LIC condo prices pass $1,000 psf in Q1

But rents in the area remained largely static due to influx of new inventory

TRD New York /
Apr.April 22, 2015 08:00 AM

Condominium prices in Long Island City crossed the $1,000 per square foot mark in the first quarter of 2015, according to a new report by brokerage Modern Spaces.

The average price per foot in the neighborhood was $1,039 in the first quarter, and the average absolute price was $877,778, according to the report.

“The demand for new homes here remains strong and will continue to drive prices higher,” said Eric Benaim, founder and president of Modern Spaces. During the same time period last year, the average per-square-foot price for condos was $930, the report said.

In the rental market, rents stayed relatively stable as any increase in demand was countered by an influx of new inventory, according to Modern Spaces, which noted that unit sizes were shrinking in the face of soaring land prices and construction costs. The average price for a rental in a walk-up in the neighborhood was $2,458, according to the report.

Neighboring Astoria didn’t see a lot of transactions in the first quarter of the year, Benaim said, mostly due to a lack of new product.

But, Benaim said, he predicts that will change. Prices in Astoria will shoot up to nearly $1,000 per square foot by the third quarter of the year, he said. Modern Spaces is launching at least two new projects in the neighborhood this year.

“You can literally live in Astoria and never leave,” Benaim said. “Prices are going to go up dramatically.”

New Jersey-based Kushner Real Estate Group recently picked up a minority stake in Modern Spaces.

Related Articles

Jackson Park at 28-40 Jackson Avenue and Tishman Speyer's Rob Speyer (Credit: StreetEasy and Tishman Speyer)

Tishman Speyer locks in $1B in financing for Jackson Park

Clutter CEO and co-founder Ari Mir, and clockwise from left: 280 Fullerton Avenue, 1 Holland Avenue, 3046 Northern Boulevard and 5601 Foster Avenue (Credit: Linkedin, Google Maps)

Self-storage startup Clutter makes its first real estate play with $152M deal

43-20 49th Avenue in Long Island City and Andrew Chung of Innovo Property Group (Credit: Google Maps)

Andrew Chung tees up Queens’ biggest deal of 2019

Court Square Place at 24-01 44th Road in Queens and The New York Times' A.G. Sulzberger (Credit: Google Maps and Getty Images)

All the news that’s fit for Queens: NYT inks lease in Long Island City

Corcoran President & CEO Pamela Liebman (Credit: Corcoran, Getty Images)

Welcome to Queens: Corcoran opens first borough outpost

A rendering of Skyline Tower (Credit: Skyline Tower LIC)

A luxury development in LIC is to blame for viral subway flooding video: MTA

Clockwise from top left: 950 and 957 Woodycrest Avenue in the Bronx and 47-50 30th Street in Queens (Credit: Google Maps)

Here’s what the $20M-$30M NYC investment sales market looked like last week

5Pointz Towers and David and Gerald “Jerry” Wolkoff (Credit: CityRealty and Pixabay)

“We were always pro-artist”: Developer that knocked down 5Pointz wants to patch up relationship with NYC artists