Great Views, Big Score(s)

By Dave Fratello | September 16th, 2013

We have to go back to May 2010 for the story of a failed listing where everything kinda worked out.

They were selling 219 N. Dianthus (4br/4ba, 3300 sq. ft.) at that time, hoping to get $2.089M, just a little over the late-2006 acquisition price of $2.000M.

The big, big, big views were the chief asset. The extra square footage for this tall and skinny home was another plus.

But the listing did not pan out, and it quit, quietly, in late 2010.

Come Summer 2011, luck was in the air. An off-market offer came through, and 219 Dianthus sold for $1.750M.

That was $200K lower than the last asking price from 2010, and $250K lower than acquisition, but in 2010-2011, you took what you could get and moved on. The market then felt mostly flat, and memories of the 2008-09 dip were fresh and raw.

2013 didn't feel like that. As Spring rolled along, 2013 felt like a ride in a rocket ship.

So the owners gave it a run on the public market. They marked it up to $2.299M, a whopping $549K more than they had paid less than 2 years prior, and $300K above the late 2006 (bubble!) price.

And they got it.

They got it, and more. Sold price: $2.370M. Get that: 35% above the acquisition price just 2 years before. And way above a bubble year.

Do you know, we had to consider whether this one belongs in the MBC "Shockers" series, and we ruled it out. It's really, really remarkable (hence this post), but somehow shy of shocking. Let us know if you disagree.

Angling for that same kind of score in a shorter time frame: 316 45th. This is a 3br/4ba TH with 2100+ sq. ft. inside, lots of parking, and views that we recently called "freaking for real."

The big score here was getting the property as a short sale last year for just $1.537M. Though the property was offered publicly and anyone had a shot at it one year ago (Labor Day 2012), it sold quickly at a price that now looks preposterously low. 

We thought it very, very ambitious when the sellers shot for a quick $1M profit, starting out 3 weeks ago at $2.635M. (See "Good Work if You Can Get It.")

They quickly chopped $260K to $2.375M.

And now they have a deal.

Just like 219 N. Dianthus, this one traded late in the last bubble, also at $2.0M (OK, $1.999M), in early 2007 (versus late 2006 for Dianthus).

Like Dianthus, 316 45th has one-of-a-kind, killer views.

Like Dianthus, this one is poised to be a very big score, perhaps equal to the $370K markup that Dianthus got over a bubble-year price.

We said in our recent post on 45th: "They won't make $1 million, but if they sell, they'll do great for a 1-year hold." At asking price, they stand to gain $838K over the purchase price, nearly $725K net (approximately) after costs of sale.

Whew. Find one of those per year, and you can vacation the other 364 days.

It seems the ocean must have gotten more scenic these past few years. The views are shimmering in buyers' eyes, while sellers are counting their gold.

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