There are a few locations in the area that, if available, would tempt me to give up the ranchero and move on into something really signature.  Odd numbered addresses on Marsh or Palisade are on the bluff above the Truckee River, and anything there certainly whets my appetite.  So when 1475 Palisade hit the market in January for $479,500 (MLS 80001173) I had to check it out.

The owner bought it in December 2004 for $615,000, using 80/20 financing and the $492,000 first loan was interest only for 2 years.  Previous purchase price was $396,000 in January 03, so the owner didn’t get a "deal", but it wasn’t totally out of line with the run-up going on at the time.  And the run up seemed to keep on going (and going), So the owner decided to take on a little remodeling project….

The house was gutted down to the studs in mid 2006 with permits (permit value of about $110,000, so figure a construction cost of at least double that), all the interior improvements got started, the new entry got framed, the exterior siding was removed, new windows installed, and the lathe for the new cement plaster was installed.  And then a great silence.  The money ran out.  And the house has been sitting there exposed to two winters with only Tyvek and chicken wire for protection.  I’m not certain, but I think the house is still being occupied, with a futon here, a refrigerator over there where there is a live outlet, and maybe a toilet somewhere that still works, based on my nose to the window inspection.

Notice of Default was filed 30 January 2008.  Can you imagine what the bank’s loss mitigation officer will be feeling when they see what their collateral has become?  No friggin’ chance of the proposed short sale happening on this one.  Another case of "what was the agent thinking taking the listing?’.

I suspect that there are a lot more of these decor-flips out there in trouble.  This one is just extreme.

So Allen Murray, can this house be saved?  $250,000 offer after foreclosure?

I received an email from the developers of Arterra yesterday stating: “After listening to our prospective buyers and reviewing current market conditions, our team has concluded that the residential concept we had originally planned for the intersection of Sierra + Liberty is no longer appropriate for the site or the current housing needs of the community."

The developers, Capstone Partners, have a new concept for the site and will provide additional details when they are ready to proceed.  In the interim, interested parties are invited to visit "…one of Capstone Partners’ quality residential projects nearby, which was completed this summer - The Village at Idlewild Park".

Do you remember my post a couple months ago regarding Zachary Mannheimer?  Zack was the fellow who left NYC on an eight-week road-trip, traveling to 22 cities around the US and interviewing 47 theatre companies on a mission to identify the location of his new home and theatre company.  Last I posted, Zachary had narrowed down his ultimate destination to either Reno, NV or Des Moines, IA.  Well, after much deliberation, Zack chose Des Moines.

What does this have to do with Reno Real Estate?  Probably not much, but if you found Zack’s take on Reno interesting, then you may find his new blog entertaining.  He’s been in Des Moines about a month now and has been chronicling his adventures there.  Last I checked he was looking to buy a building in which to run his theatre company.

The blogger meet up was a small but enjoyable affair.  Diane and I were pleased to meet Ryan Jerz (Ryan Jerz’s Blog) in person.  And I was happy to finally meet, in person, our guest contributor Mike McGonagle (a.k.a GreenNV, Jaded, et al).  Also in attendance were past contributors Angie DiMauro and Miss Trudi. 

All shared informative and entertaining blogging tales and we all agreed to organize another local blogger meet-up soon.

Diane Cohn          Angie DiMauro         Guy Johnson         Miss Trudi          

Ryan Jerz           Mike McGonagle          Mike, Diane, Guy and Ryan

I realize this is short notice but the Montage is hosting a cocktail party this evening from 4PM-7PM.  Cocktails, munchies, live music and raffle prizes.  No RSVP required.  And for the dog owners out there, they’ll be holding a doggie open house Saturday and Sunday. Free goodie bag to all dogs.  See the details below (click to enlarge).

Props to Downtown Makeover Mike for bringing to my attention these most excellent posts regarding Reno.  Zack Mannheimer’s (a Brooklyn New Yorker) impressions of Reno are as enlightening as they are refreshing.  His posts really are worth a read.  (note: link found below) 

On June 1st Zack Mannheimer left his home in Brooklyn, New York to embark on a 10-week, cross-country road trip to visit smaller cities across Middle America in order to discover his new home.  One of his goals once he finds his destination: “…to open a theatre and a restaurant that practices and executes a socialistic nature.”

Seven years ago Mannheimer founded the Subjective Theatre Company in Brooklyn, NY where he produces socially conscious, political theatre free of charge.  His latest mission: “…let’s take our ideas to people who have never heard of them before, and let’s listen to their ideas since we haven’t heard of them. The goal here is to learn from people in other places as much as they can learn from us.”

But where to go?  In his quest for an answer, Mannheimer set off to visit more than two dozen cities across the country.  His criteria:
*  Population of 100,000 - 350,000
*  A population who leans more right than left
*  A place where there is little to no major theatre or culinary scene
*  Inexpensive real-estate

And, yes, Reno was included in his search. 

On the blog chronicling his odyssey, Mannheimer states:  “Once I decide on my destination, I will move there this autumn and seek to acquire a building where I can open a Spanish Tapas and Wine restaurant as well as a fully functional theatre that is programmed as close to 24/7 as possible…”

Furthermore, Mannheimer adds, “I also plan to run for city council. I want to take an active role in the community that I live in, and create new ones. And I feel this is only achievable by living and creating in a place where the majority of those whom I surround myself with do not agree with me. I seek real discourse and discussion, and I feel one of the greatest ways to do this is by using live performance and food and drink as catalysts. I have done this in NYC for several years. Now it is time to test it out in more unfamiliar surroundings.”

To read what Mannheimer thought of his three days in Reno, check out Zack Mannheimer’s Survey of the American Theatre Landscape.  [Once on the home page, click on the US map over Reno to access his three Reno posts.]  As Downtown Makeover Mike commented, “His three posts about Reno are downright amazing. Perfect example of ‘what lies beneath’ the surface of Reno.”  I agree.

Here are a few quotes gleaned from Mannheimer’s posts…

“ ‘Reno is a place where if you are a pioneer, you can make things happen rather easily…’”

“This…has given me great hope to move to Reno, of all places - Reno!”

“I really don’t think I’ll find anything better than Reno or Des Moines…”

Condo owners at the Village at Idlewild were surprised to learn that the developer of the project is planning on converting half of the buildings to luxury apartments for rent.  In a letter sent to homeowners last week, Chris Nelson of Capstone Partners, LLC, explained that recent sales have not met original projections. “We anticipated sales in the range of 12 – 15 units per month at that time. Since January of this year, the current pace of sales has been about 4 sales per month,” wrote Nelson.

The six unreleased buildings include 108 units just finishing construction.  The original development plan called for 216 condominium units.  The letter went on to say that the new strategy is to maintain an aggressive sales and marketing approach for current released buildings, and concurrently begin leasing the units in the remaining six buildings as soon as possible.

A meeting has been scheduled for June 27 at 5:30PM at the Village Lodge to discuss with the homeowners the decision to rent the remaining units.

This weekend my husband and I went to see Ocean’s Thirteen at our favorite theater, the Century 21 downtown. It was a quick drive from Somersett, we parked for free in the garage across the street, and afterward we hopped over to the Chocolate Bar for appetizers and dessert.

Two weeks before, we took the kids downtown to see Pirates of the Caribbean, hit the Silver Peak Brewery right before and did the Riverwalk right after to see the kayaks in action. No lines, no real traffic, no fighting for parking spaces… all-in-all an easy, pleasurable, family outing.

Saturday I noticed that the Starbucks in the Palladio was open. Where Starbucks goes, redevelopment soon follows… I have seen this time and time again. Soon we’ll be checking out Divine and 210 North. We already love Se7en, Java Jungle and Beaujolais. There is so much happening downtown, this is only the beginning. And though it may have taken more than a generation to get to this point, the momentum is there, and Reno is poised for rebirth.

Tim Ruffin over at Colliers International wrote a guest column a few weeks ago for the Northern Nevada Business Weekly stating that he was a downtown believer… well, I’m a believer, too. commercial outlook

According to the RGJ some residents should receive the keys to their units by June 15th.  Read.  The article went on to report that five of the eight residential floors have been completed and the other floors and lobby should be completed within 10 days.   68 of the 92 units (74%) have been sold, and the Starbucks is already open.  The Palladio will be the first condominium tower to be completed downtown that isn’t a conversion of an older hotel-casino.

Today Diane and I attended a luncheon and presentation hosted by the Reno Tahoe Chapter of the American Marketing Association.  The presentation was titled “’Extreme Make-Over’: Reno Downtown Edition” and featured guest speakers Charles McNeely, Reno’s City Manager, and Chris Nelson, Principal and Co-Founder of Capstone Partners, LLC.  Capstone Partners is the entity responsible for developing The Village at Idlewild Park, and most recently, Arterra. 

Mr. McNeely, who has served as Reno City Manager since 1996, was first on the agenda.  He began his presentation by asking the audience how many of them have moved to Reno within the last 15 years.  Over half the audience (of 150) raised their hands.  His point was well taken.  Reno has been and is undergoing tremendous growth. And it is this growth that makes long-range as well as short-range city planning absolutely imperative.

Mr. McNeely said that the city’s goal is to make Reno the “most livable city in Nevada” – all of Nevada, not just Northern Nevada.  He went on to define ‘most livable city’ as the cultural/commercial/art and entertainment center of Nevada.  And Downtown Reno is the focus of the city’s efforts to achieve this goal.

The following points are from Mr. McNeely’s presentation:

The city owns two miles of property along the ReTRAC Corridor and is creating a plan to develop the corridor with a mix of new retail and residential opportunities.  However the city wants to ensure consistent development according to a long range plan, and not a “hodgepodge” of new construction.

The City Council has approved $2 Million a year to be spent on downtown beautification. Downtown beautification includes changing building facades and signage; installing new street and sidewalk lighting; and planting trees.

The next public space to undergo substantial changes is 10 N. Virginia, where the ice rink is located.  Plans include: a canopy over the ice rink to keep the ice from melting during season and also to provide shade for summer events; and a restaurant to be added.

Speaking of restaurants, a new restaurant, called the Wind River Grille, is going in the space formerly occupied by EJs Jazz Cafe.

The city has a few priority projects including: The Freighthouse, the Pioneer site, the Pavillion, the Onslow block.  [Perhaps Diane can provide additional info on these.]

Also planned is beautifying the gateway to UNR.

Following the City Manager’s presentation, Chris Nelson from Capstone Partners, LLC spoke.  Mr. Nelson was on the agenda to answer the question why would a Portland based developer buy the old Porsche building, a former drinking water treatment plant next to Idlewild Park and build Arterra in downtown Reno.

The following are some of the reasons he gave:
• Strong population growth – Reno has grown 3% annually over the past several years; 3.5% in 2005 (the last year with available data).
• Strong employment growth – Reno has some of the strongest employment levels in the country.
• Quality of life – Lake Tahoe, world class golf, culture
• Diversified economy – no longer casino dominated; no longer exclusively tourism-based
• Tax climate – for business “as good as it gets”
• Excellent University
• Great Weather – 300+ days of sunshine annually
• Improving mix of retail and services – Reno’s trade area is growing; as such we’ll see more higher-end retailers moving in.
• Good housing base and mix

In addressing “why Downtown specifically”, Mr. Nelson noted the following:
• city of Reno’s commitment to and investment in downtown development
• the amount of private investment
• supportive political climate – the pro-development stance of the city is a huge positive.
• strong marketing campaign - nationwide
• Nevada Museum of Art – one downtown’s greatest asset
• number of new retail, restaurant and entertainment businesses
• commercial rents are up 15%
• commercial vacancies are down

In listening to Mr. Nelson’s presentation it was apparent he sincerely believes in Reno and downtown’s long term viability.

By the way, the Arterra models should be completed in July.