Harry Macklowe: NYC luxury projects aren’t “doomed” but will take longer to sell

Developer also said it's “wonderful” to have a “strong business leader” in the White House

New York /
Mar.March 27, 2017 12:10 PM

Harry Macklowe remains optimistic about New York City’s ultra luxury market, though he admits the appetite for super-pricey pads is now much more limited.

Speaking to Bloomberg, Macklowe said waning demand means there should be less development geared towards the very top end of the market. He said apartments at very high price points will still sell, but it will be at a slower rate than at Places Like 432 Park Avenue and Extell Development’s TRData LogoTINY One57.

“The development community knows how to protect itself,” he said. “And it should be able to price itself intelligently enough so it is able to meet the peaks and the valleys of the market.”

There will be fewer buildings aimed at luxury buyers, according to Macklowe, but he does not think ultra-pricey places coming online are in trouble.

“I only think a property in the condominium world is doomed if it is over-financed, if it is not built with a heavy equity component,” he said.

Macklowe added that the Trump administration is responsible for higher confidence in the country’s real estate industry.

“I think it’s wonderful that we have a strong business leader in the white house,” he said. “I think that the cabinet choices have been very wise.”

Speaking at a panel last month, Macklowe said the sale of Sandy Weill’s apartment at 15 Central Park West was the “shot heard around the world” — and what allowed developers like Extell to aim for prices of $7,000 per square foot.  [Bloomberg]Miriam Hall


Related Articles

arrow_forward_ios
Clockwise from left: John D. Rockefeller, Izzy Englander, Steven Mnuchin, David Koch, Jacqueline Bouvier, and William Zeckendorf (Credit: Getty Images and StreetEasy)
For 15 years, David Koch lived at the world’s “richest building”
For 15 years, David Koch lived at the world’s “richest building”
Naftali Group's Miki Naftali, BRP Companies' Meredith Marshall (Photos by Paul Dilakian)
Miki Naftali, Meredith Marshall talk development, death of 421a
Miki Naftali, Meredith Marshall talk development, death of 421a
Gary Barnett
Gary Barnett has something to say
Gary Barnett has something to say
Ben Shaoul and 1457 North Main Street (Getty, LoopNet)
Ben Shaoul plans 376-unit complex near L.A.’s Chinatown
Ben Shaoul plans 376-unit complex near L.A.’s Chinatown
331 Elmora Avenue and 103 Ryan Street (Kislak Realty)
Tri-state deal roundup: Multifamily, industrial still hot
Tri-state deal roundup: Multifamily, industrial still hot
Adam Leitman Bailey, Y. David Scharf, and Miki Naftali with 215 West 84th Street (Adam Leitman Bailey, Morrison Cohen, Getty)
Naftali lays out project as holdout tenant plays new card
Naftali lays out project as holdout tenant plays new card
Seth Boyden Court in Newark NJ with Great Point Studios CEO Robert Halmi (Loopnet, Great Point Studios, iStock)
Film studio to replace vacant public housing in Newark
Film studio to replace vacant public housing in Newark
Harry and Linda Macklowe (Getty Images, Andy Warhol Foundation for the Visual Arts, Inc./Artists Rights Society (ARS), NY, Sotheby's, iStock)
Macklowe art collection fetches nearly $1B at auction
Macklowe art collection fetches nearly $1B at auction
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...