Flat Walkstreet ChopsPosted on Wednesday, March 4th, 2009 at 4:43am.
Both 424 5th and 429 7th made price cuts Tuesday.
424 5th (4br/3ba, 1925 sq. ft., pictured) lopped off $200k in its third cut so far, bring it down $600k (-25%) from its start at $2.399m around Labor Day last year. Now at $1.799m.
Meanwhile, 429 7th, the slightly bigger of the 2 homes (4br/3ba, 2125 sq. ft. ) and with the better layout, cut almost $200k in its second cut. Now at $2.1m, down $299k (-12%) from the same $2.399m start price.
As we've noted before, these 2 homes are linked for 2 reasons. First, they offer pretty much the same thing – a remodeled cottage with about 2000 sq. ft. on a flat walkstreet. Second, they're repped by the same agent, who surely must execute a delicate dance in pricing one vis-a-vis the other. (See "Awkwaaard!")
7th is priced as the superior home, and we'll agree. (For more detailed comparisons, follow the link just above back to the prior story.) We should also note that a mid-block location on 7th St. is pretty much the definition of the kid-friendly walkstreet lifestyle, adding value for those who want that. (See "Great Streets: 7th St. (Sand).")
But what is the going rate these days for that lifestyle?
The drop at 424 5th to about $1.8m may be the clearest sign of this sub-market's decline.
Last June, we watched a mid-block sorta-remodel at 408 6th take a big tumble to $2.050m (according to the MLS; it was $1.999m by tax records). That seemed to be near lot value at the time.
Something to watch: 429 7th was purchased for $1.440m in Aug. 2002, near the start of the decade's RE price runup. If it sells this year, it will best that figure. But by how much?
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