REAL ESTATE | PATRICK BARBER
So you’ve lived in the neighborhood a long time. Yep, 48 years. I grew up on Clay Street not far from Fillmore. I went to Stuart Hall and St. Ignatius. It was quite a bit different than today. As parents, we’re so hard-wired to be worried about our children. In those days, there was a roll of nickels near where we kept the mail. We’d grab a nickel and walk up to Presidio to catch the 3-Jackson and go to school. It was a wonderful neighborhood to grow up in.
And you knew you wanted to come back after college? I went to UC San Diego, then moved back. I’ve been in real estate for 26 years. I started at TRI and was on the sales side for 9-plus years. Then I started Sotheby’s, their 11th office in the world, because I felt the local real estate companies weren’t offering clients enough marketing and reach. I was there for 12 years before we took Pacific Union back private and teamed up with Christie’s. I’m happy to have a local company with international reach.
What have you observed during three decades in the real estate market in this neighborhood? The old adage “location, location, location” has always held true and still holds true today. Houses in this neighborhood — Pacific Heights, Presidio Heights, Cow Hollow, the Marina — they’ve all held their values very well. Even in the face of adversity like the earthquake in ’89, most people held on through the rebuilding and reconstruction, and the values came back strong.
After the economic crash in ’08 there wasn’t a big decline. There certainly was a pullback and a slowdown. But it probably lasted only about 12 months in Pacific Heights. The way you make money in real estate is by holding it, not selling it. And many people in this neighborhood didn’t have to sell. We were fortunate. We also had interest rates trending down during that time.
The demand has been pretty constant. There’s been a lot of construction and reinvestment over the 26 years. People have sometimes invested well beyond what their home in the near term will ever be worth. They’re invested in building a place to live in one of the best neighborhoods in one of the best cities in the best country in the world. People often have built what they wanted, without concern for what price it would bring. It was intrinsic value they were building, not just an investment. We’ve seen that so many times, where people build beyond today’s property values. They’re doing it for themselves, particularly in this neighborhood.