Ambitious LIC condo development goes rental

UPDATED Mar 9, 10:58 a.m.: Initial reports suggested that units at the Madison in Long Island City, a new condominium development, were selling like hotcakes. Nevertheless, the building is now going rental.

Pre-construction sales launched at the 14-unit building last summer, and roughly 50 percent of the units quickly went into contract. At the time, pricing for the one- and two-bedroom “penthouse” units started at $500,000, according to Brownstoner.

But the owners, who occupy at least one unit in the building located at 42-77 Hunter Street, have decided to hang on to their debut project, and refund the buyers. Now it’s going rental, according to Brownstoner.

Modern Spaces recently listed two units on the rental market for $2,750 and $2,773 a month.

“It was the sponsors’ first project and they had a lot pride in it,” Modern Spaces CEO Eric Benaim told The Real Deal. “They felt that if they sold the condos they wouldn’t really own it anymore.”

Benaim added that land prices have increased so much in the area, that even if the developers sold all the units, they wouldn’t make enough to buy another site. [Brownstoner] – Christopher Cameron