Where: 60 Danvers Street at Market Street, San Francisco (Upper Market/Eureka Valley, MLS District 5)
What: Two-level, lower unit of well-maintained two-unit building prime for conversion, newly-renovated, bright home with 3 bedrooms, 2 bathrooms, garage parking, large outdoor space, renovated kitchen, with ≈1800 sqft.
Type: TIC, renovations circa 2013
How Much: List Price: $1,159,000, sold at $1,159M, financed with Sterling Bank and Trust, fractional, Seller-carry back (100% of list)
Closed: March 2014
Who Was Kevin’s Client: Buyers who sold their Duboce Triangle Home with Me previously; Startup & Network Television (Business side)
We’ve known Kevin for 2 years – we sold our first house through Kevin 2 years ago, and just bought a new house with him. Simply put, the fact that we didn’t even think of any other agent when we decided to buy a house again demonstrates our trust and faith in Kevin.
In both the buying and selling scenario, we couldn’t have been more pleased with Kevin. Best things about working with Kevin:
Overall, buying or selling a house is a stressful time, and knowing that there’s someone you can call/email whenever you want, and that you know has your back goes a long way. As long as Kevin’s in real estate, he has customers in us.
— Jay & Smitha S.
Commentary: It’s always a happy time when clients who have worked with you before ask you to help them buy and find an opportunity that will be rewarding both in the short and long term. This is what happened here. My clients, who had sold their beautiful Duboce Park tenants in common home just a couple of years ago thought they would be located to the East Coast permanently but one client’s startup has grown successful that direct, in-person involvement necessitated a return to the Bay Area. And rather than pay astronomical rents with nothing to show for it in the end, the couple decided to purchase again.
But instead of purchasing something for the sake of purchasing, they wanted to buy something with long-term and built-in upside. While most of San Francisco has been seeing this upside of late, one specific class of property — the 2-unit, owner-occupied building — is especially attractive as value from condo conversion historically averages between 10-20% within the time it takes to convert the respective TIC units into condominiums. In this case, it’s most likely to be 18 months.
So, the trick in our competitive market was to find an opportunity that no one else had or to find one before anyone else could. And that’s precisely what we did here. Using my brokerage’s deep bench and my previous successful working relationship with the listing agent, we managed to get in contract on this property before anyone else could. While another client was the original intended partner (he found another property to make a move on) the upper unit quickly sold on the market and now the parties are oriented to a successful conversion.
My clients intend to upgrade some of the finishes in the nearly 1800 sqft. space with 2 levels, large outdoor space and garage parking with a fantastic and surprisingly quiet location.