220 CPS: One-third of the condos sold after six weeks

Vornado Realty Trust has commitments for $1.1B
By E.B. Solomont | May 05, 2015 01:30PM

Enthusiastic buyers have snapped up more than a third of the condos at 220 Central Park South, developer Vornado Realty Trust said Tuesday.

In just six weeks – and without a full marketing center – the REIT has commitments for over $1.1 billion from buyers, “representing over one third of the building,” CEO Steve Roth said during a first-quarter earnings call.

Roth said a small sales gallery has been opened “to a limited audience” pending the completing of a marketing center. “What has been accomplished in five or six weeks has never been done before,” he said. “Acceptance by brokers and buyers has been extraordinary and unprecedented.”

Roth declined to disclose the average sales price at 220 Central Park South, a hotly-anticipated addition to Billionaire’s Row. But he said sales were “evenly arrayed from the top of the building to the bottom of the building.”

Vornado’s offering plan for 220 Central Park South was approved March 4, as The Real Deal first reported. Prices have gone up three times since then, and the total sellout of the building is now $2.84 billion, up from the original figure of $2.4 billion. While the offering plan’s least expensive condo was priced at just under $12 million, or just under $5,000 per square foot, sources said condos are trading for $7,000 per square foot.

The Robert A.M. Stern-designed building will have 118 units, split between a 69-story limestone tower and an adjacent 14-story villa. The original offering plan did not include six units, including the most expensive penthouse. In late March, Vornado added a duplex penthouse on floors 73 and 74 to the offering plan, asking $100 million, or nearly $10,500 per square foot. Sources said the priciest penthouse would ask between $150 million and $165 million.

Marketing guru Louise Sunshine is advising Vornado on the project and Corcoran Sunshine Marketing Group is handling sales.

When asked Tuesday if the total sellout could top $3 billion, Roth said, “We’re delivering the best product that’s ever been delivered in the Manhattan residential market. … We’re going to get a fair price for a fair product.”

Rey Mashayekhi contributed reporting.