The number of planned condo units in NYC dropped significantly year over year, according to an analysis conducted by TRD last month. Between January and August of 2016, condo builders applied with the New York State attorney general’s office to sell 3,353 new residential units, a 41.2 percent drop from the 5,705 units they applied for during the same stretch in 2015.
Despite that decrease, the total number of condo buildings ticked up slightly compared to last year, indicating that developers have significantly shrunk the size and scope of their projects. Through August, developers applied for 188 residential condo projects in NYC — up from 182 a year ago. In 2015, the average number of units in new residential projects stood at 31.3, but during the first eight months of 2016 that dropped to just 17.8 units.
“This is indicative of what’s been happening in the market over the past year,” said Andy Gerringer of the Marketing Directors, citing tight construction financing.
In addition, the total number of units developers submitted to sell was down for all boroughs except Staten Island. In Manhattan, developers led for 1,725 condo units, down 34.5 percent from last year’s 2,633.
And in Brooklyn, the number of units developers applied for dropped by nearly half, sinking to 1,154 this year from 2,272 last year. “Developers are moving outward to find new neighborhoods to do condos in,” said David Chi of MNS .