The rowhouse located at 1343 Otis Place NW in Washington, DC was bought on 09/02/2004 for $308,248 by District Design Development Group LLC .The rowhouse is located in the Columbia Heights
neighborhood which is a gentrifying neighborhood located 4 miles noth of downtown.
It was completely gutted and rehabbed and a small extension was put on the back along with a brand new third floor. Contemporary finishes. Total construction work and design fees is around $310K. A third story was added. The rowhouse has 3 Bedrooms, 3 Full Baths, 2600 sq. feet, historic Columbia Heights row house showcasing our team's innovative blend of construction, architecture & interior design. 3BR/3BA, 3 stories + bsmt, gourmet kitchen, Owners Suite w/ private deck, Bamboo Flooring, Custom Millwork, Garage Parking, Patio and Backyard, High End Design & Finish.
The rowhouse looks lovely on the inside ( click on the virtual tour).
The rowhouse had an asking price of $799k. It is under contract in 10 days.
* A special thanks to John Goldman, who is a key figure in the rehab, for providing this information. Some of the facts were verified.
Posts
I am a huge DC housing bubble believer (i.e., I believe the DC area is in the middle of an enormous housing bubble).
ReplyDeleteHaving said that, I do think that there has been an institutional effort to clean up DC over the last ten years, and it has worked somewhat. Long term, I am not that confident, but for the next 5-10 years, it might work.
That is still horribly overpriced, but with fuel prices rising and a great public transportation system in DC, that price is not as irrational as half a million in Frederick.
Still very irrational, though.
I followed Columbia Heights RE development for the past 2 years and got the impression that that neighborhood has stopped gentrifying in leaps and bounds. IMO, its stopped gentrifying at the pace it was gentrifying last year.
ReplyDeleteProbably because current property owners jacked up prices.
It looks like this property is back on the market. What happened?
ReplyDeleteI rent in DC, want to buy, but feel completely priced out. When is the bubble going to burst?
ReplyDeletejust to wrap this up, the house came back on the market and then was eventually sold at $776k in less than 50 days.
ReplyDelete- John Goldman
Sorry guys, and yes I know what the prices are like here, but being a native Texan, one does not purchase a house in deplorable condition for $300K. If this isn't a bubble, then what is to become of normal people who make more normative salaries--under $60K? There are still huge sections of the Federal City that need much work and yes this sort of gentrification can be great for revitalizing, but what happens when you run out of people who can afford an $800,000+ rowhouse? Oh wait, there are studios for $200,000+, but wait, someone who makes $60,000 or less can't even afford that! Also, how much higher can values go on a house of this kind in a neighborhood that isnt even fully gentrified when the house is already priced this high? While I am a believer in free markets, I am also a believer in logic and like the tulip bulbs in Holland, there will be a ceiling to these values and heaven help us little people, I hope they are near.
ReplyDelete