Here we go again. Now that The Standard @ Reno seems to be a go with alley and street abandonments in place (though no permit application or land sale yet), Italian Capital has been busy TYING UP the remaining parcels that they don’t already on on the next block East. I expect the same level of concessions will be requested here now that precedents have been established.
636 Lake for $405,000, 637 Evans for $170,000, and 645 Evans for $400,000. The Assessor values the land at $6/SF, and they are selling at an average of $57/SF. I ignore any Improvement Value since these will all be knock downs. #1 – What has Mike Clark’s office been smoking to come up with these ridiculously low land assessments? #2 – Property owners in the area should expect the maximum 8% increase in assessed value and property tax next year. #3 – The land W 2nd Street District want to assemble is assessed (generally) at $7-8/SF. Not only is their $208/SF estimate for state of the art bleeding edge high rise construction “aggressive” (aka whackadoodle), but their land acquisition costs appear to seriously underestimate the market when you “need” a parcel. #4 – On the bright side, if this doesn’t tank the project, it will make their TIF projections very conservative.