Here’s a computer image of a proposed house to be built at 264 Riverside Avenue, sitting on 1/3 of an acre and asking $4.395 million. The land was originally bought by Straza Construction – 0.89 acres for $3.0 million but after building a house on the adjoining lot and selling it for less than asked but still the impressive price of $3.8 million, Straza got cold feet and bailed, selling this lot to Alex Kaali-Nagy for $1.35 million (after first trying to unload it at $1.995 – no builder wants to buy another builder’s mistake at a premium, eh?).
Mr. Kaali-Nagy does beautiful work and I have no doubt that this house will be as nice as his other projects. But the price seems a tad aggressive. Riverside Avenue, busy as it is, was supporting $3.8 price levels for new houses just last year (and, because I sold two of them, I’m delighted it did). But Strazza couldn’t get $4.4 for its own creation and, even if the Kaali-Nagy house is better, the market is worse. This a basically a four-bedroom house (there’s a fifth in the cellar but I don’t give that much weight) on a small lot on what I’ve heard termed a “double-yellow street” – heavy traffic. Buyers don’t like double-yellows, generally, and pay less for houses on them.
So maybe the market will improve. I note that this place is presently just a vacant lot with some drainage systems installed. Construction has been scheduled for the spring but it wouldn’t surprise me if that commencement is pushed back. We’ll see.