Some land on Potrero Hill with an uninhabitable shack on it has just sold for well under its initial asking price of $2.5 million.

SFist noted the property at 863 Carolina Street hitting the market last May. And while some headlines blared that this actually collapsing shack was selling for over $2 million, there was more to the underlying story. The owner of the property had figured out that the shack could be demolished — it had no historic value — and they went to the trouble of getting entitlements for a four-story, two-unit building of 4,451 square feet with some pretty choice views. That alone, in a city where planning processes can take many years, is worth some money.

Now, as KPIX reports, the property has just sold for under $2 million — $1.975 million. And the shack is likely to disappear right quick.

Realtor Anne Laury of Coldwell Banker Global Luxury was the listing agent.

Redfin says the 1907-built home clocked in at 640 square feet, but the previous owner determined that it was not, in fact, one of the earthquake cottages from 1906, which preservationists then might have wanted to salvage. It sits on a 2,495 square feet, and the taxable value of the land alone is $1,066,930.