6024

Cashing in on Proximity to South Harriet Park;
Targeting “In-Between” Edina Home Buyers

“Ar·bi·trage” \ˈär-bÉ™-ËŒtrazh\ [noun]:  the practice of buying something in one place and selling it almost immediately in another place where it is worth more.

–Merriam-Webster Dictionary

It may not be the conventional definition of “arbitrage,” but something a bit like that is currently happening adjacent to Edina’s very hot South Harriet Park neighborhood.

After years of price run-ups there, tear-downs (bare land!) now command $600k-$800k, with new construction fetching up to $2.5 million.

6024 KitchenMeanwhile, just blocks to the south, the dated, mostly ’50’s and ’60’s housing stock sells for substantially less:  between mid-$300’s and mid- $400’s.

Make that, “dated housing on huge, .25 acre lots.”

The obvious developer play?

Build new homes that target “in-between Buyers”:  specifically, those priced out of South Harriet Park new construction (starting at $1.5M), but who still want the open floor plans, high-end Kitchens and other amenities typical of new homes — all in a convenient, East Edina location.

Introducing:  6024 St. Johns Avenue

Voila! 

Behold 6024 St. Johns Ave. — Regal Homes’ gorgeous new construction with 5 BR’s, 4 Baths, an open floor plan, over 4,000 finished square feet, and a 3-car garage (see, “modern amenities”).

The home’s exterior and Kitchen are shown at top and above, respectively.

List price is $935k; the Seller is represented by Edina Realty’s Cristina Young.

Added bonus:  local favorite Snuffy’s, a hamburger joint just down the street.

See also, “Buyer’s Agent: ‘Need a Lot/Teardown Up to $900k in East Edina’“; “What’s Selling . . . East Edina“; “Tear-Down Economics“; “Tear-Down Prototypes“; “Tear-Down Economics, Circa 2012”; and “You Know It’s a Tear-Down When . . .” 

About the author

Ross Kaplan has 19+ years experience selling real estate all over the Twin Cities. He is also a 12-time consecutive "Super Real Estate Agent," as determined by Mpls. - St. Paul Magazine and Twin Cities Business Magazine. Prior to becoming a Realtor, Ross was an attorney (corporate law), CPA, and entrepreneur. He holds an economics degree from Stanford.

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