Sunday, April 12, 2009

Ruxton Lane news

This is the third time I've seen the new 27-unit Ruxton Lane condos go on sale. Long time readers remember my visits there and my posts. If you're curious you can review most of this ongoing story in these links. To make a long story short, I noticed this development in the fall of 2007; prices originally started from about $750,000 to $810,000; the units didn't sell; another realtor took over the sale of the development in the spring of 2008, prices were knocked down, the units still didn't sell; the development foreclosed back to the lender. Now Ruxton is back for a third round.

History of the Ruxton development

23-Sep-2007 Mega Developments
15-Dec-2007 More on the Ruxton Lane Developments
13-Feb -2008 Ruxton Lane Saga continues
25-Mar-2008 Ruxton Pacific Development brings in the Big Guns
12-Feb-2009 Catching up South Bay residential projects

It turns out there was a grand opening last weekend. I was happening to head to Target to get supplies for the upcoming tea party protest, saw the Ruxton signs, and decided to take a quick detour to the development to see what was up.

The flags were out flapping in the breeze and the falling Ginzu knife shoppers were out shopping. 1906 sqft units start from $544,000; 1982 sqft units start from $560,000, and 2003 sqft units start from $606,000.

That's at least a 25% price drop from sale attempt #1 in the fall of 2007, and while that is significant, the neighborhood still sucks and the units are still overpriced in my opinion. Remember, we have been in an excessively credit-fueled economy for God knows how long. Some air has leaked out of the bubble, but not much. You've been seeing lots of press in recent days about a possible bottom in the economy and about hope turning up again. It's springtime. This is the season of hope. There is supposed to be more hope at this time of year!

The biggest rationalization I've been hearing about this potential bottom is that "unemployment is a lagging indicator, so employment statistics will turn up last." They have completely missed the boat in even seeing this downturn coming so how the heck will they know when the economy bottoms? I have an idea. When these idiots stop trying to call a bottom then I will start thinking about a bottom.

In the meantime, you can check out this Daily Breeze article on Ruxton. Apparently eleven (41%) of the units have been sold.


I will be standing on the corner of Aviation and Rosecrans on Tuesday night during rush hour to twirl a sign promoting the tea party protest. I MAY be wearing a costume when I do (I'll know by tomorrow night.) Hope some of you can make it on Wednesday.

6 Comments:

Blogger Adrian said...

Thanks for the great blog, I've been reading for over a year now and I appreciate your posts!

Any news on how sales are going over at the Foundry?

2:46 PM, April 14, 2009  
Blogger bearmaster said...

This comment has been removed by the author.

4:06 PM, April 16, 2009  
Blogger bearmaster said...

Adrian,

I have not heard anything further since the report after the grand opening that some 20+ units had been sold.

4:07 PM, April 16, 2009  
Blogger NiurkaSells said...

Thanks for the informative data. I am a real estate broker with Re/Max Beach Cities in Manhattan Beach. I also have been following the housing bubble, and feeling the pain

2:49 PM, September 08, 2009  
Blogger NiurkaSells said...

Thank you for the informative spread. I am a real estate broker with Re/Max Beach Cities in Manhattan Beach servicing the entire South Bay. The worst Housing Bubble since the early 90s

2:54 PM, September 08, 2009  
Blogger ad said...

Thanks for the great blog, I've been reading for over a year now and I appreciate your posts! Yalova Emlak

8:22 AM, November 29, 2009  

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