Correct. Right up the Peninsula from Sunnyvale in Palo Alto was this sale of $1.8 M for a condemned house.
http://sanfrancisco.cbslocal.com/2014/10/21/uninhabitable-palo-alto-home-on-market-for-1-8m/
My parents who live in Palo Alto were telling me about a one bedroom house, not a cute cottage, just a small crappy house, on the market nearby for 3M. It will be torn down of course.