It's a sign of the times. A one-acre lot in Atherton recently sold for $10.5 million to builders who say they plan to replace the 1950s ranch-style home on the property with a "spec" house and list it for $27 million.
Realtor Matt Skrabo, who grew up in Portola Valley and is the third generation in his family to go into real estate, said he represented buyers Bob and Shawn Owen of Owen Signature Homes in the sale. The sale was "off-market," meaning the property had not been listed for sale. Mr. Skrabo lives in Palo Alto and works for Keller Williams Realty in Palo Alto and Menlo Park.
The new home, Mr. Skrabo said, will have seven bedrooms with eight full bathrooms and two half-bathrooms on three levels totaling 13,000 square feet. There will be a full basement with bar, wine cellar, exercise room, movie theater and game room. A private master suite with a lounge, chef's kitchen, a bocce ball court, guest house, swimming pool, full outdoor kitchen and fire pit are also planned.
He said the Owens are willing to sell the home before it's built and customize some of the finishes to please the new buyer.
"When we were looking at this deal, we strictly focused on the land value for the acquisition and a projected resale price that we felt is achievable," Mr. Skrabo said. Looking at the multiple listing service data on trends and past sales, and at active listings with adjustments based on the street and location, helped make the decision, he said.