Cash to Spend: IPO Wealth and House Prices

Tech
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Landlords should buy condos and townhomes within walking distance. Rent them to the single google employees.

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Condos and townhouses too :slight_smile: In South Bay, normally we rent to family with kids :slight_smile: Singles are rare, may be for Google in MV, there are plenty.

Profile of prospective tenants for condos/ townhouses
Role: ICs to Managers
Marriage status: Singles or DINKs

Profile of prospective tenants for SFHs
Role: ICs to Senior Mgrs
Marriage status: Family with 1-2 kids

Note: Directors to CEOs of smaller companies do rent SFHs :slight_smile:

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Thanks @cloud for the detailed answer.

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No love for Evergreen? It’s closer to downtown than Cambrian I think?? :cry:

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Evergreen is Too far stuck out and enclosed y bad Neigjbourhoods and no entertainmentor good downtown to stroll by in close prbixomiy .

Compare it to Cambrian . Campbell down town is 2 miles ( cambbel
Is bad schools ) , LG downtown js down 5 miles and Santana row is total 3.5 miles on Winchester Blvd going up .

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Sorry for so many typos guys :slight_smile: I know you can make sense . Driving and Posting on internet is a bad combination

Anyhow , Google keeps buying San Jose

Google widens downtown San Jose transit village purchases

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AFAIK, San Jose mayor/ city council is courting tech companies to expand there. Guess they offer good stuffs. Apple and Google have been buying up land parcels in San Jose. Just land grab, may not have a firm plan.

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Together, Lyft’s Employees Could Buy Every Single Home for Sale in San Francisco With Their IPO Cash

With the wealth created through Lyft’s upcoming IPO, current and former employees of the ridehailing business could purchase every single home listed for sale in the company’s hometown of San Francisco in cash—and still have $100 million left over.

Based on a public offering price of $65 per share, the midpoint of the range Lyft set on Monday, current and former employees hold $1.397 billion worth of stock in the company. For the following analysis, we calculated how much Bay Area real estate that money could hypothetically buy based on list prices of homes for sale as of March 19, 2019 and assuming buyers pay all cash.

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30

But they won’t be buying in city . All those people are coming here PA/MV/LA/MP

I already know one Russian couple in thier 20’s …netted 7M+ From city and have a bought a new construction ( 3 years old ) house in MV

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Don’t buy LYFT! Employees are selling!

1 Like
33

They are all wrong . Most of these employees will look for a change to commute to SF via Caltrain 30-40
Minutes but would want to live in a nicer lot , bigger house

They are all Coming here

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No employee (or any early investors) can sell now, they have lock for 180 days from IPO date.

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This is what I have been telling since the beginning that bay area real estate is highly depended on stock economy.

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@manch The title is wrong. Should be what realtors thought might be the impact.

38

We have two sides to this debate. Need to see data, maybe around September timeframe to account for lock up period. But it may be hard to tease out what is the impact of lower rate vs massive IPO’s.

39

Just compare year to year.

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Let’s revisit this in 2 years. It’s going to play out over time.

In 1999 and 2000, how was the IPO impact? Today’s IPO is comparable to that period.