Do you know it as 201 Ocean Ave or as Ocean Towers or simply 201?

I am of course referring to the twin towers at the west end of San Vicente and Ocean Ave. Most people think of the units as apartments (for rent) or condos to buy, or rent, but the building is actually a co-op building in which you purchase shares of the cooperative, not the actual co-op unit.

You may have heard the stories of the years long nefarious dealings that have mired the building in a legal nightmare, which has been going on for as long as I can remember. The conversion to a co-op, construction lawsuits, repairs from the 94 Northridge earthquake which spanned many years, but now, the latest highlighted battle is explained in detail in this fascinating recent LA Times story.

Fun fact, my mother-in-law worked at the front desk at 201 for more than a dozen years from roughly 1980 to 1992.

In other news:

To all our Muslim colleagues and friends, a very happy Eid Ul Fitr, marking the end of Ramadan. 

Did you know:

* Yesterday's higher-than-anticipated inflation reading may be a temporary spike: the 0.9% month-over-month increase in the price of meat, poultry, fish and eggs, with the latter alone climbing 4.6% may not be an inflation issue, but instead reflects a current severe outbreak of avian flu, which has infected chickens as well as cows that may have skewed the inflation measure. Cal-Maine Foods, the largest egg producer in the US, had to kill 1.6 million chickens and halt production at a plant in Texas. The energy index’s 1.1% increase, with gasoline up 1.17%, has nothing to do with demand and everything to do with supply, a combination of the Middle East wars and the U.S.’s effort to stop Russian oil from hitting the market: these increases could be temporary. (CNBC)

* A wealthy client told me decades ago: "Never bet against the US!" While we are bombarded daily with negatives about our economy, we should be reminded that while our debt levels are unsustainable, and inflation remains sticky, we should also note:

- US GDP grew 2.5% in 2023, significantly outpacing other developed economies.

- Inflation in Canada is 3.9% and 5.9% in Germany. It's 3.5% in the US.

- The US labor market remains resilient.

- US equity markets are close to an all-time high.

- The dollar remains strong.  (CNBC)

* GOLF-flation? The demand for prestige golf club membership is growing, and so too are membership prices: The exclusive La Gorce Country Club in Miami Beach costs $700,000 to join, up from about $200,000 before the pandemic.....that's 250% inflation in 5 years!  More proof that the wealthiest are experiencing - and driving - some of the biggest inflation numbers by far.....and can afford it, especially those that have eliminated 5-12% in state and city taxes because of a move to a low or no-state tax state. That is tons more disposable income that enters the local economy and more proof that those selling to the wealthy - or anyone - who sees that their audience has more money to spend, simply raises prices. That's the free market! (FT)

And now for some 90402 real estate news:

Right now there are 16 Active listings North of Montana Avenue.

They range from $3,999,000 to $22,500,000.

The newest active listing is 411 26th Street which is listed for $5,695,000. Last sold in February 2023 for $2,995,000. This flip took just over a year and the newly reconstructed contemporary home is about 3,300 sqft.  While it has a Santa Monica mailing address, it is actually located in the city of Los Angeles, which certainly helped the developer move quicker in their permit process than if it had been on the West side of 26th. 

There are seven listings in Escrow.

309 20th Street- Listed for $4,250,000. Sold with multiple offers but did not go as high as one might expect.

We re-sold 406 Alta Avenue after the first buyer flaked. The current buyer had a bit of difficulty obtaining homeowners insurance. The insurance crisis in California is real. Can you imagine getting turned down by Progressive, Gieco and others for a policy in the best part of Santa Monica? No real fire or flood danger at 406 Alta and yet it was not the lay-up that people expect.

211 17th Street- Listed for $6,850,000. Sold with multiple offers, over asking.

1608 Alta Street- Listed for $7,295,000. Sold with multiple offers, over asking. 

413 Ocean Avenue- Listed for $8,500,000.

222 14th Street- Listed for $4,99,9,888.

515 21st Street- Listed for $5,545,000.

441 Marguerita Avenue- Listed for $5,695,000.

There have been just three Sold in the last month-

728 26th Street- Sold for $3,266,000. Originally listed for $3,425,000.

311 15th Street- Sold for $3,756,228. Originally listed for $3,499,000.

740 25th Street- Sold for $4,950,000. Originally listed for $5,850,000.