New York City multi-family transaction volume increased 26 percent year-over-year in the third quarter, according to a report by Ariel Property Advisors.
There were 163 multi-family deals made in the third quarter compared to just 129 in the third quarter of 2011, but, due to a large number of mid-sized transactions, dollar volume dropped 23 percent from $1.79 billion to $1.38 billion. Compared to the second quarter of 2012, transaction volume was up 4 percent, while dollar volume was up 1 percent.
“Multifamily properties continued to trade at a robust pace in the third quarter,” said Shimon Shkury, president of Ariel Property Advisors. “All eyes now turn to the fourth quarter as we expect the uncertainty about the 2013 tax environment to drive a significant increase in sales by the end of the year.”
Manhattan led the way in transaction volume in the third quarter, showing a marked increase in transaction and building volume over the second quarter of 2012. There were 52 sales totaling $815 million in the third quarter compared to just 42 sales totaling $687.45 million in the second quarter. The third quarter paled in comparison however to the third quarter of 2011, which saw 47 sales totaling $1.44 billion in Manhattan. — Katherine Clarke