Lower Manhattan is tale of two markets: Rental demand is up as sales slow

FiDi and Battery Park City’s resi sales prices and activity fell in Q3

New York /
Oct.October 04, 2019 10:15 AM

Lower Manhattan’s rental market remained strong in the third quarter, with prices in the Financial District and Battery Park City both climbing.

That stood in contrast to the stagnating sales market, according to a Platinum Properties third quarter market report that detailed both neighborhoods.

That trend has dominated this year. In July, Platinum managing partner Teresa Stephenson said strong rental markets and sluggish sales markets in both neighborhoods indicate potential buyers “are just waiting” for sales prices to drop even further.

In Battery Park City, sales price and activity plummeted. The average sales price in the neighborhood, which stood at $1.15 million, fell by almost 26 percent from $1.55 million in the previous quarter. Trades were also down, by close to 30 percent.

From July through September, sales prices in the Financial District also plunged more than 25 percent — $1 million, down from $1.4 million — and overall sales activity dipped 16 percent compared to the second quarter. Year over year, however, the number of sales was up — by nearly 24 percent — indicating a buyer’s market.

The downward trend mirrors the rest of Manhattan’s third quarter results.

Meanwhile, FiDi’s rental market ticked up almost 4 percent to $4,498. There was also an 80 percent increase in leases signed quarter over quarter.

The Battery Park City rental market logged a 14 percent year over year increase in average rents and a 72 percent hike in leased units. Average rent is $5,698, up 11 percent from the average in the second quarter.

Write to Erin Hudson at [email protected]


Related Articles

arrow_forward_ios
Oceanwide Holding’s Lu Zhiqiang and renderings of 80 South Street (LinkedIn, ATCHAIN)
Mystery buyer pays just $169M for site of Oceanwide’s distressed supertall
Mystery buyer pays just $169M for site of Oceanwide’s distressed supertall
 40 Wall Street, Eric Trump, Jay Suites’ Juda Srour (40 Wall Street, Getty)
Co-working firm gets 50K sf, low rent at Trump’s 40 Wall Street
Co-working firm gets 50K sf, low rent at Trump’s 40 Wall Street
Amancio Ortega and 19 Dutch Street (Getty Images, iStock, 19 Dutch Street)
Zara billionaire to pay $500M for FiDi rental
Zara billionaire to pay $500M for FiDi rental
Industrious co-founder Justin Stewart and 25 Broadway/Cunard Building (LinkedIn, Tdorante10/CC BY-SA 4.0/via Wikimedia)
Industrious partners with Wolfson for 44K sf at Cunard Building
Industrious partners with Wolfson for 44K sf at Cunard Building
55 Broad Street, Metro Loft Management's Nathan Berman, Silverstein Properties' Marty Bulger (Silverstein Properties, Loopnet)
Silverstein, Metro Loft eye resi conversion of 55 Broad Street
Silverstein, Metro Loft eye resi conversion of 55 Broad Street
Brian R. Steinwurtzel and 100 Pearl Street (GFP Real Estate, LoopNet, iStock/Photo Illustration by Steven Dilakian for The Real Deal)
Squash club starting a racket at 100 Pearl Street office tower
Squash club starting a racket at 100 Pearl Street office tower
From left: Metro Loft Management founder Nathan Berman, Silverstein Properties chairman Larry Silverstein, and 55 Broad Street (Metro Loft, Silverstein Properties, LoopNet)
Silverstein, Metro Loft pick up Rudin’s 55 Broad Street for $180M
Silverstein, Metro Loft pick up Rudin’s 55 Broad Street for $180M
Vornado's Steve Roth and 40 Fulton Street (Vornado, Getty Images, iStock)
Vornado puts FiDi office building on the market as it trims portfolio
Vornado puts FiDi office building on the market as it trims portfolio
arrow_forward_ios

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

Loading...