In big cities across the US, new construction prices are rising — and San Francisco is no exception. But last month’s growth was explosive. According to a report released by The Mark Company, prices for new condominiums rose 2 percent in April. What’s more, prices are 15 percent higher than they were in 2014.
The Mark Company Condominium Pricing Index for April was $1,282 per square foot. New construction inventory increased 45 percent over last month, and is 594 percent higher than one year ago.
The Condominium Pricing Index is The Mark Company’s methodology for representing the price per square foot of a new 10th floor, 1,000-square-foot condominium. It is based on recent sales data and uses a proprietary quantitative method to measure trends in market demand without the volatility of inventory changes.
“There are a total of 944 new condominium units available for sale in San Francisco, the recent increase stemming from the open of Rockwell and The San Francisco Shipyard Blocks 53 and 54,” said Erin Kennelly, Senior Director of Research for The Mark Company. “This compares with 3,000 units that were available at the peak of 2007, indicating that strong market fundamentals and a positive economic climate continue to tighten available inventory.”
The Mark Company is one of the nation’s premier urban residential marketing and sales firms. It provides core consulting services including analytics, design, marketing and sales for urban high-rises and suburban attached properties throughout the Western United States. Notable past projects include 300 Ivy in San Francisco, Spire in Denver, Evo in Los Angeles, and The Martin in Las Vegas. Current projects include The San Francisco Shipyard (pictured above), 181 Fremont Residences in San Francisco and SL70 in Los Angeles.