The Real Deal New York

Toll Brothers City Living shoots for $323M sellout at 91 Leonard

Luxury homebuilder asking $2,185 a square foot at the 111-condo building
By Will Parker | April 28, 2017 11:50AM

Doug Yearley and renderings of 91 Leonard Street (Credit: CityRealty)

They might be playing defense in a rocky condominium market, but Toll Brothers City Living is still moving full steam ahead with big projects already in the pipeline. Last week the developer filed an offering plan with the New York State Attorney General’s office for 91 Leonard Street in Tribeca, where it wants to sell 111 apartments to the tune of $323 million. The price tag makes 91 Leonard the most expensive offering plan submitted so far in 2017.  The average asking price per unit comes to $2,185 a square foot, according to building plans.

Toll Brothers TRData LogoTINY announced project plans in 2015 after closing on the final pieces of an assemblage. Renderings were released last year for the Goldstein, Hill & West-designed building. The developer does not appear to have yet closed on any construction financing for the 20-story condo.

Toll Brothers is advancing projects like 91 Leonard with caution, however. City Living, the mostly New York City-focused division of Toll Brothers, reported lower returns in 2016 than in previous years, and Toll Brothers CEO Doug Yearley announced that it would reduce its equity stake at some of its Manhattan development sites by linking up with joint venture partners.

It also began offering significant incentives such as offering to pay buyer taxes in order to spur sales at some of its new buildings. Accordingly, prices were slashed last year at 400 Park Avenue South and 1110 Park Avenue.

A representative for Toll Brothers City Living declined to comment.

The Real Deal recently profiled the City Living division, which is headed by David Von Spreckelsen. Industry experts told TRD that the company overbuilt luxury units in New York, which has forced Toll Brothers to get creative with its sales and marketing.

(To view more properties owned by Toll Brothers, click here)