How to get Over $60K in Instant Equity

Posted on March 26, 2008 | by Denny Oh

The Grande South #2202 2Br/2Ba 1,325 square feet $725K-775K SHORT SALE  *SOLD – $750,000

As a Downtown buyer’s specialist, I look for the best deals for my clients. I look for distressed sellers, under priced units, preserved views and anything else that makes a listing a DEAL. If you haven’t seen the others, here are some other deals that I’ve found.

This particular deal is in the South tower of The Grande. Situated in one of the best buildings that Downtown San Diego has to offer, unit 2202 in The Grande South is a deal. What makes this unit different from the others? Here’s a quick rundown:

1. Price – ranged from $725K-775K, this short sale is priced at what the exact same unit on the 14th floor(8 floors below) recently sold for(unit 1402 sold for $731K on 3/14/08). The 28th floor counterpart sold for $820,000 in January of this year.

Based on these comps, there’s a premium of $6,846 per floor. This would put unit 2202 at a sales price of $785,768 – well above what this unit will end up selling for.

2. Views – part of investing Downtown, means you want views. To be more specific, you want a view that will be preserved forever, regardless of what buildings may, or may not, be built around you. If the view happens to be a water view, even better.

The Grande South #2202 offers both a great city view and a protected bay view. Even though the Holiday Inn isn’t the best looking set of buildings, they do protect your views. And with floor to ceiling triple pane windows, you get to take full advantage of the views.

3. Location– in the heart of the Columbia district, The Grande towers will see the highest amount of appreciation over the next 5-7 years(of course, there are no guarantees and this is just my opinion, but I’m pretty confident in this claim). The prices at The Grande are currently undervalued because A) the market is slow B) people don’t want to buy when they don’t know exactly what will be built around them C) the Columbia district isn’t built out like the Marina district.

Take into account that you’re steps away from the train station, the trolley, cruise ship terminal and the airport, and this makes urban living that much more convenient.

4. Quality– the developer of The Grande towers is Bosa. Bosa is the best developer in Downtown San Diego – ask anyone. From their vision, to their construction, to their commitment to San Diego, no ones does it better. With Bosa, you can always count on quality construction.

And like I tell my clients, if you can’t get this property at the price you’re happy with, then don’t buy it. But why not try?

If those reasons aren’t enough for you to call this a deal, then give me a call and tell me what you will call a deal and I’ll find it for you (assuming you’re not looking to buy waterfront property at at $400/square foot). If you have anything to say, request, or even complain about, I’d love to hear from you.

*Click here to search for all the condos for sale at The Grande.

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