This hut costs $ 2.5 million

There’s a derelict cabin for sale in San Francisco for $ 2.5 million. In the tech metropolis, it is becoming increasingly difficult to find affordable housing. This is also due to those who are already there.

Aerial view of the uninhabitable cabin for sale in San Francisco for $ 2.5 million.

IA derelict, uninhabitable cabin is for sale in San Francisco. If you are interested in the shack, you have to dig deep into your pocket: The Coldwell Banker real estate agency is asking for 2.5 million dollars (2.2 million euros) for the property in the Potrero Hill district. This means that the price is even well above the median value of houses in the Californian city. That is 1.38 million dollars, reports the website “SFGate”. Broker Anne Laury praises the offer as “a unique opportunity to see the next chapter” in San Francisco history.

However, the reason for the high price is not likely to be the building fabric. Because the purchase also includes the permit to demolish the hut and build a new building that may tower above the neighborhood by one floor.

This is a rarity in San Francisco. The city is bursting at the seams, house prices have exploded in recent years, also because the tech industry in nearby Silicon Valley is booming. But one looks in vain for large new construction projects in San Francisco. One reason for this is a phenomenon known in America as “NIMBY”. NIMBY stands for “not in my backyard”, not in my backyard. Many city dwellers do not want their neighborhoods to be more densely populated. They are resisting profound changes in the cityscape that might lower the value of their own properties, but would help to take the pressure off the housing market.

The brokerage company advertises the purchase of the property as aPhoto gallery
Expensive property: This cabin is on sale for $ 2.5 million

This phenomenon is particularly common in San Francisco. The city has very strict rules for building permits, which prevent new houses from being more than 12 meters high or casting their shadow on a park, for example. Many small buildings in a central location are also listed and may not be demolished, although the space is urgently needed. The aim is to preserve the character of the city – but only tech millionaires can still afford to live there.

That is why San Francisco is growing very slowly for an economic metropolis, although there is an economic incentive to build more apartments in view of rising rents and house prices. About 880,000 people lived in San Francisco last year. In 1950 there were already 780,000. For years, even more people have moved away from San Francisco than have come in. Even so, homelessness rose 17 percent in the past two years alone.