Seaside Pacifica lot drops price to $3.8 million

When it comes to oceanfront property, there’s a certain assumption that buyers are paying for the views as much as the home. In the case of 4000 Palmetto Avenue in Pacifica, it’s a given since the view is, well, pretty much all there is.

This hilly cliffside lot, down the block from Pacifica’s Mussel Rock Park, is now listed for $3.8 million, after knocking half a million off its price since last November.

“The land is zoned for up to nine units per acre and offers over 1,000 feet of direct Pacific Ocean frontage,” according to realtor Michael Keane-Stack. Deep-pocketed buyer could create dozens of new homes here—or maybe just a few particularly huge and pricey ones.

As for what could go here, there’s been talk about a hotel. In a still-extant 2012 sales video, realtor Steve Hyman pitched 4000 Palmetto as a potentially lucrative site for a seaside hotel, apparently without any takers.

Given the amount of cash needed to build up multiple new units on a fairly remote peninsula lot, it’s not surprising that the land should still be vacant, as that kind of scratch just doesn’t come along every day.

However, the fact that Pacifica’s coastline is constantly falling into the sea these days probably doesn’t help. Recent storms have caused erosion along the coastline, which could explain the price drop.

Still, even modest looking Pacifica homes on the coastline can list for up to $2 million, so the possibility of generating more lucrative seaside properties might yet tempt some investor into—pardon the term—taking the plunge.

• 4000 Palmetto Avenue [Vanguard SF]
• 4000 Palmetto, 2012 [YouTube]
• Cliff Collapse Worries Pacifica [KRON4]