Welcome to San Diego Blog | December 7, 2011
San Diego Luxury Condos
Recent blog posts have observed a change in the San Diego Luxury Condo scene. In Spring 2011 the sales office for Bayside closed. Last month, with the escrow closing of its final penthouse, The Mark reached the end of its new home sales cycle.
Downtown San Diego condo inventory has been declining significantly throughout the 2011 calendar year. However, the segment with the most availability relative to market absorption is among San Diego luxury condos. Current supplies exceed 12 months in the over $750,000 price range–where the bulk of these buildings have sold.
Moving forward, the success of these two buildings in the resale market will be an important barometer for high end living in Downtown. With the next new development several years out, these buildings will benchmark high end property values.
Bayside and The Mark
Since their openings in 2007 and 2009 respectively, The Mark and Bayside added a total of 476 San Diego luxury condos. Over approximately 36 months, they combined to average 13 sales monthly. This was in the midst of the most challenging economic circumstances of recent times.
A snapshot of Bayside and The Mark at the end of 2011 provides some interesting perspective. The following table shows sales results from the calendar year:
|Total Sold||Developer Sold||Resale||Average Price|
In 2011 the buildings combined to account for 5 sales per month. This is a significant decrease from the velocity during the times of new home sales in the buildings. In fact, with the developer sales still accounting for nearly 60% of 2011 sales, velocity could diminish further.
A quick look at current listings
Bayside and The Mark will continue to impact the San Diego luxury condo segment. It is particularly interesting to look at the current listed properties to see how they compare with sold property from the past year:
|Number listings||on Market||Average Price|