake of disaster won't equalize so much as concentrate economic power in the hands of those with cash to risk."

What's Really Wrong With the Lower Fillmore?

From this week's SF Weekly comes an article attempting to clarify what is happening in the Lower Fillmore, formerly the home to San Francisco's great jazz heritage.

"The five neighborhood residents on the subcommittee are fishing for financial information from the Redevelopment Agency's Western Addition project manager, Gaynell Armstrong. They want to know just how much money is left for the redevelopment project that leveled and then rebuilt much of the Western Addition neighborhood. The project began in 1964 and will be completed in 2009."

"Because the agency's books offer vague work descriptions, it is hard to know who is paid for what and why. Under titles of "consulting" and "production," thousands of dollars are paid out each year to residents in the Lower Fillmore."

Related Story: Condo Tower May Jazz Up Fillmore

Hitting the 'sweet spot' of profit in property flipping

From CBS Marketwatch today, some comments on the do's and don'ts of 'flipping' properties.

"As it turns out, the "sweet spot" for flippers is between three and six months. Hold a house any shorter or longer than that and you won't do nearly as well. Of course, we're not talking about scam artists who use false information to buy a house. Rather, we're talking about savvy investors who purchase distressed or undervalued properties, raise their value by making repairs or even remodeling or simply taking advantage of a hot and getting-hotter housing market."

For those bitter readers out there, I don't necessarily condone this practice. Just passing on the information, OK?

Pacific Heights ski jump is on again - SF panel votes 8-0 to approve event next week

Well, looks like Jonny Moseley is having his birthday party after all! The Chronicle is reporting today that the event, slated for September 28th & 29th, was approved in an 8-0 vote.

"After almost two hours of public comments, the Interdepartmental Staff Committee on Traffic and Transportation decided that ski and snowboard wax company Icer had satisfied all safety requirements and voted 8-0 to grant the permit, which will close Fillmore Street between Broadway and Green and Vallejo Street between Webster and Steiner streets Sept. 28-29."

I doubt that the Vodka Village will be positioned outside of the Meditation Center, as was originally planned, but we'll see flying skiers and snowboarders nonetheless.

See you there!

Report: Chinatown housing substandard

As if this would really come as a surprise to anyone who has spent time on Grant or Stockton Streets... Today's Examiner has a study on why Chinatown's housing is substandard.

"The most common violations reported by occupants included bugs and rodents, noise, second-hand smoke and a lack of heat. Dust mites, mold, poor ventilation and leaky ceilings were also present, according to the report. Many of the violations can affect health, the report states, with asthma, tuberculosis, lead poisoning and injury the main worries."

In my opinion, this is something that is a direct result of rent control and the difficult process involved with getting capital improvement pass-throughs approved. Then again, maybe it's just a case of complete landlord apathy? Many of these buildings have been owned outright by generation after generation of families. Some landlords own many buildings in this neighborhood. Unlike a newer owner who might struggle to make both mortgage payments and provide proper upkeep, many owners in Chinatown are profiting greatly from long-term ownership (read:ultra-low property taxes due to Proposition 13), and could feasibly afford to provide a better standard of living.

"For example, Xiao Qiong Tan, who lives with her two daughters and husband in a $600-a- month studio at Washington and Stockton streets, said through an interpreter she worries about the garbage that overflows from the common kitchen in her building. But she has not told her landlord or authorities."

Slower housing market predicted for 2006

[posted @ 8:17 AM] I'm down in San Diego right now for the California Association of Realtors board of directors meetings (of which I am a board member), so I have a piece today from the San Diego Union-Tribune.

CAR's economist, Leslie Appleton-Young, is predicting a slowing market, but not due to price decreases... Rather due to price increases and the fewer number of people that can afford to live in the state.

"In her forecast for 2006, Appleton-Young anticipates a 2 percent statewide decrease in single-family home sales. She predicts a 10 percent increase in the cost of a median-priced home to $575,500. Healthy by normal standards, that's well below the levels of recent years."

"Home prices in many California markets have doubled since 2000. Young said the increase in home equity has created a fiscal disconnect between established homeowners and those seeking to buy their first dwelling."

"For the first time in history, households on a mass scale have tapped into that equity," she said.

Owners who purchased before the current price boom got under way now are thinking of retiring early, buying a second home or purchasing a condo for their children, she said. "They have the means."

[updated @ 3:21pm] Kelly Zito did some further research on this in today's Chronicle. "Although overall home price appreciation for 2005 appears to be in line with expectations, the [CAR's] outlook generally has proved too conservative. In its forecast for 2004, the group said prices statewide would increase about 13 percent, and they rose more than 20 percent."

Will Newsom-Peskin Eviction Task Force Make A Difference?

Wow. In what I will say is the most misguided article every published by BeyondChron, Randy Shaw makes that case that "If San Francisco voters ban condo conversions, potential purchasers will look among the thousands of newly built condos coming on the market rather than commit nearly the same amount of money to being a lifetime owner of a TIC."

Doesn't anyone do their homework anymore?

This guy needs to be slapped. A ban on condo conversions would do nothing but drive already high prices on ridiculously low inventory through the roof. Supply and demand, my friend.

The basis for this article is a new task force formed by Mayor Newsom and Supervisor Peskin to look into ways to help stem the tide of evictions. Supply and demand, my friend.

If you don't build more housing and you limit people's ability to sell what's out there, you reduce supply. The demand just doesn't go away in this town. Period. You want something to complain about? Ban condo conversions and we'll talk a week later about how condo prices went up 20%.

So they go looking for other ways to help slow evictions. Let's call a TIC a condo and limit their formation! Wrong again, my friend. You can't limit how a buyer takes title. Just can't do it.

And their sales pitch: "The incentive for the real estate industry to make [a compromise] deal is an increase in the annual number of conversions allowed from the current 200 to as many as 800. This would be of enormous benefit to those seeking homeownership through condos and TIC’s, and reduce if not eliminate delays caused by the condo lottery. Former State Senator John Burton sought to broker such a deal in 1999. Burton got the state Apartment Association to sign off, but it was then vetoed at the last minute by the SF Association of Realtors"

I will be the first to admit that not all of my peers are the sharpest tools in the shed, but let's be real here. Do you think any semi-intelligent Realtor association is going take part in any sort of legislation that reduces property owner's rights? Not a chance. Not even for something that is deemed a compromise.

On one hand, I'm tempted to just stop posting articles from BeyondChron due to their complete lack of journalistic integrity or ability to do their background research, but on the other hand it gives me yet another chance to point out why prices are so high in this town. When the only people fighting for tenant's rights have no clue what it is their fighting against or even what a TIC really is, tenants should be very afraid.

Once again, I will remind all of you, I do not condone evictions. I especially do not condone evictions for the sake of speculative real estate sales. But this is still a free market and I believe in property owner's rights to make decisions about their properties. Remember, these properties do belong to the owners, not the tenants as Ted Gullickson would like to believe.

I'm off of my soapbox for the day. Maybe.

Artists get reprieve at Hunters Point

From today's Examiner, "Officials met with artists and other tenants Monday to discuss details of the [Naval cleanup] plan and inconveniences expected from the continuing cleanup of the former naval shipyard, which is being prepared for development. Roughly 400 artists work at the site, though only half received notices from the Navy. The City has arranged for all but 20 of the artists to stay, and Cohen said his office is working to identify space for them as well."

"Meanwhile, developer Lennar/BVHP began work this summer on the first phase of development. The work will prepare 66 acres for 1,200 homes and open space, with the first homes expected to be ready by 2008."

Architecture and the City

Today's Urban Design column in the Chronicle talks about October's "Architecture and the City, a free-wheeling series of events designed to get people thinking about how buildings shape society and vice versa. There are home tours and lectures, a range of formal exhibits and even a rare showing of historical films of Market Street dating back to 1905."

Since SF is such an architecturally-rich city, this might be your chance to learn a bit more about your neighborhood...

If a tree falls in S.F., supes may hear it

Well, Chris Daly is at it again! From today's Examiner, "A sweeping proposal to require permits when property owners wish to cut down large trees — even in their own backyards — was forwarded to the Board of Supervisors on Monday after a debate over the aesthetic, historical and environmental value of San Francisco's 668,000 trees."

Don't get me wrong, I love trees. I love tree-lined streets. I love backyard trees. I am a supporter of Friends of the Urban Forest. But I'm not a Chris Daly supporter. And given that he lives in (and presides over) the concrete jungle that is SOMA, it's understandable that he'd like to see some greenery in his district. But to require additional bureaucracy for an already over-burdened city department is just ridiculous.

On the bright side, however, there is a competing measure from Jake McGoldrick that "allows for greater landmarking of rare or valuable trees on private land and would affect far fewer trees than Daly's plan."

Quaker school buys ‘San Francisco icon'

From today's Examiner, the bright yellow building which housed Levi Strauss until 2002 has been purchased by a private school.

"The historic yellow Levi Strauss & Co. building on Valencia Street, one of the most visible symbols of The City's rich textiles history, has been purchased by the San Francisco Friends School. The Friends School, the Bay Area's only Quaker school, plans to occupy the 1906 wooden building by the fall of 2008."

With the recent news of families leaving town due to poor schooling, perhaps this will help out, if only a little bit.

Study finds Bay Area housing prices in line with economic growth

Kelly Zito has a very non-media-like, non-doom-n-gloom article (although you can bet this one will sell papers!) in the Chronicle this morning on why San Francisco's housing prices are in line with economic growth and why we won't see any dramatic price drops.

"The bubble fears are over people paying money for housing today because they're expecting unreasonable (price increases)," said Todd Sinai, associate professor of real estate at the Wharton School. "Our calculation says that if people are expecting something reasonable, house prices today are justified -- and they are in San Francisco."

The Wharton School, huh? That's not the California Association of Realtors or even DataQuick (where Zito got the data for her last article), but an esteemed institution of higher education. Everyone who knows me knows that I am very comfortable with the San Francisco market and with nearly all of the prices being paid for houses these days (there are always exceptions). So it's nice to hear when someone agrees with me and that they can actually back it up.

My sense of well-being comes from being on the streets and seeing how many buyers are still willing to pay $1M for a small house in Noe Valley. The Wharton study's comfort level comes from hard data. "In fact, Sinai and his co-authors found that the annual cost of owning a home relative to renting in San Francisco and other expensive cities -- including Boston, Los Angeles and New York -- is lower than it was in the late 1980s, just before the last major downturn in housing prices. The ratio of housing costs to income is also more favorable than at other times during the past 24 years in these cities, the survey said."

All of the buyers that are in the market right now should heed this advice. There is a veritable saturation in the market this week of way too many homes. This will last for a couple of weeks, then that will be it, more or less, for the rest of the year. Don't be fooled into thinking that this stockpile of inventory is a trend. It is a one-time occurrence. And you can quote me on that.

Post-Katrina focus turns to home ownership

President Bush is giving away land in New Orleans in hopes that it will stimulate the rebuilding process, as reported today by Inman News.

The President "is promoting home ownership in the wake of Hurricane Katrina with plans for an Urban Homesteading Act, which would make some federally owned land free to eligible low-income families through a lottery. In return, the families would pledge to build homes on the lots with either a mortgage or help from a charitable organization like Habitat for Humanity."

Not sure where folks without any source of income will afford mortgage payments at this point, but I guess it's a start, right?

Even more interesting in this article was a reference to free land in Kansas. "Several communities in Kansas also are offering free land and other incentives to help rural areas sustain and grow economically. Seven communities are identified on KansasFreeLand.com as participating in these programs. They are Atwood, Plainville, Lincoln, Minneapolis, Ellsworth County, Marquette and Chetopa."

Realtors (and media) Bubble. Skeptics Blog.

Here's a good example of how media is changing... The New York Times has a short piece about how bloggers are helping to clarify, or at least balance, traditional news stories

"HURRICANE KATRINA will lift home prices across the country, the National Association of Realtors declared [last] week. News outlets that picked up the story passed it along wholesale. MarketWatch.com presented a news release rewrite at the top of its home page with its usual screaming headline. It was left to real estate bloggers to provide context...."

First impressions play key role in real estate sale

Dian Hymer has an article on Inman News today about whether you should consider selling your house vacant or staged.

"...selling a vacant home could result in a lower net return. The main reason for this is that first impressions play a big part in selling homes. When buyers walk into a home that looks bright, inviting and comfortable, they feel good. When most buyers walk into a vacant home, they feel that something is missing."

Case in point, "a listing in the Oakland Hills (Calif.) was put on the market last fall. It had a great view, but was vacant. It did not sell after three months on the market during a time when all well-priced listings in the area were selling. The listing was temporarily withdrawn from the market and staged with rental furniture and accessories. It was put back on the market at the same price and sold right away."

Personally, I think that proper preparation is the key to a successful transaction. It doesn't have to cost an arm and a leg to make a house look fantastic. Cleaning up is the biggest key, but painting, staging, and floor refinishing are almost always money well-spent.

Boat residents survive development

The residents of Mission Creek, the sliver of water near SBC Park, the UCSF Biotech Campus, and the driving range, have toughed it out through the developments and change. The Examiner today has a piece on how they're faring now.

"Despite the development around it, the community is on solid ground. The owners of 20 houseboats and 35 recreational boats formed an association that has a master lease with the Port of San Francisco through 2019, said Mirian Saez, deputy director for real estate."

Show will go on at Marina District theater

It appears that at least one more single-screen theatre has been saved from the chopping block.

From the Examiner, "Demolition started last week on the total renovation of the theater at 2141 Chestnut St., which closed in October of 2001 and many assumed would never again smell of buttery popcorn."

"The model — hashed out by the property owner, the Marina Merchants Association and the Neighborhood Theater Foundation — uses ground-floor retail as an engine to partially finance the upper-level theaters. In this case a 9,200-square-foot Walgreens will bring in enough rent that the two theaters are not under as much financial pressure, according to Miller. The theater will be an anchor to lure moviegoers to the block."

Perhaps the Alamo Square/North Panhandle neighbors can find a way to salvage something out of the Harding Theatre as well, using this or a similar model...

Muni to alter bus service beginning Saturday

After raising fares $0.25 at the beginning of this month, MUNI is cutting back on its service city-wide beginning Saturday, as reported by the Examiner.

"The cuts on nearly all of the agency's bus lines — many of them one- to two-minute increases in wait times between buses — will not yet affect Muni's Metro or cable car services, although changes to the J, K, L, M and N lines are planned. Most significantly, the time between buses after 7 p.m. will increase on almost all lines to 20 or 30 minutes during both weekdays and weekends."

Speculators swoop into New Orleans

It was bound to happen... Opportunists looking to capitalize on the storm-ravaged areas of the Gulf Coast... An LA Times article in today's Chronicle has some details on who's buying right now.

"In some ways, Hurricane Katrina seems to have taken a vibrant real estate market and made it hotter. Large sections of the city were under water, but that's only increasing the demand for dry houses. And in flooded areas, speculators are trying to buy properties on the cheap, hoping that the redevelopment of New Orleans will start a boom."

High-end Gamble - builders hope to tap top of market with two gems on Potrero Hill

From the Chronicle Real Estate Section today comes an article about a builder/developer partnership that resulted in two high-end homes in Potrero Hill.

"These homes took a lot more work and effort than other projects, but they were a lot more satisfying," said Raymond Ferreira, chief foreman for Structura. "I was skeptical of the use of materials like Trex for finishes, but now I like the way the door frames and window trims jump off the wall. Some aspects of building these houses were like creating special effects in the movies."

Recent Home Sales Around San Francisco

Once again, here's the link to the Chronicle's weekly list of home sales in San Francisco. As a reminder, this is public tax record information and is not derived from the Multiple Listing Service.

If you have questions about a particular house in a particular location (like your neighbor's recently sold house, for example), shoot me an email and I'll look it up for you.

S.F. planning, comrade Daly-style: Grease your supervisor

A guest editorial in this week's San Francisco Business Times disputes Supervisor Chris Daly's claim that he's serving a middle ground between market forces...

"Supervisor Daly contends that his most glorious triumph -- extorting an eye-popping $118 million from the Rincon Hill developers -- is some vague "community benefit." To us, it is the inevitable result of a planning process that has become downright absurdist."

"San Francisco has seen its terrain divided from one city into 11 personal fiefdoms. Whether it is Supervisor Aaron Peskin's crushing the Port's Stanford Hotel project, or Daly holding legislative threats over Rincon Hill, our new "planning process" should be renamed "grease your supervisor."

Buena Vista Park area featured on home tour

From the Examiner this week, "This fall's San Francisco Museum and Historical Society home tour will feature seven historic residences around the Buena Vista Park neighborhood. The highlight of the 10th annual tour will be the 110-year-old Spencer House, which was placed on the National Register of Historic Places this year."

Tickets cost $20 for members of the historical society or the Buena Vista Neighborhood Association. The cost for nonmembers is $25. For further information and to order tickets, call (415) 775-1111 or visit: www.sfhistory.org.

The tour will take place from 10 a.m. to 4 p.m., Saturday, Oct. 8. Registration will take place the day of the event at Seaview Apartments, 555 Buena Vista West, opposite Buena Vista Park.

Delinquency rate on mortgages near historic low

Flying in the face of the doom 'n gloom media accounts comes an article in SF Gate discussing how mortgage delinquencies are near a historic low.

"In California and other states with rising home prices, delinquencies have drifted to rock bottom levels in recent years. In those states, even homeowners who lose their jobs or face other financial difficulties can typically sell their homes and pocket a hefty profit. In addition, continued economic growth, low interest rates and exotic mortgages with lower monthly payments help keep delinquency rates low."

This is an important point. Even though some folks might struggle with a job loss or change in economic status, they have the luxury of being able to sell their home before the problem becomes insurmountable and are able to get out cleanly.

The argument continues to be, however, that many buyers are still over-extending themselves, and not all properties have a ton of equity waiting to save unfortunate owners. I guess only time will tell on this one.

CBS Marketwatch has another article about this same report, but mentions that Hurricane Katrina could cause this number to jump as many folks along the Gulf Coast may find it tougher to pay their bills on time.

Bernal Heights residents battling over move of grocery

People love Bernal Heights for its community-based atmosphere. That is, of course, until you try to remodel your house or move your market/liquor store.

SF Gate has an article today about the Reliable Market wanting to move up Cortland Avenue a couple of blocks after their current landlord decided after 15 years to go back into the grocery business. This would effetively add a second market/liquor store to Cortland, but the neighbors want nothing to do with it.

"...Reliable now finds itself in a dash to find a new home. Grocer Jad "Joe" Massis' desire to set up shop in a new location after losing his lease at 249 Cortland has touched off a controversy among the store's customers, the former landlord and some irate parents in the area, which has been radically altered by escalating home prices in recent years."

The owners of the market found a new space "two blocks down Cortland Avenue, in a shop being vacated by the Cotton Basics clothing store. [The] new lease begins Nov. 1."

The problem is that neighbors don't want another liquor store in the 'hood. "Via a neighborhood blog, e-mail lists, flyers and petitions, residents are being encouraged to complain to the city Planning Department and the California Department of Alcoholic Beverage Control about Massis' application to move his store."

If you live in the neighborhood and have an opinion on this matter, here are a couple of links where you can get more information:

bernalheightssf.blogspot.com/

groups.yahoo.com/group/bernalheightsparents

Housing prices to blame for Mission deaths?

An Examiner writer takes her own opinion to a strange conclusion today, blaming the deaths of three people in a Mission District apartment fire on the housing market.

"The City's staggering housing prices may have meant the difference between life and death for three people trapped and killed in their own homes Thursday, after a blaze overtook an overcrowded Mission District apartment complex, forcing three other residents to jump from windows as flames licked the sides of the building."

What she discusses but fails to take to another more-logical conclusion is that substandard living conditions (or deferred maintenance) in San Francisco buildings has become more and more common since Supervisor Ammiano pushed to have capital improvement pass-throughs reduced or eliminated. A pass-through was used (after TONS of paperwork and documentation, as well as a review process and no less than 90 days of waiting) to cover a portion of the cost of building upgrades by passing those costs on, over time, to tenants in the building. Since landlords cannot raise rents to follow the market, at the very least, they should be allowed to recoup some of the money that they should rightfully put into the maintenance of a building (for larger projects and improvements).

Unfortunately, this is not the case. In buildings with low-paying, long-term tenants (who are in the need of the most help), there is almost zero incentive for landlords to maintain their buildings to any sort of habitability.

As I have said many times, it is not a landlord's duty to subsidize other people's housing. This is the job of the city and/or state. With rent control keeping rents low for these tenants who legitimately need and deserve it, how does a landlord afford to do repairs or basic maintenance? Do they dip into their own savings? Not likely.

I don't have a solution to this problem, but I do know one thing: it was patently wrong of Marisa Lagos (from the Examiner) to tell half of the story and blame this tragic event on a landlord or on the housing market before any conclusions have been reached by the authorities in charge of this case. Furthermore, "investigators would not release the cause of the blaze or deaths Thursday, citing an ongoing inquiry and indicating that there may have been a criminal act involved."

Ultimately, as the effects of Proposition G (1998) and Ammiano's Capital Improvement Pass-Through Restrictions create poorer and poorer living conditions for many of the City's neediest residents, it will be time for the City or the Supervisors to find a way to help landlords solve these problems. And the solution is not to force them to make repairs on their own dime... Not without some changes to their ability to recoup costs or increase rents (as nearly every other landlord in America is able to do).

Wouldn't it only be fair, then, to blame these deaths on Tom Ammiano who reduced/eliminated this landlord's ability to afford proper maintenance on their building? Or on the rest of the Supervisors who continue to block new housing construction throughout the Mission (such as in the Armory)? I won't make those assumptions, because they are just as far-fetched as Ms. Lagos' sensationalism.

As a side note, this building was sold in September of 2004 for $1,875,000. The listing stated that the previous owner wanted to sell to move their portfolio to Sacramento. It is much more likely that this building has been inspected by numerous entities quite recently, and that any major defects or deficiencies would have been pointed out only a year ago.

For information on allowable Capital Pass-Throughs and the associated forms as well as other landlord/tenant forms that the city provides, see SFGov.org. The document for Capital Improvements is number 046.

3 dead, 11 hurt in Mission District apartment fire

From SF Gate...

"Three people died and 11 others -- including six firefighters -- were injured in an early morning fire at a Mission District apartment building that had some residents jumping out of windows to escape the flames. The fire, which was reported at 2:32 a.m., appears to have crept up a stairwell and ravaged the 12-unit building at 395 Capp St., between 18th and 19th streets, authorities said. The three people who died were residents."

Affordable Housing Headed to Former Pavilion Site

Looks like Chris Daly is going to let some housing get built after all... And he's going to try to take full credit for it, too...

From BeyondChron today, "The Land Use Committee took a step towards rescuing more than 100 units of affordable housing out of the ashes of the failed Pavilion project yesterday, unanimously approving the reappropriation of $5.8 million in unused funds towards building two new low-income developments in the Tenderloin. The city originally earmarked the money for the Pavilion, a joint venture between the Hilton Hotel, the Glide Church, and Tenderloin Neighborhood Development Corporation (TNDC) that would have brought a conference space for conventioneers and affordable housing to four parcels around Mason and Ellis Streets. However, once the Hilton pulled out of the deal due to harsh economic times, the money sat stagnating in city coffers – until now."

"Planning for the Pavilion began in the mid-‘90s, during a time of economic prosperity for the city. Hilton Hotels wanted more space near their downtown location, and worked with neighborhood groups to develop a compromise in which a new convention center would be allowed, as long as significant amounts of new affordable housing were built alongside it. Glide and TNDC formed a partnership to acquire parcels for the housing sites. But the combination of the Hilton puling out after the dot-com bust and 9/11, both serious shocks to San Francisco’s tourism industry, and the defeat of the last housing bond put the project in jeopardy."

Bay Area real estate prices nail another record

As I mentioned last month, the miniscule drop number of homes sold (or homes that didn't sell) in July had nothing to do with the economy and everything to do with speculative sellers not getting what they fantasized about, and a saturation of poorly priced or poorly marketed properties.

August was nearly inventory-less, and the buyers had no choice but to fight over what was available. I guess they had the option of waiting, but they didn't seem to want to do that, either.

The Examiner has one article and MSNBC another, and SF Gate a third on this always-hot topic.

Now we're into the post-Labor Day market and there is an absolute mountain of new inventory. It might not be what every buyer in every category was waiting for, but it certainly giving people plenty to look at. As always, the well-marketed properties will sell well, but many properties will be passed over and either be pulled from the market or will become better deals (after being on the market for 3+ weeks).

Stay tuned... It should be interesting to see what all of the buyers from August can find this month...

Area highway congestion worsens

Today's Examiner gives us a reminder that we have more reasons to live close to where we work.

"The amount of congestion on Bay Area roads rose in 2004 for the first time in four years, according to the report, a trend most likely caused by the region's rebounding economy and increase in jobs."

"And while there were still 29 percent fewer cars on the roads in 2004 than in the banner year of the dot-com era, 2000, the report found a 4 percent increase in traffic from 2003 to 2004. The cost to a driver in wasted time and fuel while sitting in traffic is at least $13.45 an hour, according to the Texas Transportation Institute."

As traffic gets worse, more and more people will be willing to pay more and more for houses closer to their jobs. And for those that live in San Francisco, that should help to buoy the housing market even further...

Now we just need to make sure that companies can afford to stay in the City, along with their jobs.

Neighborhood Meetings Directory

Do you know which neighborhood association you should belong to?

Do you have suggestions on how your neighborhood could be a better place to live? Do you love to volunteer? Then you should make time for your neighborhood association!

The San Francisco Observer's web site has a great (if not comprehensive) list of many of the neighborhood associations around Central San Francisco (and areas such as the Haight, Panhandle, Fillmore, Cole Valley and more). FInd yours and email them for more information today!

If your neighborhood isn't on this list, it doesn't mean that you don't have a neighborhood organization. Check your local supermarket bulletin boards or keep your eyes out for a newsletter or monthly/quarterly meeting schedule.

Octavia Boulevard -- an urbane triumph

SF Gate's John King discusses the success of the new Octavia Boulevard in this week's Urban Design column.

"What existed before was the Central Freeway, a double-deck freeway that reached across Market Street and delivered commuters to and from Oak and Fell streets. The elevated artery tied the center of the city to its western districts -- and cut an ungainly gash across Market and through the center of the Hayes Valley neighborhood."

"Now, drivers heading north or west descend from the freeway at Market Street and are greeted by the most attractive entrance into the city after the Golden Gate Bridge: a boulevard with poplar trees in the middle and Chinese elms on each side of the four-lane thoroughfare between faux historic lampposts."

"Most freeway exits drop you into a mess. With this one, you feel you've arrived."

Disaster Preparedness

After watching the effects of Hurricane Katrina on the Gulf Coast, it's hard not to think about what we in the Bay Area might be subjected to in the case of another major earthquake.

There's a new web site, www.72Hours.org, created by the San Francisco Office of Emergency Services to give residents some hands-on information about what to do in preparation for and in the event of a major disaster.

"Imagine that you have no electricity, no gas, no water and no telephone service. Imagine that all the businesses are closed and you are without any kind of emergency services. What will you do until help arrives?"

"...find out how you can prepare yourself and your family for an emergency. You can also learn what to do in response to a specific disaster, like a tsunami, just in case."

Dwell magazine will license prefab homes

San Francisco-based Dwell Magazine has partnered with Empyrean International LLC (formerly Deck House), Resolution: 4 Architecture and Lazor Office to create The Dwell Homes by Empyrean — an collection of custom-designed, modern prefabricated homes.

See www.thedwellhomesbyempyrean.com for more information, including an October 26, 2005 seminar in San Francisco.

World War II-era building scheduled for demolition in the Mission

A Mission quonset hut apparently built during WWII has been slated for demolition and would be replaced by six units of housing plus ground-floor commercial, the SF Examiner is reporting today.

I saw this building when it was most-recently sold and it had been converted into a cool, funky single family home. The sale occurred in 2004 and was likely to the current owners who are looking to develop the site to create more housing.

"Developers plan to replace the corrugated-steel building at 3350 20th Street with six units of housing and retail shops on the first floor. They've obtained an exemption from detailed environmental review, although a study was commissioned by the Planning Department that found the hut did not meet federal standards for preservation."

"But attorneys for the Mission Anti-Displacement Coalition have appealed to the supervisors, countering that the building that most recently housed live-work artists should be evaluated further before it's removed. The Board of Supervisors will consider the issue today."

Activists say planning proposal would impair their efforts

From the SF Examiner this morning, "If approved, the new legislation, called Better Neighborhoods Plus and sponsored by Supervisor Jake McGoldrick, would expand the concept and could have a big impact on how The City's eastern neighborhoods, including the Mission, parts of Potrero Hill and South of Market, are developed in the next few years."

"The plans, started five years ago in the Central Waterfront, Balboa Park and Market-Octavia areas, aimed to mesh housing, transportation, parks and stores and map out details ranging from the density of buildings to the amount of parking."

"But some neighborhood activists say the plan would dilute their ability to challenge projects they don't like. For example, if a building meets the height, design and density requirements spelled out in a plan, it would be more difficult to challenge."

Condo tower may jazz up Fillmore w/ new home of Yoshi's

The new San Francisco home of the famed jazz club Yoshi's is scheduled to break ground soon, the SF Examiner is reporting.

"A developer hopes to break ground next month on a condo tower with a jazz club, two restaurants and a jazz heritage center on the ground floor, a major move in The City's quest to return the Fillmore District to its glory days as a music mecca.

The current developer, Michael Johnson, said that after more than a year seeking financing, he closed a deal last week for the site at Fillmore and Eddy streets, which has sat vacant for 40 years despite efforts by developers since the early 1980s to build on the site. Johnson received approval for the project from The City's Redevelopment Agency in May.

Julie Chase, a spokeswoman for Johnson, said in addition to 80 condos in a 13-story building, the project will have a branch of the Oakland jazz club and restaurant Yoshi's and a fusion soul food restaurant called the Blue Mirror."

From hotels to co-ops, life of ease is a snap

The SF Business Times has yet another article today on high-rise buildings, this one covering the full-service luxury hotels and co-ops around town for the uber-wealthy.

"There are valets to park the car. Bellmen to help with the baby stroller. Dog-walkers and errand-runners. On-staff catering for anything from a book club to a formal party. A fully stocked kitchen with a world-class chef, in case you're short an egg or truffle for a midnight cooking spree."

These, of course, are not for everyone, even for everyone who can afford them, but for those that are interested in this level of service, they do exist, both downtown and on the North end of town.

A neighborhood of highrises is taking shape

Another article in the SF Business Times talks further about the high-rise housing planned for the Rincon Hill district of SoMa/SoBe.

"Despite high city fees that will likely exceed $25 a square foot, there is no shortage of developers ready to build. The fees will help pay for inclusionary or affordable housing, new streets, parks and schools for the emerging neighborhood. After nearly a decade in planning, the city's adoption of the Rincon Hill neighborhood plan gives developers clear guidelines to trigger the biggest round of highrise construction since the South Beach/Mission Bay developments of the last decade. But Rincon Hill's buildings will be far taller."

"Developers ready to build" is a phrase that I hope we keep hearing for years to come. Now if we can just keep Chris Daly under wraps until he is voted out of office, we might just see some housing inventory make its way through the pipeline...

The rule of condo economics: What you get, you gotta pay for

The SF Business Times has a great article on why condo dues have gotten so high in the city and where those HOA dues go each month.

"Buyers used to think that $700 a month (in dues) was very expensive," said Jim Jacobson, director of sales for the Mark Co., a real estate sales and consulting firm that represents such luxury highrises as the Beacon. "These days, buyers understand that the dues help maintain the value of the building for when they sell."

Many people who have been looking at smaller buildings (2-5 units) are used to seeing $200-$400/month dues, and when they go to the newer high-rises they are shocked to see $700+/month in dues. This is entirely common for high-rises, and really needs to be considered in the purchase price of the property.

"For a little perspective, homeowners at 1001 California St., across from the Fairmont Hotel, pay $4,450 in monthly dues, plus $600 per month for parking. No pool. No concierge. No fitness center."

Ouch...

New Listing! Glen Park Colonial Gem

Once again, I am shamelessly plugging my own listing here...

Located in Glen Park's desirable Fairmount Heights, this charming Colonial Revival-style home shows a true pride of ownership, many original details, and sweeping views. The functional floorplan features three bedrooms and two remodeled baths, a formal dining room, updated kitchen, laundry room, sunny view deck, professionally-designed garden, and two car parking. There is also a home office with a separate entrance on the garden level as well as loads of additional storage.

This location is nestled squarely between Noe Valley and Glen Park Village, and close to both the J-Church MUNI and the Glen Park BART station.

Mateo is a lovely tree-lined neighborhood street, yet offers quick access to freeways, and shopping. Whether you're looking for your first home or upgrading to have a little extra space, this home offers you the best of Glen Park!

This lovely property is offered at $849,000.

See complete details, photos and showing schedules at 40Mateo.com.

I'll be open today, Sunday 9/11 from 1pm - 4pm

The Cost of Living in Noe Valley

The Noe Valley Voice has a great piece on the cost of living in Noe Valley with lots of hard data about the market for both sales and rentals. They've been tracking this for a while, so they have good comparison data as well.

What had always been a mellow, blue-collar neighborhood has become the city's must-have location. My listing on Clipper Street received 27 offers last month, and that was in August when sales are supposed to be slower...

Inventory has ramped up considerably in the past few days, however, with new listings popping up all over town. My unofficial gauge of inventory is how many properties are on Tuesday Broker's Tour. In July it was in the 400s (for my specific and consistent search criteria), in August it dropped into the mid-200s, and for this coming Tuesday, it's up to 544 properties.

This is great news for buyers who will now have lots of choices (in most neighborhoods, anyhow). The hot properties will ultimately garner many offers and sell just as well as they would have last month, but what patient buyers will see are properties that are not marketed as well or that don't show as well and end up being missed by the majority of the buying public.

September is a great month for everyone, in my opinion. Buyers have choices and smart sellers have lots of buyers to write offers on their properties.

Would fewer spots mean fewer cars?

The Examiner asks the question of whether limiting the number of parking spaces required in new high-rise developments would actually cause people to give up their cars. Probably not, I'd say...

"Currently, The City requires downtown housing to have a minimum of one parking space for every four units, though certain projects have been granted exceptions. Legislation sponsored by Supervisor Chris Daly would permit developers to build new downtown housing with no parking spaces."

Does it come as any surprise that Chris Daly is behind this? Actually I am a bit surprised... I'm from Colorado where (after I left) the residents 'intelligently' decided that they wouldn't build a light rail between Boulder and Denver to help with traffic because (to quote one of my long-time friends) they "don't want the Californians to move here," and "if we make life difficult, and the traffic bad enough, they'll stay in California." Uh huh. Funny how all that did was make life extremely difficult for the long-time residents, many of whom are now leaving town...

In Manhattan, there are goods and services everywhere as well as a very well-developed transportation system. In Daly's SoBe/SoMa districts, we are beginning to see services, but we are still a car-commuter culture.

"Joe Cassidy, a residential developer, said even though downtown residents will likely walk or take transit to work, they'll want a car on the weekends for getting out of town or grocery shopping."

In the end, if Daly is going to let something get built to test his theory (whatever that might be), then let him do it and we'll see how it goes. After all, it's far better than his other fights for wanting to see more affordable or no-income housing in order for a project to go through, which has been effectively killing projects (or sending developers elsewhere before they even get started) all over his district.

Fulton Street Fair this Saturday

The Western Addition is hosting its first annual street fair, dubbed 'The Love Connection'.

The Examiner has additional info on the purpose of the event... "The Western Addition will be getting a shot of love this weekend as church leaders and neighborhood groups throw a festival meant to connect the neighborhood's newcomers with its traditional African-American community."

The Love Connection Street Fair will take place on Saturday, Sept. 10, between 10 a.m. and 6 p.m., on Fulton Street between Steiner and Scott. This is along the northern border of Alamo Square.

Neighbors fight to save Victorian home

The house at 450 Frederick is going through the planning commission with demolition on the agenda and the neighbors aren't happy about it. The owner (the house was recently sold as a fixer) wants to build a much larger three unit building on the property...

"The owner plans to demolish it and replace it with a three-unit building, though neighbors are fighting to preserve the Victorian home built in 1887."

"Though the Victorian details are gone from the exterior of 450 Frederick St., inside the original banister, ceilings, moldings, doors and other architectural details remain. Preservationists say the controversy highlights the importance of conducting a citywide survey of historic buildings to protect similar homes from the same fate."

I saw this home when it was on the market and this fight has been brewing ever since. I personally do not feel that 120 year old buildings should ever be on the chopping block unless they are structurally unfit for habitation. This is not the case with this house. Many of the exterior details are gone, but the interior is in quite original condition.

I do argue for more housing and higher housing density, but not at the sake of San Francisco's character. Especially in a neighborhood where that house will command a much higher price now than when it was last sold and the owner will not 'lose' if they cannot build their three unit monstrosity.

Speier bill to proect homeowners after natural disasters passes final Senate vote, moves to Governor's desk

The San Francisco Sentinel has a piece on Jackie Speier's new bill aimed at securing better homeowner's insurance coverage for natural disasters.

"Homeowners who must rely upon their insurance policies after a natural disaster would be better protected under SB 2 by Senator Jackie Speier, which passed the State Senate tonight (September 7th) on a bipartisan 25-13 vote. SB 2 now goes to the Governor for signature."

Bell Market on 24th Street may be sold, Mollie Stone's rumored to be coming

Another item in the Noe Valley Voice covers the upcoming sale of Bell Market on 24th Street and some of the potential suitors for the site & lease. Among the possibilities is Mollie Stone's.

"Sources told the Voice that Mollie Stone's, a fashionable boutique that started 10 years ago as a natural foods and organic food market in Mill Valley, has been in talks with Ralphs to take over the Bell location on 24th Street."

"If a supermarket does not move into the Bell site, Noe Valley residents would have to go outside the neighborhood to shop. Three smaller stores that once served Noe Valley have closed their doors: Real Food Company shut down its 24th Street operation two years ago on Labor Day weekend, and Mikeytom Market also folded its Church Street operation in the summer of 2003. For a decade or so until the mid-1980s, Bell operated a second Noe Valley branch at 1333 Castro Street. The store, known affectionately as "Little Bell," is now a Walgreen's drugstore."

As of January 2005, Mollie Stone's has also taken over the Tower Market at the top of Twin Peaks/Portola and updated their food offerings.

24th Street Property Owners Approve Special Tax District

From September's Noe Valley Voice comes further discussion of the 24th Street Community Benefit District (CBD).

"The CBD, whose purpose is to keep the 24th Street commercial strip clean and beautiful, and make it a safe and appealing place for merchants, residents, and customers, will be known formally as the Noe Valley Association."

"The association has a first-year operating budget of $220,000, and officially will start operations in January. That's when an elected board takes office and the first funds arrive. And sometime during the first two months of 2006, neighborhood shoppers will start to see steam-cleaned sidewalks, new benches and flower boxes, and uniformed security patrols on duty, especially after dark."

New Affordable Housing Development in Motion on Telegraph Hill

From BeyondChron today comes some coverage on a new affordable housing project on Telegraph Hill.

"The site was formerly an offramp for the old Embarcadero Freeway, which was demolished after the 1989 Loma Prieta earthquake. San Francisco subsequently acquired the property, and ten years later, the Board of Supervisors passed a resolution to consider it as a place to develop affordable housing. The Mayor's Office of Housing ultimately chose the Chinatown Community Development Center to develop the site."

All units will be 'affordable' housing for buyers making no more than 60% of the area median income.

"The project will offer 23 efficiency, 24 two-bedroom, and 34 three-bedroom units. The finished site will include a community center, a 4,000 square foot childcare facility, and roughly 2,000 square feet of retail space on Broadway."

Castro Trader Joe's plans scuttled

"A Castro District property owner has decided to scrap controversial plans to build a Trader Joe's at 15th and Market streets, and now says he is committed to creating a multi-vendor fresh food marketplace in the existing building."

The Examiner has an article today on how the building's owner has plans to create a multi-vendor, upscale fresh food market instead.

Candlestick Cove project rejected

The Examiner discusses how the Board of Supervisors have refused to allow a project to move forward on Candlestick Point due to concerns over multiple items.

"The Planning Department needs to answer more questions," said Supervisor Sophie Maxwell, who represents the area that includes the Candlestick Cove project at Executive Park. Maxwell said the 433-unit project is part of about 1,500 new housing units slated for the Visitacion Valley and adjacent areas, and that the building boom would make the neighborhood's population swell by 30 percent over the coming years.

Sometimes the Supervisors ask good questions. I think it is important to make sure that there is important infrastructure in place prior to building a large-scale development in an as-yet under-developed area of the city.

Home purchases grow riskier in hot housing markets

Dian Hymer has a good article in Inman News today that encourages buyers to insist on inspections and appraisals even in hot markets.

"In areas where demand for listings is high and inventory is low, buyers will compete not only on price but also on terms. The winner is often the buyer who offers the highest price, the quickest close and the fewest contingencies. A contingency protects buyers if they need to satisfy a condition – like arranging financing – for the sale to go through."

"Some buyers waive their right to inspect the property in order to be competitive. This is risky because you could end up paying far more than the purchase price if the property needs a lot of work. If you buy without an inspection contingency, be sure to have inspections done before you make an offer. Otherwise, you could end up short of cash if you find out after closing that a big-ticket item, such as the roof, needs to be replaced."

I don't allow pre-offer inspections on my listings, as it encourages multiple buyers to spend the $500 inspection fee when only one of them can actually be the final purchaser. Instead, I would encourage a buyer to keep their contingencies SHORT and do their inspections and appraisal in two or three days. This takes the pressure off of the seller to risk losing their momentum on the sale while still offering everyone in the transaction the liability protection of giving the buyer a chance to do their due dilligence.

S.F. schools chief steps down

Both SF Gate and the Examiner have coverage of Superintendent Arlene Ackerman's resignation last night.

San Francisco has become a town of people who mostly live here until they have children of school age, at which time they move north or south. Many feel that Ackerman was turning things around, others disagreed.

SFSOS sent out an email this morning lambasting the political left for their part in driving her out. "Her resignation means that the politics of personal destruction won and children lost. The extremist faction drove her out of town at the end of a pitchfork. Now they can look forward to more family flight, more school closures, more segregation of the schools that remain open, and more excuses for why none of those tragedies is their fault." Unfortunately, this letter is not yet posted on their web site.

The letter continues with three suggestions:

"We now must move forward. In the wake of her decision, this community of her supporters must ensure that three reactions now occur:"

"First, that Ackerman's core accomplishments can't be lost. SFUSD went from "corrupt and make every excuse possible for urban education failing" to "fiscally sound, no excuses for failure, improved education for all groups of children." The next superintendent MUST be someone with a track record of no-excuses success, rather than any-excuse-will-do for mediocrity."

"A few possible successors to Ackerman's post have been suggested, from established and experienced education administrators such as Ackerman's current assistant Gwen Chan, to lifetime politicians. It has been rumored for months that the extreme left's agenda is to replace Ackerman with an ideological politician such as San Francisco Board of Supervisors member Tom Ammiano. We cannot allow this to happen."

"Second, that key leaders stand up and be counted. Supervisors and School Board members must be put on record decrying Ackerman's departure and standing up for the African-American community and southeast neighborhoods who were benefiting the most from the school improvements sparked by Ackerman's policies. Supervisor Tom Ammiano must stand up and declare that he has no intention of lobbying for this post. The Board of Education members must publicly confirm that they have every intention of seeking a proven administrator as Ackerman's successor."

"Third, that her offenders are not rewarded for their campaigns to destroy her. It is very possible that concerned communities -- particularly again those African-American communities and southeast neighborhoods most affected -- will organize a recall effort against those Board of Education members responsible for Ackerman's departure. Whether that happens or not, voters must maintain the pressure of accountability on the School Board throughout the replacement process, and then play a strong roll in the elections of 2006 when Sarah Lipson (an anti-Ackerman force on the School Board) is among those asking for re-election."

One of the biggest factors in holding a community together is a strong school system. Without it, we'll become even more of a childless city. Our families deserve a chance to stay in San Francisco and put their children through quality public schools. If you have children, or are planning on having children, now might be a good time to contact the board of education or other powers-that-be and let them know that schools and school leadership is important to you.

Another article in the Examiner is titled 'Divisive Politics Make Position Undesirable'. No kidding, eh? Sounds like everything else in San Francisco! Perhaps education could become the ONE thing that we don't fight about. The one thing that people can agree upon. Doesn't it seem like when everything else is a political disaster that our children should be the one place where we can find common ground?

Residents hope changes at Cow Palace sprout growth

The Examiner covers some upcoming changes that residents near the Cow Palace hope will result in new housing and a grocery store.

"For years, Daly City and Cow Palace officials have been in negotiations over roughly 38 acres of unused land, a portion of which is owned by the Syufy family and was the old Geneva Drive-In. The city would like to convert the land into a mixed-use development of housing and retail space, perhaps even a brand-name supermarket."

Surplus property ordinance may soon bear fruit

The City has surplus property as well as an ordinance on how it can be used to benefit the city.

An article in today's Examiner looks at how this property can either be used to create housing or sold to fund housing.

Matt Franklin, the director of the Mayor's Office of Housing said "he might soon turn his attention from surplus property to city property that is underutilized at places such as libraries and schools. For instance, he said one idea he's had is building a parking lot beneath the Department of Motor Vehicles building on Fell Street in the Panhandle, so more housing could be built around it."

Two properties are currently being considered for sale. "One of the properties is at Broadway and Sansome, while the second one is at Grove and Van Ness. There is a $3 million outstanding debt on the Broadway property that needs to be resolved before it can be sold. Franklin said The City will soon turn over an additional 15 to 25 properties, so the Mayor's Office of Housing can begin evaluating them for building."

Unfortunately, there are hurdles to selling many of the city-owned properties. "It's been slow going for the surplus property ordinance, which was widely hailed as a creative way to deal with The City's homeless problem when it was passed in 2002, because of a number of snags including developers not knowing property was available for sale and objections from neighbors. Perhaps the biggest hurdle has been the lots themselves, which are often oddly shaped, too small or too steep to build on."

All in all, however, the fact that we're finally getting down to discussions on how best to use what we have is good news. There are very few vacant parcels in San Francisco, and if there's a way to build housing on them, let's take a hard look at how to make that happen.

Octavia Boulevard Off-Ramp Opens Friday

The Examiner is reporting that the new Central Freeway off-ramp which touches down at Market and Octavia will open on Friday.

As always, there are those that applaud the new boulevard and those that will never be happy.

"Alison Miller, who lives on neighboring Stevenson Street, said the ramp is a worse blight than the old one because it is twice as wide and lower to the ground. Miller said while Hayes Valley is rejoicing, her neighborhood is grieving."

On the other hand, the number of people who have benefitted from the change is far greater than those inconvenienced. The central freeway was there before and now it's back. Anyone who thought they could fight a public referendum that was passed overwhelmingly by voters was disillusioned at best.

Additionally, we will see HOUSING built where the rest of the freeway once stood. "Roughly 1,000 new housing units, half market-rate and half affordable, will be built on the seven acres of vacant land where the freeway came down. The sale of that land will pay for the boulevard. More housing is anticipated in the area as part of the Market-Octavia Better Neighborhoods Plan, which lays out urban design, open space and transportation for the area. The plan is expected to go to the Planning Commission later this year."

There's no way to please everyone all of the time, but for the relatively few unhappy people that live around Valencia & Duboce, this is a small price to pay for the huge benefits that will be reaped by the city as a whole.

Greed doesn't pay when selling

An article in SF Gate today, syndicated from a writer in Washington, discusses how home sellers must pay attention to their local markets when pricing a home for sale.

If you read my posts regularly, you'll know that I don't believe that our market is 'cooling' so much as we have too many greedy sellers which causes the inventory to appear to be sitting longer...

"If you are selling into a market that is or shortly will be shifting toward cool-down, restrain your greed impulse. In cooling markets, unless you snag the increasingly rare totally clueless buyer, record-setting asking prices won't get you many offers. Realtors need to preach this message to potential clients as well. If you truly want to sell your house, price it realistically for your market's emerging dynamics. Who knows? You just might luck out like Cutts' smarter neighbors and sell for more than you're asking."

Especially in San Francisco, the market (of buyers) determines what a house is worth, not a seller or real estate agent. We (as agents) must do our best to present the property in the best possible light, make sure that everyone knows about it, and handle the details of the transaction, but if you try to tell buyers what to pay, you'll lose out every time.

If you're selling your house, pay close attention to what your agent tells you about what the trend is in your city or neighborhood. The most critical mistake you can make when selling your house is to try to dictate how things will play out.

S.F.'s rebirth after '06 quake offers hope for New Orleans 99 years apart, disasters that devastated both cities share strange similarities

SF Gate has two separate articles comparing the 1906 SF Quake with last week's disaster in New Orleans.

In one piece, Carl Nolte remarks, "Both cities loved life, both were destroyed by a force of nature, and the destruction was nearly total. After a huge earthquake and three days of uncontrolled fires in 1906, San Francisco was a wreck -- "a blackened, ruined thing, the pity of the world,'' said Sydney Tyler, a journalist. In New York, they wrote San Francisco's obituary, a newspaper series called "The City That Was.''

And in John King's Urban Design column, "...if history, including San Francisco's experience in 1906, is any indication, the response will be a determined return to life -- with an emphasis on getting things done quickly, rather than getting them done right."

King's observation is a curious one. There will obviously be a rush to normalcy, but what an amazing opportunity to work with the historical treasures that remain and work to correct things that might not have meshed with modern life.... Or to take flaws (such as the pump an levee system) and make sure that they are built to withstand anything Mother Nature can send its way?

Nolte's piece focuses on the pre-'06 San Francisco and the post-'06 San Francisco as two distinctly different places. And not always for the right reasons. Hopefully there will be a way to make positive changes to New Orleans where they may be needed as the rebuilding process gets underway.

Census: More Americans Living Alone

The Associated Press covers the rising levels of Americans living alone.

This is especially true in Manhattan, where "solos accounted for 48 percent of all households on the island, putting [it] ahead of other singles magnets like Washington D.C., St. Louis, Denver and San Francisco."

"The increase in the percentage of single-person households is a continuation of a trend that began decades ago. In 1950, just 9.3 percent of U.S. households consisted of people living alone, according to the Census Bureau."

Katrina destroyed 'large share' of New Orleans houses

Inman News has an interesting piece comparing the loss of homes due to Katrina with other major US natural disasters, including the 1906 San Francisco earthquake.

"Economists for the National Association of Home Builders said a "large share" of the more than 200,000 homes in New Orleans is likely to be destroyed. The study defines "destroyed" as "made uninhabitable and beyond economically justified repair."

"In comparison, Hurricane Andrew in 1992 destroyed an estimated 28,000 housing units; an estimated 27,500 housing units were destroyed by Hurricanes Jeanne, Ivan, Frances and Charley in 2004; and the 1906 San Francisco earthquake and fire reportedly destroyed about 28,000 buildings."

Go-Ahead Granted for Future Music Mecca

According to Beyond Chron today, "The Director of Public Works has rejected efforts to further delay the novel Music City project slated for Bush and Polk Streets in San Francisco. The DPW ruling paves the way for the construction of a virtual music mecca that will include housing for musicians, sound stages, music classes, and a new venue for live music."

This is something that is long-overdue in San Francisco, a city with a rich history of music from jazz to rock and beyond.

See MusicCitySF for the project's official site.

Tenants Win Ellis Act Eviction Case

Beyond Chron continues their anti-Ellis Act media blitz today with coverage of a lawsuit that was just settled in favor of the tenants.

According to the article, "Judge James L. Warren ruled that the tenants at 1357 Folsom Street, including 26-year resident Theresa Dulalas and her family, had been issued notices that didn’t comply with city and state law. The firm that issued the evictions, the law offices of Andrew M. Zacks, issued many similar notices across the city over the past year, all of which could soon be contested."

I will reiterate that I do not condone evictions at all, let alone for the sake of turning a quick profit, but let's hope that the rights of other property owners with legitimate intentions are not compromised over a technicality.

Planning Commission approves temple

As reported by the Examiner, "A Jewish congregation won approval Thursday for a sleek modern complex of zinc, concrete and glass buildings [at 14th Avenue & Clement Street] that will shake up the look of the neighborhood. While some neighbors and planning commissioners find Congregation Beth Sholom's design too unconventional amid the area's mostly Edwardian homes, others praised it."

Acting Planning Director Dean Macris said public buildings, including places of worship, should be allowed to depart from the neighborhood's context because innovative designs create a "cultural environment that is expressive."

Katrina puts scare into real estate rates

First of all, let me say that my heart goes out to everyone affected by the tragic events of the past week (some which continue today). Let's all hope that there's a way to recover from this disaster quickly.

The disaster is affecting everything from gas prices to real estate loan rates.

From an article on Inman News today, ""Market jitters about high energy costs and the spill over into other sectors of the economy have led to a decline in bond yields, which typically means lower mortgage rates," said Frank Nothaft, vice president and chief economist at Freddie Mac. "And speculation that the Federal Reserve may soon take a break in raising short-term rates reduces upward pressure on long- and short-term interest rates."

"As if all that wasn't enough, the devastation caused by Hurricane Katrina and the echo effects on future energy prices in the U.S. may mean that mortgages rates will fall even further in the coming days ahead."

This could bode well for both buyers and sellers heading into what looks to be a very active Fall market...