Brooklyn commercial property sales in 2011 (source: TerraCRG)
In Brookyln, sales of commercial properties showed significant recovery in 2011, according to a report by commercial real estate brokerage firm TerraCRG.
A total of 1,052 commercial sales closed for over $1.8 billion, an 86 percent increase in dollar volume from 2010, and a 35 percent increase in total number of sales. About 70 percent of the dollar volume increase came from institutional activity, the report shows. [more]
Compiled by Adam Pincus
Brokers broadly expect next year to be an improvement over 2011 in New York City’s investment sales market, although concerns about the global economy and financial services layoffs create uncertainty, and that puts a drag on activity. This year, total investment sales are expected to end up at about $25 billion, far ahead of the $14.5 billion in 2010. The Real Deal talked to a series of brokers about what they expect for the new year. [more]
The New York City real estate industry’s employment gains continue to be offset by big job losses in the construction industry, according to an employment report released today by Eastern Consolidated that placed the former among the city’s biggest gainers in 2011 and the latter among the city’s biggest job losers. Overall 500 new real estate jobs were added in November bringing the year’s total count to 2,900 new jobs, while the construction industry lost 700 jobs last month bringing the year-to-date loss to 3,200 jobs.
New York City as a whole added about 9,000 jobs in November, thanks largely to retailers loading up on staff for the holiday shopping season. – Adam Fusfeld [more]
The city’s commercial firms generally went with scaled-down holiday parties as the industry licked it wounds in 2011 after making it through a difficult year.
Many commercial firms opted for low-key themes either by spending fewer dollars or going for a less formal environment, for example at least two opted for bowling, and CBRE Group headed to the circus. [more]
A parcel of land ripe for development, and previously owned and lost by rapper Jay-Z will likely be bought by the Albanese Organization for around $60 million, the New York Observer reported.
The site, at 511 West 21st Street, between 10th and 11th avenues, has 140,000 buildable square feet and is zoned for retail, hotel or office space.
The hip-hop star and real estate investor purchased the site at the height of the market for more than $50 million, and spent millions more on air rights, the Observer said. [more]
A free-standing retail building near Columbia University’s developing Manhattanville campus has hit the market for $11 million, according to Eastern Consolidated, which is the exclusive listing agent for the property.
The 18,200-square-foot, rectangular building at 701 West 135th Street currently yields more than $400,000 in annual income from current leases, according to the listing, with one retail suite still vacant. Alternatively, the two in-place leases each contain terms to provide for vacant delivery by summer 2012.
“It’s an absolutely phenomenal opportunity to reposition a 20,000-square-foot building in a proven retail strip,” said Marion Jones, a director at Eastern, who shares the listing with colleague David Schechtman. – Katherine Clarke [more]
The developer of a high-end, 9-unit building on the Upper West Side has abandoned plans to sell the units individually as condominiums and instead is offering to sell the entire property in one transaction, with an asking price of $22.8 million.
Brooklyn-based Manor Properties Group constructed the new, 10-story building at 208 West 96th Street, between Broadway and Amsterdam Avenue, and was given its certificate of occupancy in April.
But attempts by Halstead Property Development Marketing to sell the units as condominiums with prices according to Streeteasy.com of about $2.3 million each, failed. Then Manor Properties tried renting the apartments, which are all full-floor, three-bedroom units. [more]
Around 2,100 real estate jobs were lost in October, according to a New York City employment report from Eastern Consolidated. New York City lost 2,100 public sector jobs in total in October while the private sector lost 5,700 jobs. The public sector added 3,600 jobs, mostly at the local level.
“October’s results were so disappointing because of the unexpected losses in industries that had been so solid in the city,” Eastern Consolidated said in a statement, referring to “private education, retail and even real estate.”
While jobs in the real estate sector (which include all positions within real estate companies) have rise by 2,400 in total since December 2010, they dropped dramatically in October, by 2,100.
– Katherine Clarke [more]
New York real estate investment fund Aion Partners is marketing two Soho retail condominiums in an effort to capitalize on demand for these types of properties in key locations, Crain’s reported.
The company has listed a 13,700-square-foot condo at 57-63 Greene Street and another at 21-25 Mercer Street, the latter which includes a residential condo unit and three stores. Tenants at the first property include Bang & Olufsen, Cyrus Co. and Raul Carrasco and at the second, Nike, Toto and Surface to Air.
“The tenants are paying at least 40 percent below current rents so there is a great opportunity for upside,” said David Schechtman, a principal at Eastern Consolidated, who is handling the sales. “But you also have solid cash flow.” The asking prices for the properties are $19 million and $20 million, respectively. [more]
SL Green Realty and its joint venture partner, Jeff Sutton, have made an agreement to sell two retail condominium units totaling 9,860 square feet at 141 Fifth Avenue for $46 million, SL Green announced today. The identity of the buyer was not immediately clear.
The transaction, which is subject to the lender’s approval of the transfer, is expected to generate around $17.5 million in net proceeds for SL Green, the company said in a statement.
Andrew Mathias, president of SL Green, said: “SL Green continuously looks to take advantage of evolving market conditions to enhance both its office and retail portfolios with selective dispositions and acquisitions. We are very pleased with the growth and success of our retail platform and anticipate making more strategic investments in the near term.” -- Katherine Clarke [more]
