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Developer Victor Mezhvinsky on how Facebook employees benefiting from the company’s IPO are helping the housing market in northern California.
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Will the -- FaceBook -- goes public nearly 13 of its employees will become millionaires.
That's almost.
Thousand new millionaires who all live in around Silicon Valley and local businesses are already looking for ways.
To profit from their success or -- Adam Shapiro is in Hillsborough California would -- -- out and are you seeing Ferrari dealerships popping up back at every block -- dollar getting stocked up at -- -- -- I mean people must be getting ready for some big time cast at -- spent.
You know I knew I was in a different economy when I passed a -- curve mas -- Roddy dealership in Palo Alto I Tesla dealership as well -- north of Palo Alto.
And then when I was invited to come show you this thirteen million dollar property in Hillsboro which is just north of Palo Alto and it's not even the most expensive property you could -- In this area but it sure is a lovely how.
So we talked about this we've talked about the -- -- in the toys the millionaires will buy wanna talk to you now about the development that's going on because the thousand millionaires from FaceBook as well as the previous million us from other IPOs.
Are spending their money and one person knows that very well is victim as -- -- Who joins me now he's a contractor and you have dealt with -- -- New millionaires now some of them Google for instance they've been around eight years they've been millionaires for eight years.
What kind of clients are you seeing and what are you hearing as of when gears up to spend this cash.
-- a lot of these guys ended up liquidating in the second market we've worked with VP of Dropbox who bought a home in Presidio heights.
And basically give us carte Blanche and he said I wanna make a great place to do what you guys think is gonna work.
We met with him my handful of times and basically took it from there ended up creating a space that he loves and brand quite a bit of money to get there.
It seems almost like a crazy market I'm gonna throw some statistics for the audience Palo Alto this is just Palo Alto.
Average sales price is just shy and just barely shy of two million dollars and that's just for our basic -- Things down there are selling on average 230000.
Dollars over list.
You're seeing this is this -- -- controllers this just because there's so much money that's chasing so many so few properties.
Especially the prime neighborhoods you see that there are not that many properties and there are so many people who wanna live on that particular block and they -- to renovate to their exact taste.
And so while some people are coming -- they want to buy today a lot of other people are coming in and paying.
Three million dollars for house they're gonna turn down and put another three and to get that feared that they want and that roof -- that they want it really customizing the space.
That you can't get off itself -- -- and give -- the last -- is your clients not to -- clients who asked how much they ask when can -- get it.
Before the FaceBook announcement where you seen activity take up -- what happened after the announcement.
Before the announcement I saw a lot of activity people are already talking about what that impact is going to be like I'd like to get in.
I've friends who bought condos thinking that they might even be able to flip them just based on the -- on the post IPO market.
And I think it's only gonna go -- from here.
It to thank you very much for joining us to -- sense if you.
At thirteen million and you want this property behind me.
The prices are already setting in this part of California records for 2012.
It sounds a lot like what we were talking about 2006 about you better buy now before prices continue to go up but thirteen million might be a bargain and six months should gonna -- Is Hillary typing up an email to get that address from -- out of a very you know problem is that when people are focused on furnishing -- thirteen million dollar house guess what they're not doing.
And not work gain.
That's I think the biggest risks to FaceBook -- didn't mince its new millionaire.
Those thousand millionaires may decide to go off Friday and they -- it is not going -- -- staying aspirin acted so some than a lot staff are great story and flat out.
