The residence in Palo Alto is a prime example of San Francisco’s crazy real estate market.
In the heart of Silicon Valley, there’s an 83-square-metre house that’s up for sale for the low, low price of US$2.59 million (AUS$3.51 million).
That’s right. 83 square metres. For US$2.59 million.
In terms of visual comparisons, imagine Chandler and Joey’s apartment in Friends, or a room slightly larger than an AFL goal square.
Built in 1924, the two-bedroom, one bathroom abode has been remodelled over the years and manages to balance vintage features and a modern aesthetic.
From the outside, the blue-grey home looks like something you might drive past in Penrith. It looks cosy, but unspectacular.
Inside, the front door opens up to a tiny living room, an even smaller dining area that sits practically in the centre of the kitchen, a closet-sized bathroom and two cramped bedrooms – one of which is a converted garage.
French windows open onto a private backyard with an astroturf lawn and pergola. Each room boasts lovely open windows that allow the Bay Area sun to pour in.
But it’s not the windows or the antique Wedgewood stove that draws such a hefty price tag – it’s the neighbourhood.
The 128 Middlefield Road location is 20-minutes from the Google headquarters, and a stone’s throw away from Apple, Facebook, Yahoo, HP and many other of the world’s tech companies that call Silicon Valley home.
After the largest six-month increase in history, according to real estate agency Paragon, the average San Francisco home in the city limits now costs US$1.62 million (AUS$2.24 million).
It’s no surprise that even a tiny place in the centre of the tech haven is so expensive. If you can believe it, the house is actually priced below the average for Palo Alto.
Tiny ‘micro’ apartments have become all the rage for people looking to live in big cities with lower costs. Recently, a block of 80sqm apartments in Perth sold for about US$217,000 (AUS$300,000).
It is common for apartments to be as small as 7sqm in London, 12sqm in Paris, and a 30sqm apartment in New York would be considered on the larger side.
All of these sound like mansions compared to Tokyo’s ‘coffin apartments’, which cost US$724 (AUS$1000) a month and offer 2.4sqm of space.
Perhaps coffin apartments will make their way to Silicon Valley next. Though, with the skyrocketing housing prices and high-demand, it wouldn’t surprise me if even they sold fold over a million dollars.