A large 25-foot-wide townhouse on the the charming section of Fifth Avenue just north of 125th Street has arrived on the market for $1.6 million. There appears to be a lot of original detail to be found (including a rare, intact wood panel bath tub) but the main issue is that the building seems to basically be an SRO that will need a major
gut renovation. The brokers do not mention anything about a Certificate of Non Harassment so having this property priced well over the million mark may be a bit ambitious. More details can be found on the house listing:
LINK
$1.6M for a shell? and who WAS living in there squatters? Educuational squatters, LOL, I saw all the books. This is a very interesting sell and that wooden bathtub, whoa!
ReplyDeleteBut then the next question is -
What is an appropriate price for a shell?
That is certainly not a shell. It's actually one of the finest examples of original details I've seen. For a 25 footer with all those original details, I think it's a great deal. The only problem is that it will probably take an all cash buyer due to the SRO status. I just hope that whoever is fortunate enough to get this one gives it the respect it deserves. It would be a tragedy if this one gets gutted.
ReplyDeleteahhh I see. from an archetectual standpoint I see what you are saying about the original details. And yes, from what I see it will take alot of work to rehab. Is it cheaper to just do a gut rehab or cheaper to work around the original details?
DeleteBroker website says contract signed. Went fast.
ReplyDeleteI will like to go out on a limb and say maybe a developer purchased it up quickly. Because the building next to it looks like a new condo building.
DeleteI look forward to an update on this property.
Is the wood used on the steps and fireplaces mahagony?
ReplyDeleteIt's nearly impossible to gain an accepted offer on the first day of a listing. It is impossible to gain a signed contract in one day, especially for an SRO which requires lots of due diligence adams work.
ReplyDeleteRest assured, there is something funny here.
I estimate a 5 story, 25 foot wide house in poor condition would be worth
$1.1 million or less. It takes $1+ million to fix and $500k of bull crap. End state value is $ 2.5 million. Then there is the SRO issue...
It's always cheaper to gut the interior, when compared to restoring all those original details. Restoration requires skilled people who know what they are doing and have great attention to detail. Things like repairing intricate plaster work are almost a lost art. And people who possess those skills don't come cheap. Unfortunately this is precisely the reason most developers will not do it. It's cheaper to start from scratch and use newer and cheaper materials (such as recreating the crown moldings using MDF). Unfortunately this is what happens all too often. I'm in the process of restoring my Harlem Brownstone. I'm three years into the process and still in the deconstruction phase (I'm doing this work myself over the weekends). If you thought this one looked rough, you should see mine. I still think it's worth the effort however and wouldn't have it any other way. Once these details are lost, they will probably never be put back (too cost prohibitive in today's world).
ReplyDeleteGreat response! Thanks. And good look on your restoration.
DeleteFor an example of cost estimates for a gut renovation, check out this WSJ post on one family in South Harlem who went through the process. Cost ended up higher because of unexpected issues but landed well under $500K:
ReplyDeletehttp://harlembespoke.blogspot.com/2011/03/read-wsj-brownstone-reno-finishes.html
Guest is spot on ... You can gut renovate a whole brownstone for 500k but is usually means not preserving original detail. Repairing plaster, woodwork etc is expensive.
ReplyDeleteUnless you have been in this house (which I have), you do not know what $500k guys you. It's not a lot. Don't be a sucker. $500k wouldn't even pay to replace all the windows, plumbing, electric and minor uodates in this place.
ReplyDeleteI find it's "SRO" status odd sinse it's owned by one family who happens to reside in the entire house?? I'm guess the family who bought it years ago kept the "SRO" status to avoid property taxes?
ReplyDeleteThis is a bank owned property. The Bank of New York took possession of this property (along with a large parcel of others) from the City back in August of this year. I've never seen a bank move that fast, so I don't see how it's possible to be in contract the first day.
ReplyDeleteMost homes in harlem are still classified as SROs even if they have been used by a single family or two families for years. The certificate of no harassment process takes approximately 6 months and costs some money, although most of it is waiting rather than anything else. It is difficult but not impossible to finance an unoccupied SRO - our house was classified this way (although used as a single family) and we were able to get a mortgage. My advice to buyers to be persistent in talking to banks because somebody WILL do it, you just have to unearth every option (and put 25 plus percent down). It is well worth it,, because renovations have a way of going over budget, so the liquidity cushion is nice to have.
ReplyDeleteThe broker most likely had the buyer lined up before the property was listed to the public.
ReplyDeleteWhy go through the trouble of pictures, prose, etc. if you are in contract before you list? Funny business...
ReplyDeleteThere was no buyer lined up when this property was listed. There just happened to be the right buyer that showed up on the first day of the listing with his lawyer present. It's in contract. Apparently it's a developer, so the fate of this building is not certain. Let's just hope for the best.
ReplyDeleteThis is seriously my favorite part of the site. Just straight up brownstone porn. It's why I love living in Harlem :)
ReplyDeleteThe only way this makes sense is if the broker had a deal in the bag for 1.1, and listed at 1.6 for all the onlookers...
ReplyDeleteDoesn't matter. Beautiful house, very lucky buyer!
ReplyDelete