Sound Off: Will closure of transit hub affect real estate?

A: San Francisco’s market is extremely micro, meaning sales trends vary widely between neighborhoods. So will the closure create problems for the entire market? No. It can, however, create an issue for sales in the immediate area (Yerba Buena and surrounding South Beach.)

There are approximately 83 condos currently available for sale in Yerba Buena and South Beach. 181 Fremont, which is directly connected to the park, and also has condos available for sale, will have to wait yet again for the park to reopen.

This could impact their sales. Adjacent condo buildings already suffering from snarling traffic must suffer some more. If buyers cannot get to open houses, they cannot buy. It’s that simple.

Unfortunately, repairs will add construction traffic to an already heavily congested neighborhood.

Transbay Transit, with its highly anticipated rooftop park, is an immense attraction for the community. And of course, for the employees of SalesForce and Facebook right next door. The grand opening was a major success — estimates suggest that approximately 1,000 people visit the park at lunch and/or evening time every day.

We’re fortunate that the building issue was discovered at this early stage, and hope repairs are swift. For the enjoyment of the community and visitors, I look forward to the reopening very soon.

Par Hanji, Paragon Real Estate Group, 415-307-5110, par@parhanji.com.

A: The recent discovery of a defective beam supporting the massive Transbay Transit Center development adds to a general feeling of wariness and distrust of our local public officials who have been entrusted with protecting the people’s interests and safety.

The community is understandably weary as the detection of a second defective beam points to a serious breakdown in checks and balances and reasonable expectation of quality materials and construction of this brand-new $2 billion project.

Many weeks — if not months and years of massive traffic delays — in the immediate area will impact the surrounding properties because people will be hesitant to approach the area and buy homes that lack access.

Correctly or not, buyers will question the soundness of any local construction which in turn affects the current value of properties as well as future resales.

If past experience is a barometer, there will be endless rounds of blame and finger-pointing with no resolution.

The question remains: How can we trust those we have placed in a position of authority to protect us?

Jill Gumina, Alain Pinel Realtors, 415-265-1717, jgumina@apr.com.

A: In the short run, yes. In the long run, no. Real estate is a longterm hold.

In the short run, the Transbay Terminal closure — and more importantly its feeder streets — creates a driving nightmare.

It is almost as if there will be a game not just every night, but also every morning as well.

Big picture, a few weeks of closure will not alter the underlying issue, the reason why some 270,000 vehicles cross the Bay Bridge every day: The discrepancy between property prices in San Francisco and the East Bay.

For example, the average house in the East Bay’s priciest area (on a per square foot basis), Piedmont, is selling for about $2.3 million.

The average house in the most architecturally comparable San Francisco neighborhood, St. Francis Wood, is selling for $2.8 million, or a $500,000 difference.

But if Piedmont is compared to Pacific Heights, the discrepancy in price goes up by almost $4 million.

Astrid Lacitis, Vanguard Properties, 415-860-0765, astrid@vanguardsf.com.