One of my favorite condo developments in the Bay Area is the Ellington located in Jack London Square of Oakland. Units range from low 300k to over 1M as you will read about. The first $1MM+ condo since 2008 has been sold recently there, a penthouse on the 15th floor covering 1700+ sq ft, a 2 and 1 and private deck viewing the city and the bay. Reportedly the second penthouse is in escrow at $1.5MM, this just shows that the demand for high end luxury condos are seeing light again. The combination of area developments, quality and location is reason why I’ve been making suggestions to all clients to look into the Ellington. What’s worth noting is the fact that today’s prices are still below the original construction cost, and the quality speaks for itself. The complex is comprised of 134 units, was originally developed and owned by the now dissipated Lehman Brothers (Emerald Fund is in charge of the sales now).
http://www.thebayishome.com/home14_detail.php
EXCERPT SFBT below:
Emerald Fund Chairman Oz Erickson, who is managing the sales of the Ellington on behalf of the Union Labor Life Insurance Company, said the “renewed interest in high-end condominiums is a very strong indicator of the value at The Ellington and in Oakland in general.” He added, however, that the $600 per square foot price point is still well below construction costs.
“These condos are selling at a fraction of what they cost to build so the consumer is getting a great opportunity that is unlikely to occur again for a very long time,” said Erickson.
The building has commanded a price per square foot of $471 for lower floors to $632 a square foot at the top of the tower, according to the Polaris Group, which markets and sells new homes in the Bay Area.
“People are recognizing that interest rates are going to start going up and they prices are not going to come down more than they have,” said Polaris Group Principal Chris Foley. “So you better buy now.”