SF New Developments

New project’s pricey condos and ‘fractional’ units go quickly
San Francisco Business Times - March 10, 2006
by JK Dineen

The thirst for ritzy downtown condos in San Francisco appears to be insatiable.

Coming on the heels of the quickly sold-out St. Regis project, buyers are chomping at the bit for units in the Ritz-Carlton Club and Residences project at 690 Market St., a joint venture between the Ritz-Carlton and Alameda-based developer Jim Hunter.

In the first five days since the developers started accepting reservations for the 101 units in the old Chronicle Building, would-be Ritz-Carlton clubbers have plunked down 60 reservation deposits for a piece of the 1890 building, according to Robert van Dijk, the project’s director of sales and marketing. Of the 60, 18 are for condos, and 42 are for monthly slots at the project’s fractional ownership units. Owners of fractional units pay $200,000 to $300,000 for a one-twelfth, deeded interest.

All potential owners who have put money down on a private residence, have also reserved a fractional share, said van Dijk.

“They are looking at the fractional shares and saying, ‘this will be my guest house.’” said van Dijk. “These are individuals used to having a guest house.”

In order to reserve a condo, a prospective buyer must put down $100,000 for a one-bedroom, $150,000 for a two-bedroom, $200,000 for a three-bedroom, or $250,000 for a penthouse. The building’s four penthouses are already reserved, although reservations are refundable until May 20. At that time buyers will have to put down 10 percent for their units, which are expected to fetch between $1.1 million for a one-bedroom and upwards of $5 million for a penthouse.

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