Stung by NY rent laws, Rosewood Realty is going nationwide

The brokerage, which had specialized in multifamily deals, will also focus on office and mixed-use properties in different markets

TRD NATIONAL /
Feb.February 27, 2020 05:58 PM
From left: Jonathan Brody, Aaron Jungreis, and Alan Soclof

From left: Jonathan Brody, Aaron Jungreis, and Alan Soclof

Rosewood Realty Group is launching a national brokerage division that will focus solely on off-market properties outside its New York metro area base, which the company said is in response to strict state rent laws passed last year. Rosewood announced the expansion Thursday.

Led by Aaron Jungreis, Rosewood has tapped in-house broker Jonathan Brody to lead the new division as its vice president of national investment sales, and Rosewood’s Alan Soclof will be the director of the new division. The Manhattan-based firm has focused on the multifamily market but will also target office and mixed-use properties in its expansion.

“We are taking the same Rosewood approach to New York and applying it to specific states in up-and-coming markets,” Jungreis said in a statement. The company already has office and multifamily deals in the pipeline for markets including Florida, Texas, Michigan, Philadelphia and Washington D.C. It has closed more than $120 million worth of deals so far, according to Jungreis and Brody.

The move comes in response to new rent regulations that New York’s state legislature passed and that Gov. Andrew Cuomo signed into law in June. The real estate community has blamed those rules for squeezing profits and dramatically slowing down transactions in the city’s multifamily market, which was Rosewood’s specialty.

Rosewood placed fifth in The Real Deal’s ranking of investment sales firms with $1.7 billion worth of sales in 2018.

Soon after New York’s rent law changes last year, Jungreis told The Real Deal that his firm had already started pivoting away from focusing so strongly on multifamily deals, and Brody indicated in a statement that this new division was part of that effort.

“We prepared ourselves for NYC’s rent law change that went into effect this past June,” he said. “We formed a team quickly and began our journey in other targeted markets.”


Related Articles

arrow_forward_ios
Clockwise from top left: 162 West 13th Street, 325 Avenue Y in Brooklyn, 1281 Viele Avenue in the Bronx (Credit: Google Maps)

Here’s what the $10M-$30M NYC investment sales market looked like last week

Real Capital Analytics data showed that New York’s multifamily market had a very slow July. (Credit: iStock)

New NYC rent law “beginning to shut down investment”

Numbers were down across the board (Credit: iStock)

New York’s multifamily market had its slowest first half of the year since 2011

Michael Gianaris (NY Senate, iStock)

Gianaris proposes relief bill for renters and landlords, but not banks

Daniel Goldstein of E&M Management

Multifamily landlord runs for mayor in Nassau County

201 West 92nd Street and 78 Riverside Drive (Credit: Google Maps)

Acuity Capital lands $324M refi on 28-building multifamily portfolio

185 S. Fourth St. and Largo co-founder Nicholas Werner (Credit: Google Maps)

Largo buys another Williamsburg rental building for $32M

Partnership for New York City CEO Kathryn Wylde, Dan Garodnick and Slate Property Group's David Schwartz (Credit: Getty Images)

Real estate pros call tenant takeover bill flawed

arrow_forward_ios
Loading...