The Mark Company: SF, LA and Seattle New Condo Prices Steady in October
The value of new construction condominiums in San Francisco was up 4 percent in October versus the previous month. New construction condominium values climbed 1 percent in Los Angeles and 2 percent in Seattle month over month.
By Jeffrey Steele, Contributing Writer
San Francisco—The value of new construction condominiums in San Francisco was up 4 percent in October versus the previous month. New construction condominium values climbed 1 percent in Los Angeles and 2 percent in Seattle month over month.
The Mark Company, a San Francisco-based urban residential marketing and sales firm, released the Condominium Pricing Index findings this week. “Resale inventory remains low in San Francisco, Downtown Los Angeles and Downtown Seattle, which is causing upward pressure on new condominium prices in all three markets,” says Erin Kennelly, senior director of research for The Mark Company.
The Condominium Pricing Index, part of The Mark Company’s monthly Trend Sheet (available at www.themarkcompany.com) reflects the price per square foot of a new 10th floor, 1,000-square-foot condominium. It uses as its basis recent sales data, and employs a proprietary quantitative method to measure market demand trends. It tracks new construction condominium values, without the volatility of inventory changes.
The San Francisco Condominium Pricing Index for October stood at $1,170 per square foot, up 16 percent from October 2013. New construction inventory fell eight percent from last month, but was up more than 400 percent year over year. That was chiefly the result of the recent addition of Lumina in SOMA. A total of 916 new condominium units are now available in San Francisco.
Meantime, the Downtown Los Angeles Condominium Pricing Index stood at $701 per square foot, up 13 percent from the previous year. New construction inventory was unchanged from September. But due to the addition of Metropolis, next to Staples Center, it was more than 15 times higher than a year earlier. A total of 312 new condominium units are available in downtown L.A.
The October Downtown Seattle Condominium Pricing index is at $730 per square foot, up 3 percent from 2013. New construction inventory declined 9 percent from September, and stood 52 percent lower than October 2013.
Approximately 165 units are now available in Downtown Seattle.
The Mark Company Penthouse Pricing Index applies the same methodology to a new 30th floor, 2,000-square-foot condominium (1,000 square feet in Downtown Los Angeles). It stood at $1,170 per square foot in San Francisco in October, up four percent from the previous month and up 16 percent year over year. The index was at $1,134 per square foot in Downtown Los Angeles, up one percent month over month and up 13 percent from October 2013. In Downtown Seattle, the index was $1,130 per square foot, which represented an increase of two percent month over month and a climb of three percent versus last year.
