Author: Eric Baird

Luxury rental housing in San Francisco has been historically priced between $4.70 – $6.00 sqft depending on the particular building and unit. Advertised prices are usually higher. For instance, 2 bedroom rents at the Jasper, a new luxury building in San Francisco are as high as $6.17 sqft. By comparison, brand new condominiums at the Arden by Bosa, are being priced for as low as $3.57 sqft!

For a luxury condominium, Arden rents are super low and have both owners and agents scratching heads. Granted we as professional leasing agents are seeing some downward pressure on rents throughout the city, but not as much as we see at the Arden- A local phenomenon? We think so. This post reviews some of the features and amenities at the brand new Arden by Bosa and then we offer some “on the ground“ speculation as to why we think rents are taking such a hit.

Features and services being offered at the Arden By Bosa:

In Unit
• Tall Ceilings
• Double Pane Windows
• Hardwood Floors with Plush Carpeting in Bedrooms
• Full-Size  Washer and Dryer
• Walk-in Closets
• Energy-Efficient Heating and Air Conditioning
• Pre-Wired with USB Port and Fiber Optic Cable
• Private Tiled Balconies or Terraces
• Caesarstone Kitchen Countertops with Mosaic Tile Backsplash
• Thermador Applicances

Rents at the Arden are as low as $3.57 compared to historic prices of $4.70 to $6.50 sqft

• Sleek Modern Cabinetry
• Designer Grohe Faucets and Fixtures

In Building:
• Two Designer Lobbies with Attendants
• Hotel-Inspired Fireside Lounge
• 75′ Rooftop Lap Pool and Spa
• Double-Height Fitness Studio with His and Her Changing Rooms
• Expansive Outdoor Wood Deck with Views of the City
• Social Lounge with Entertaining Kitchen and Billiards
• Beautifully Landscaped 5th Floor Terrace
• Open-Air Grilling and Dining Area
• Outdoor Fireplace Gathering Area
• Luxurious Library Lounge
• Gated Resident Parking
• Electric Car Charging Stations
• Resident Workshop
• Pet Wash and Grooming Area
• WiFi and USB Ports Throughout all Amenity Areas
• Controlled Building, Amenity and Elevator Access
• Onsite Storage for Each Residence

Why Such Low Rental Rates at the Arden By Bosa? Such low rent rates at this property are in part due to the following:
• Great deal of rental inventory on market- New buildings are  creating  a short term surplus of units.
• Surrounding the Arden is still a construction zone
o Fence around children’s park- Entry not allowed
o Dog run and park still only dirt.
o Construction materials around building
• Workers in building still fixing and repairing
• Supermarket (Safeway) which is approx. 3 blocks away the closet store.
• Google Maps and Walk Score contain inaccuracies with regard to specific area

Will this last? No! Prudent renters who are seeking a superior property in an area of the city filled with parks, public walkways, stores and restaurants but close to transportation will jump at this opportunity. Construction will end soon and parks will be opening shortly.

ReLISTO has over 10 properties currently for rent at the Arden. We have already rented a good deal of inventory at this location and have been very successful in achieving very competitive rents for both Tenant and Landlord in a large part due to our wide reaching marketing campaign for the Arden as well as our very attractive incentives being offered for this property. See all of our units at the Arden including floor plans, videos and virtual tours by going to ReLISTO Team Arden Page.  Call one of our agents to ask about our move in specials.

ReLISTO is a licensed Real Estate Brokerage, specializing in the renting and leasing of apartments, condominiums, homes, lofts and executive furnished rentals. We have one of the largest inventories of rental housing in San Francisco. Contact our offices at 415-236-6116 to lease or list a property!

 

 

SFGATE.com posted an article about artist David Brenkus a tenant who was recently evicted from a 34 year residency at 53 Walter Street by Dr. Paras Harshawat and his wife Roopam. David was paying $735/month for the last 34 years and seemingly had never received a rent increase.

Calculating Rent Increases in SF can be challenging for both tenants and owners alike so its not surprising that 34 years went by without one. To raise rent in SF a landlord must accurately, to the penny calculate the allowed annual percentage, use the proper anniversary date and account for all Banked increase amounts to name just a few variables. Any mistakes can be risky since the Rent Board can reverse the whole rent increase if any part of the calculation is incorrect. Luckily now there is a tool for both tenants and landlords to make these calculations easy. In addition to allowable rent increases the SF Rental Calculator will calculate security deposit increases and rent board fees.

Using the situation at 53 Walter Street* San Francisco Ca we used the SF Rental Calculator to calculate 1) Allowable Rent 2) Security Deposit Interest and 3) Rent Board Fee Reimbursements

• If Dr. Paras Harshawat and his wife Roopam had decided to legally raise Davids rent as of February 1, 2016, what could they had raised it to?

Based on a January 1, 1982 tenancy start, rent could have been raised 82.4% to $1,354.59 on Feb 1, 2016.

• David upon leaving the apartment should have received interest on the security deposit money he had given to his landlord.

Assuming security was also $735 and Move In was January 1, 1982, David was eligible for a $880.53 reimbursement from the owner.

• Dr. Paras Harshawat and his wife Roopam should have also received from David reimbursement for Rent Board Fees

Assuming Move In was January 1, 1982, Dr Paras Harshawat and his wife Roopam were eligible for a $259.50 reimbursement from David

The SF Rental Calculators were created for landlords, tenants and property managers to freely and easily use, increasing transparency in what can be a very cumbersome process and set of calculations. The SF Rental Calculators are regularly updated and checked for accuracy.

*Please note that not all the variables for the situation at 53 Walter were fully known and as such some assumptions were made to have the ability to make calculations.

This Year’s Annual Allowable Increase for San Francisco Rent Controlled Units:

The annual allowable increase amount effective March 1, 2016 through February 28, 2017 is 1.6 %. The annual allowable increase amount effective March 1, 2015 through February 29, 2016 is 1.9 %.

To Calculate Rent Increases In San Francisco, Use ReLISTO Rental Calculator. Calculator is specifically designed for San Francisco Landlords and Tenants. Bank increases, partial rent increases, and shifting anniversary dates are easily managed. Best of all its a free tool for Landlords, Property Managers and Tenants to Use.

FROM	TO	AMOUNT OF INCREASE
March 1,2016	February 28, 2017	1.6%
March 1,2015	February 29, 2016	1.9%
March 1,2014	February 28, 2015	1.0%
March 1,2013	February 28, 2014	1.9%
March 1,2012	February 29, 2013	0.5%