The Real Deal New York

Resale activity is up for condos impacted by the new tax bill

A weekly feature bringing you the industry’s latest intel
By Chava Gourarie | December 29, 2017 02:30PM

According to this week’s market reports, condominium resales in the $1 million to $3 million segment — which are likely to be impacted by the tax bill’s cap on the mortgage interest deduction — are up 11 percent in the fourth quarter, and Crumbs Bake Shop made a comeback with 12 new stores in 2017.

Residential

Luxury sales | Olshan Realty
In terms of luxury sales volume, 2017 surpassed 2016 by 6 percent, with a total of 1,172 contracts signed at $4 million and above for a total asking amount of $9.1 billion. In other ways the luxury sector lagged: properties averaged 433 days on the market, four months longer than in 2016, before selling at an average 8 percent drop in asking price. Read the full report here.

Residential sales | BOND New York
The average price for a residential sale in Manhattan stayed below $2 million for the second consecutive quarter, slipping to $1.87 million in the fourth quarter, compared with $2 million last year. Median price, by contrast, improved 12 percent since last year, implying that the weakness is at the top of the market. Read the full report here.

Residntial sales | Compass
In the fourth quarter, condo inventory priced above $3 million made up 38 percent of the total, but only 25 percent of condo contracts signed, signaling the disparity between demand and supply in the market. Condo resale activity was up 11 percent in the fourth quarter for the $1 million to $3 million segment, likely in an effort to close before the implementation of the new tax code. Read the full report here.

Commercial

State of the Chains | Center for an Urban Future
New York City saw a 1.8 percent increase in retail chain stores in the five boroughs in 2017, led by a 3.1 percent increase in Brooklyn. Four retailers opened more than 10 New York locations in 2017 including Dunkin Donuts, MetroPCS and T-Mobile, which are owned by the same company, and Crumbs Bake Shop, which unexpectedly went from 10 to 22 locations. Read the full report here