Luxury NYC condo investments vs. hog futures

Average 10-year return on condos at the city's marquee buildings was 6.5 percent

TRD New York /
Jul.July 25, 2014 03:50 PM

Investors who put money into a well-known New York City condo building would be doing slightly better than buyers of hog futures over a 10-year period, but their returns would trail those of folks who bet on gold.

Over the last decade, a portfolio of the city’s 100 best-known condo buildings put up compound annual growth of 6.5 percent, the Wall Street Journal reported. Comparing that return with other popular investments, the newspaper found that Gotham’s marquee condos fared better than the S&P 500 stock market index and hog futures, but couldn’t beat gold, oil futures or coffee futures.

That said, those high earners come with considerably more risk than real estate.

“The consistency of New York City real estate is something that is really hard to match,” Pete Culliney, director of research for CityRealty, told the Journal.

A few notable deals, such as the $48 million sale of a 15 Central Park West duplex, boosted the average 10-year return of condos, the newspaper reported. [WSJ]Tom DiChristopher


Related Article

arrow_forward_ios

Real estate stocks push up this week as U.S.-China trade tensions ease

416 West 25th Street and Maverick Real Estate Partners principal David Aviram (Credit: Google Maps and LinkedIn)

Chelsea landlord claims “predatory” lender is charging a crippling interest rate as punishment after losing foreclosure case

Larry Silverstein and the Tel Aviv Stock Exchange (Credit: Getty Images)

Institutional investors swarm Silverstein’s new TASE bonds

Real estate firms get (green) thumbs down as they jump into climate bonds

With Fed rate cut on the mind, markets enter the week riding high

From left: 100 Barclay, One Manhattan Square and 30 Park Place (Credit: StreetEasy, iStock)

NYC’s condo market is showing signs of a recession

(Illustration by Carl Wiens)

NYC’s foreign investment landscape in the era of trade wars and heightened nationalism

565 Broome Street (Credit: iStock and 565 Broome Street)

Only in Manhattan? Luxury condo owner files “class action” because unit doesn’t have a wine cooler

arrow_forward_ios