The Real Deal New York

Ofer Yardeni offers grim prediction about NYC resi market

Stonehenge CEO says bubble about to burst; would "happily" short 57th Street if it were a stock
November 07, 2014 01:07PM

Don’t say developer Ofer Yardeni didn’t warn you. The Stonehenge Partners chief executive says  the residential market is a bubble that’s about to pop. 

“If real estate was a publicly traded company and I could short its stock, I would very happily short 57th Street,” Yardeni said at the New York City Real Estate Expo, according to the New York Daily News.

“The market there has stopped,” the developer said. “It hasn’t just declined 5 percent or 10 percent. It’s just stopped.”

Yardeni’s Stonehenge owns more than $2 billion worth of assets in the city.

The developer said that while luxury towers continue to sprout up, nobody is exactly sure if enough foreign investors will buy up the properties. Roughly 7,000 new luxury condos are expected to hit the market over the coming years, according to Corcoran Sunshine Marketing Group’s projections, according to the newspaper.

The developer also called the High Line “completely overrated” and said that new condo projects on the Upper West Side are struggling as well. [NYDN] — Claire Moses