A property in downtown Bethesda that held out against redevelopment for decades is holding out no more. 4829 West Lane is a 2000-square-foot single-family home that was converted into a two-level office space. The property owner declined to sell the .115 acre lot to the developer of The Chase condos, forcing the condominium complex to be built around it. MacKenzie Commercial Real Estate Services is listing the property at an asking price of $2.8 million.
7 comments:
What sorts of stuff would realistically pencil here given zoning? Is the most-likely outcome a SFH teardown?
Ironically they listed it for sale a couple years ago but nobody would buy it because of the tiny dimensions so they put it up for rent. I guess the tenant is leaving so they’re trying again. Stupidity like this happens all the time in Bethesda. They need to take the money they’re offered and go!
2.8 million for .115 acre? Dream on. Of course, Parks could buy it and waste another few million.
The only reasonable buyer would be the Chase Condo Association to expand its outdoor plaza near the tennis courts. At $2.8M, a big ask of condo residents for minimal benefit.
Employing a standard metric for evaluating land, this would impute a $7Mil outsale price for a single family house ($1.8Mil/40% = $7Mil); roughly speaking, land should cost no more than 40% of the outsale price of the house. This is not happening.
Developing it for multi-family use would be the only way to go, but you can't do underground parking which means condos. You could get (8) parking spaces max @ (2) spaces per condo, selling each condo for $1.8Mil - $2Mil, but again, the numbers are too tight, as is the lot. Also, the condos would have to be resally inspiring to get those kind of numbers in that location. The only flex is for the land cost to come down.
Speak real English.
Chase could buy it and then pave over it and the tennis courts and have a parcel bigger than that corner house @ Edgemoor for which to seek exception to build a new highrise and distribute proceeds to owners.
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