Market Overview

"Party House" Marketing Scheme Could Get Tossed by City Council


Tobias Nergarden comments on news in the Los Angeles Times that the Santa Monica City Council could decide Tuesday to pass an ordinance aimed at stopping a “party house” on La Mesa Drive.

Los Angeles, CA (PRWEB) October 30, 2012

REMI's Mr. Nergarden issued his statement about news in the LA Times that a Santa Monica home on La Mesa Drive being used and marketed for large parties will go under review by the City Council and could be ordered to stop hosting parties; Mr. Nergarden said that it could be good for the real estate market in the area, because the increased livability in the area could help grow the demand for and value of properties in the area.

The La Mesa Drive-area home is a 10,000-square-foot manor adjacent to a golf course. Its owner, a Santa Monica designer, has refurbished and repurposed it as an advertised “party house.” He even founded a small marketing company, House of Rock LLC, solely dedicated to marketing and advertising the estate. The house has hosted hundreds of guests since its opening in September. Most of these events are either charity events or are termed “open houses” to market the home for sale.

The property's neighbors are less than enthusiastic about this innovative marketing scheme, though. Residents nearby have lodged extensive formal complaints, all related to the raucous parties taking place in the flipped property. These complaints include noise, light, and traffic congestion complaints, in addition to disturbance and safety complaints.

In response, the Santa Monica City Council will meet on Tuesday and may pass an emergency ordinance banning single-family homes from hosting gatherings on the scale of the House of Rock's events. The ordinance would prohibit owners of vacation rentals San Diego from hosting more than 150 people at a time for the purposes of an open house or home exhibition. A violation could entail a $1,000 fine, six months in jail, or both.

The property owners, Greg Briles and Elaine Culotti, purchased the estate in October of 2010 and got to work redesigning it. The real estate marketing plan home now has extensive modifications and upgrades, including microphone panels and fiberoptic capabilities in many rooms and an added professional recording studio. The home's current value is estimated at $20 million.

There seems to be little resistance to the proposed ordinance. The little community resistance has mainly been in response to the language of the ordinance, which some residents are worried could be used to limit smaller gatherings, like bar mitzvahs or political fundraisers. The lawyer for the homeowners, Benjamin M. Reznik, is defending the home based on the First Amendment right to free association.

Tobias Nergarden commented on a proposed Santa Monica City Council ordinance that would halt activities at a Santa Monica “party house.” The property, nicknamed the “House of Rock,” is a privately-owned, 10,000-square-foot estate that has been redesigned and is currently being used as a venue for giant parties and charity fundraisers, to the chagrin of neighbors in the vicinity.

About the Real Estate Marketing Insider: REMI is an online journal that provides hot tips, breaking news, and marketing strategies to real estate professionals. The journal is based out of La Jolla, CA.

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