Since Covid rendered walkable commutes a bygone amenity, the Financial District’s condo supply has surged. And there are still few buyers in sight.
The downtown district now holds the most unsold inventory of any New York City neighborhood, with 1,433 new condos available, many of them yet to be listed, according to data by Marketproof reported by Bloomberg News.
The appeal of the area, said Marketproof founder Kael Goodman, was its proximity to downtown offices. But with available office space in lower Manhattan at a 20-year high and only 16% of office employees back at work as of April, Bloomberg reported, buyers are not basing purchase decisions on proximity to work.
As a result, condo units in the area are selling at hefty discounts. According to Bloomberg, Trinity Place Holdings, which developed Jolie at 77 Greenwich Street, reduced some prices and is offering up to $175,000 in closing credits to buyers who work at downtown firms, although a spokesperson for Serhant, which is marketing the apartments, denied that. The most expensive sales in the area — penthouses in Silverstein Properties’ 30 Park Place — sold at million-dollar discounts, Bloomberg found.
Developers facing lackluster sales might even choose to reshape their projects. Stephen Kliegerman, president of Brown Harris Stevens development marketing, sees the possibility of corporate apartments, pieds-à-terre and Monday-through-Thursday residences replacing condos.
[Bloomberg News] — Suzannah Cavanaugh