The worst may be behind NYC’s commercial property market

Ariel Property Advisors: "It’s hard to believe 2018 is going to be lower than 2017"

New York Weekend Edition /
Feb.February 11, 2018 01:47 PM

Times Square. (Credit from back: Sam Valadi; Max Pixel; pol sifter/Flickr)

It’s not necessarily going to get better, but it may not get worse; that’s the conclusion of brokers who’ve been keeping a finger on the pulse of New York’s commercial real estate market.

Across the board, the city’s property sales have fallen by 50 percent since 2015, but last year’s sales put the decline into stark contrast; according to the Wall Street Journal, large deals over $100 million totaled $11.6 billion in 2017 compared to the 2016 total of $23.5 billion for such transactions.

But hope is appearing on the horizon according to Ariel Property Advisors noting a number of properties that went into contract in the last quarter of 2017.

“I am not sure we are turning a corner in terms of transactions, but it’s hard to believe 2018 is going to be lower than 2017,” Ariel president Shimon Shkury told the Journal.

According to Shkury, the market is experiencing a “self-inflicted” correction brought on by climbing prices and a glut of supply. [WSJ]Erin Hudson


Related Articles

arrow_forward_ios
Steve Witkoff and Ian Schrager in front of the iconic PUBLIC hotel escalators. (PUBLIC, Getty)
EB-5 fund alleges Schrager, Witkoff siphoned money from Public Hotel
EB-5 fund alleges Schrager, Witkoff siphoned money from Public Hotel
Best Buy has closed about 20 of its big-box stores in each of the past two years (iStock)
Best Buy lays off 5,000 staffers, increases store closures
Best Buy lays off 5,000 staffers, increases store closures
Ryan Serhant and Gary Barnett on Development Slowdown in Pandemic
Coffee Talk: Extell’s Gary Barnett and Ryan Serhant
Coffee Talk: Extell’s Gary Barnett and Ryan Serhant
Cushman & Wakefield CEO Brett White
Cushman reports 10% drop in revenue in 2020
Cushman reports 10% drop in revenue in 2020
Central Queens Academy's Ashish Kapadia and United's Chris Jiashu Xu with a rendering of 88-08 Justice Avenue (Linkedin, iStock)
Charter school takes 85K sf in Queens condo building
Charter school takes 85K sf in Queens condo building
(IStock illustration by Kevin Rebong)
Smaller cities look to cash in on shift to remote work
Smaller cities look to cash in on shift to remote work
421-427 East 14th Street (Google Maps, iStock)
Stuy Town to get new 17K sf grocery store
Stuy Town to get new 17K sf grocery store
Photo illustration of Mayor Bill de Blasio as Uncle Sam (iStock, Getty/Illustration by Kevin Rebong)
NYC has $1.3B in unpaid property taxes
NYC has $1.3B in unpaid property taxes
arrow_forward_ios

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

Loading...