Tag: Manhattan

Monday Market Video: Average Manhattan Home Now Costs $2M

Alexis Christophorous Interviews Jonathan Miller on Manhattan’s Luxury Market & Foreign Buyers

Last week major real estate firms in Manhattan issued their Q1 2016 Manhattan Market Reports. According to the reports, the average Manhattan home now costs $2 million. The reports also reveal some interesting insights into foreign buyer trends and the larger real estate market.

When speaking to clients in the last few months, these questions have come up repeatedly Read more…

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New York Luxury Real Estate Update | From “Versailles” to Jeff Koons’ New Studio

New York Luxury Real Estate Update |  From “Versailles” to Jeff Koons’ New Studio The High Line District has transformed in 1 year | Photo from Sept 28, 2014 by Tony Sargent

As all New Yorkers know, if you’re not moving forward, you’re behind, and real estate is no exception. Summer saw some of the island’s most influential denizens make real estate moves and news in keeping with the city’s exhilarating pace.

Some noted developments:

Alert to all aspiring Upper East Side trophy property holders and investors: there was a drop in the asking price for the “Versailles in Manhattan” and the listing moved over to Compass. Kenneth D. Laub’s spectacular East 64th Street townhome, dubbed “Versailles in Manhattan” for its rococo Louis XIV layout and interiors can now be yours for a cool $25 million. Over on Fifth Avenue Read more…

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Chinese Buyers Purchase $28.6 Billion in US Property, Find Safe Haven in New York Real Estate

Chinese Buyers Purchase $28.6 Billion in US Property, Find Safe Haven in New York Real Estate

This summer, a luxury family home in Scarsdale, NY sold for $1.75 million. On the surface, such a sale is hardly remarkable. In fact, perhaps the most unremarkable part of the sale is that the buyer’s Chinese nationality drew little attention. Even a year or two ago, the sale of a non-Manhattan luxury home to a foreign investor would have been unusual. Today, it’s increasingly commonplace. The Shanghai-based investor who purchased the Scarsdale home (and immediately rented it out to a local family) is one of hundreds of Chinese investors who are increasingly investing in real estate not just in Manhattan, but also in New York’s boroughs and suburbs.

In the last year, Chinese buyers have replaced Russian buyers as the primary real estate buyers in New York– and this trend is expected to continue throughout 2015. Given current international market fluctuations and Russia’s continued economic struggles, this news may come as little surprise to many of you.

Since last year, Ukrainian turmoil, economic sanctions against Russia and a progressively worsening economy have slowed down Russian purchases in New York real estate, said Marlen Kruzhkov, an attorney with Gusrae Kaplan Nusbaum who advises many investors from former Soviet Union countries.

Chinese buyers, on the other hand, are eagerly pulling savings from their home country and investing overseas, and New York real estate has been a prime target for these investments. The recent stock market crash, including the late August drop of 8.46% in a single day for the Chinese exchange – capping off a 32% drop between June and July, according to Bloomberg data – has only enhanced the trend.

In the year ending in March 2015, for the first time, Chinese buyers exceeded all other buyers in terms of unit purchases and dollar volume, purchasing $28.6 billion worth of U.S. property, according to National Association of Realtors. In particular, they have been finding their safe heaven in New York real estate.

“New York is an international market. They feel that the market is very transparent, very conservative and they feel very comfortable in coming to the U.S. and to buy real estate in New York,” said Emily Zhu, director of marketing for Advantage America EB-5 Group, who works with many Chinese developers and investors in the U.S.

As the Scarsdale purchase reflects, Manhattan is no longer the only target for foreign investors, who have been seeking better prices and yields in the other boroughs. “A lot of Chinese buyers are starting to accept places others than Manhattan,” Ms. Zhu said.

For instance, Chinese developer New Empire Real Estate (NERE) is currently building on Park Slope’s Fourth Avenue and “there are a float of Chinese buyers that buy even before the development is constructed; there are a lot of pre-sales,” said Ms. Zhu, who represents the developer.

After the stock market turmoil, “some Chinese investors will want even more to diversify their assets in order to own something that is tangible rather that intangible,” Ms. Zhu said.

Things have changed for Russian buyers. “The economy is contracting terribly and the situation is getting progressively worse,” said Mr. Kruzhkov. As a result, he added, “The nature of purchasers has changed. There are less people buying.”

In particular, small and medium-sized Russian investors seem to have disappeared altogether from the New York City real estate market.

Only the wealthiest are still around, but they have changed their targets.

“In the last 6 months, they have been investing in different things, they are not necessarily buying apartments. They are investing more in development projects or pre-existing income producing buildings, more commercial or mixed-use,” properties said Mr. Kruzhkov.

For example, one of his Russian clients recently sold a Manhattan apartment for almost $25 million. He immediately re-invested in a development project.

A major flow of foreign capital into New York’s development market – especially as Chinese markets continue to cool – is a trend to watch in the coming months.

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New York Fridays: The People & Places That “Keep It Real”

While we all love luxury real estate and New York’s high-end stores and restaurants and many of us are fortunate to experience this luxury level of living, each day as we wake, go to work, have fun, watch a show, there are 8 million other people in this great city of ours who are “Keeping it Real”.  Like all of us, they go about their days doing their job and making a difference.

Every week I have the fortune of going in and out of luxury homes and buildings. In between I may be in my Uber or a Taxi or if traffic is a bear, the subway. When I pause to look up from my phone, there are people everywhere – from all nations and cultures around me.

It is the people of New York which makes New York so amazing and gives it its unique energy and style.  People come here many times for a new life. With hope from all walks of life and all nations they come here – we come here to make a difference. It’s what inspires me each day – if I can make a positive difference in my clients’ lives and help them realize their real estate dreams, then I can feel I was able to give them the gift of moving into the next chapter of their lives smoothly, and with confidence.

New York inspires me every day to be better, to grow and to give back. So here’s my debut of New York Fridays – A tribute to this great city, its people and places. It may be a moment to share a photo, a video, a story of someone I’ve met that week.  Or perhaps you may want to share your photo or story? This 2 minute video clip made me smile with joy – for it reminded me of how I fell in love with New York in 1985, on a visit from college to the city for an interview. As I walked out of Grand Central the buzz of the city and its people caught me by surprise. I never  looked back. I hope this video will make you smile and fill your Friday with joy. It has mine.

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Macy’s 4th Of July, 2014 Fireworks – Where To Watch in New York

Macy’s 4th Of July, 2014 Fireworks – Where To Watch in New York Top Left to Right Clockwise - Images Courtesy of Macy's | New York Harbor Photo by Tony Sargent

Happy Fourth of July New York! This year marks the first time in five years that Macy’s July 4, 2014 fireworks show will return to the East River from the Hudson River side.  It will therefore be visible from many points with open views of the lower East River in Manhattan, Brooklyn and parts of Queens. Read more…

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The Ten Most Expensive Manhattan Condominiums For Sale

The Ten Most Expensive Manhattan Condominiums For Sale View from 80 Columbus Circle (Time Warner Building) Apt 77B - Exclusive Courtesy of Brown Harris Stevens

With 78 Active luxury condominium and Penthouse listings priced at or above $20 million in Manhattan as of March 18th, 2014 I wanted to explore and share New York’s Top 10 Active Sales by price. All of the top 10 are either on or near Central Park. The highest asking price is $100 million with lowest of the top 10 being priced at $60 million. As a reference point, in 2008 when the market crashed, $43 million was about the highest price being paid for New York’s top properties.  Today Read more…

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Apartment Buying Tips: How Did I Know I’d Found My New York Dream Home?

Apartment Buying Tips: How Did I Know I’d Found My New York Dream Home? November sunrise over the West Village | Photo by Tony Sargent (C) 2013

This morning I awoke to this spectacular dawn. The opportunity to experience nature as art in our city of steel and concrete is unique and why a New York view costs more.

Ten years ago, buying my first apartment in New York I looked for three months. When I first started looking, the dream apartment I hoped for was bigger and less expensive than the reality turned out to be. Maintenance would be lower. Then I started looking. Read more…

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Monday Market Video: Average Manhattan Home Now Costs $2M

Posted on April 4, 2016

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