The Real Deal New York

Multifamily sales surpass $1 billion in May

New York City multifamily sales have year-over-year gains for third consecutive month

July 13, 2015 04:15PM
By Kyna Doles

Ariel Property Advisors

(credit: Ariel Property Advisors)

New York City multifamily sales totaled $1.1 billion in May and had year-over-year gains for the third consecutive month.

Building volume rates fell 8 percent from the prior month to 106 properties, but dollar volume was up 40 percent from May and 62 percent year-over-year.

Manhattan again led by dollar volume with $400.2 million in sales from 21 buildings. The area accounted for 36 percent of the city’s overall sales. Akelius Real Estate Management had the area’s most expensive purchase in May. The Swedish investment firm paid $167.5 million for a 199-unit rental building at 301 21st Street, also known as 362-372 Second Avenue.

Northern Manhattan saw 17 sales, a 45 percent year-over-year decline. Sales grossed $174.3 million, a 31 percent increase year-over-year and an 11 percent rise from April.

Citywide, the biggest deal recorded in May took place in Brooklyn. TIAA-CREF purchased a residential building at 236 North 10th Street in Williamsburg for $169 million –– $699 per square foot. The borough had 39 buildings trade in 23 transactions, totaling $364 million. Dollar volume rose 74 percent from April and spiked 142 percent year-over-year.

Multifamily sales were about par for the course in Queens in May, with 11 buildings trading across six transactions. The $27.5 million sale of 43-31 45th Street accounted for most of the borough’s $49.2 million in total dollar volume. JRC Management picked up the 94-unit Sunnyside rental building from BRG Management.

Despite decreases across the board from last month, sales in the Bronx have held up well year-over-year. Sales grossed $160.2 million in May, a 137 percent increase year-over-year. The borough had 18 building sales from 15 transactions, including a 278-unit mixed-use building at 1749 Grand Concourse which Azure Partners acquired for $49.5 million.