The Real Deal New York

Multifamily investors can’t buy if there’s no supply

A drop in Manhattan multifamily sales reflects slide in inventory, not lack of interest from buyers

October 26, 2015 10:00AM
By Adam Warner

From left: David Schechtman and Marion Jones

From left: David Schechtman and Marion Jones

From the October issue: When the dollar volume of multifamily building sales in Manhattan dropped sharply this summer, some observers looked for political reasons. Was the decline the result of the passage of the Rent Act of 2015, which raised the threshold for deregulating an apartment to a monthly rent of $2,700 from $2,500? Or maybe it was the Rent Guidelines Board vote for a zero-percent increase on one-year lease renewals for rent-stabilized apartments?

Both issues are worrying to investors, as are fluctuations in the stock market. [more]