February 2019 Issue

NYC’s residential bosses

Elliman overtakes Corcoran as top firm in city as its closed sales skyrocket, but sources say 2018’s slowdown won’t show up in the numbers until next year

UPDATED, Jan. 6, 5 p.m.: Surprise, surprise: A handful of New York City’s residential brokerages — including Douglas Elliman, Compass, Brown Harris Stevens and Nest Seekers International — saw their closed-deal volume skyrocket in 2018. But don’t read too deeply into anything; the showings were likely due to deals locked in pre-2018, before the luxury market started turning in earnest.  In addition, a number of firms saw sales volume tank. And, transactions […]… [more]

Locking and loading listings

Elliman, Corcoran and Compass racked up the highest dollar volume in a market where success requires convincing sellers to drop prices

“I had so many difficult conversations with sellers in 2018 that I literally had to go to a voice doctor,” said Compass… [more]

The I-sales reboot

Cushman makes big gains and expands its lead over rivals as the market rebounds from an ugly two-year slump 

It had been a long two years, but the city’s investment sales market finally turned a corner in 2018. Last year saw the total value of commercial property traded… [more]

OZ overload

Confusion is mounting over real estate’s most buzzed-about federal program, but there still may be an excess of players trying to get in on the action

It was a telling moment for those fixated on Opportunity Zones. “Who the hell is EJF and their expertise as it relates to … [more]

What’s it worth?
Depends who’s asking

Inflated commercial valuations are increasingly distorting markets and hurting investors, as appraisers are under pressure to come up with favorable numbers

Starwood Capital Group made a… [more]

Elevated risk:
Malfunction at NYCHA

A crippled agency and a culture of ticking boxes is putting public housing residents at greater risk of being injured in its elevators

On New Year’s Day, Gina Gutloff and her boyfriend were headed out for breakfast when they stepped into the … [more]

The brokerage king of Queens?

Modern Spaces’ Eric Benaim has high hopes for Amazon’s move to LIC, but he may have to fend off a flood of competition from bigger firms

Almost immediately after city and state officials announced their deal with Amazon to build half of its “second … [more]

The Closing:
Bess Freedman

The Brown Harris Stevens CEO on representing foster-care kids, drawing inspiration from Bella Abzug and upping BHS’ tech game

Bess Freedman is the CEO of … [more]

New York’s landslide

Prices may have recovered, but development site deals are way down compared to just three years ago, exposing skittishness in the market

In the fall of 2015, Bob Knakal was watching the bids come in for Manhattan land parcels across a portfolio of 40 sites. … [more]

Crash course

How an opaque economic outlook is changing NYC real estate — and how it isn’t

U.S. stocks took a beating toward the end of 2018. After reaching an all-time high of more than 26,800 in early October, the Dow Jones Industrial Average fell more than […]… [more]

Power lunch: Construction big shots talk shop in Gramercy Park

Construction big shots talk about scandals, big projects and union clout over chicken, cod and monkfish at Craft in Gramercy Park

Five construction professionals recently sat down for The Real Deal’s inaugural “Power lunch” feature and discussed a scandal surrounding one of their own. … [more]

Residential market report

From Manhattan’s home sale doldrums to a rise in unconventional lending, a look at the biggest trends

NYC’s resi sales slump continues Residential sales in Manhattan dropped 3.3 percent in the fourth quarter of 2018, their fifth straight quarter of decline, … [more]

Commercial market report

From Manhattan’s office leasing highs to Brooklyn’s I-sales rebound, a look at the biggest trends

Office leasing hits record levels in Manhattan Although 2018 was rough for some segments of the real estate industry, it was a record-setting year for Manhattan’s … [more]

Editor’s note:
Big (really big) Data

The future is now. Old-school real estate players who think tech disruption is an abstraction, or that social media is a distraction, are discovering that it’s getting increasingly hard to […]… [more]

Retail regroups

From subdividing spaces to amending leases, suburban landlords are sifting through the detritus to revive vacant storefronts

Across the country, competition from internet retailers has left the leasing landscape strewn with dark-windowed hulks. Victims include one-time anchor tenants like Toys “R” Us, Sears and J.C. Penney. … [more]

Opportunity Zones
beyond the metropolis

The tri-state area appears to be embracing the program, even if questions abound

Amid the seemingly incessant buzz in the real estate world about Opportunity Zones, real estate markets around New York City are starting to embrace the investments-for-tax-incentives program born … [more]

Co-working sprouts in suburbia

Shared office spaces are courting a variety of tenants as they expand outside Manhattan

When Jonathan Manierre and Ryan Doran decided they needed new digs for their growing ad and marketing agency, Turkois, the design duo contacted realtors and did a traditional office search. […]… [more]

The silver tsunami

With demand for senior living facilities on the rise, developers are scrambling to build — but how do the returns look for investors?

Real estate is getting old. If you hadn’t noticed, new senior living facilities are popping up all over the tri-state area. Aging baby boomers are fueling demand as they look […]… [more]

Famous faces trading places

A soft luxury market kept most celebrities from turning big profits on their high-end holdings

Even celebrities were not spared from the frustrating effects of a stagnant market when they tried to buy and sell homes in the tri-state area this year. There have been […]… [more]

Ranking Westchester’s
top luxury brokers

Think tax laws are killing the market? Think again, say some of the area’s premier agents, who contend that a brisk spring buying season started early

The period between Christmas and New Year’s Day is often a slow one in … [more]

The rental rush

Spurred on by tax breaks, relatively low construction costs and a county-wide push for millennials, developers are on a multifamily building spree

Westchester County is playing catch-up. “We’ve really had very little development over the last 20 years,” said Martin … [more]

Can Greenwich get
its groove back?

Metrics are mixed, with price chops for estate-style homes steep but demand for condos booming

The Greenwich real estate market — home to some of the most expensive residential real estate in the country — is emitting some seriously mixed signals. While t… [more]

The long view

Cory Gubner, founder of Rhys Commercial, discusses disbanding his brokerage to join NKF, his 30-year career in Stamford’s commercial sales market and why numbers can in fact lie

More than three decades navigating Stamford’s investment sales market have made Cory Gubner a grizzled… [more]

Garden State gold rush

Industrial properties are the hottest commodity going, but how can growth continue in such an inventory-strapped region?

The hot market for industrial properties in northern New Jersey continued apace in 2018 as the seemingly insatiable demands of e-commerce put a premium on … [more]

Jersey joust

Biotechnology and industrial tenants are competing for limited suburban space

Industrial tenants aren’t alone in the race for space in northern New Jersey. Biotech firms are also feeding demand. “There’s strong demand from [life science] companies, but with the industrial […]… [more]

Justified in Jersey City

Developers are preparing to unleash a wave of new residential units on the market, and — at least so far — demand is holding steady

Last year, as the potential L train shutdown loomed over Williamsburg, Joelle Chilazi started fielding more calls from worried Brooklyn residents. Then in November, when Amazon … [more]

Ironstate: Ironclad on development

Company co-founder Michael Barry on his firm’s aggressive expansion plans, rental concessions and the current state of the condo market

Ironstate Development Company has doubled down on new projects… [more]

The little town
with the big reputation

Celebrities and CEOs flock to Alpine for its location, low taxes and big lots, but can the buzz factor spare the luxury enclave from the resi sales slowdown?

Alpine has long been synonymous with luxury real estate in Northern… [more]

Shelter in place

Renewals for existing deals dominate TRD’s 2018 ranking of the largest office leases on perpetually space-strapped Long Island, but insiders say new tenants will soon be making their way to Melville

On paper it looks as though Long Island’s office leasing market had a bit… [more]

The decider

Laura Curran hasn’t shied away from tough choices, from booting a developer off the Nassau Hub project to overseeing a controversial property tax reassessment initiative

When former journalist and Democratic county legislator Laura Curran… [more]

The East End’s
new numbers game

With home sales down and Airbnb on the rise, brokers are banking on big-money short-term deals

With most of the tri-state area mired in the depths of winter, city slickers hoping to spend the warmer months in luxurious style near the beach are eyeing a… [more]

The Hamptons’ home runs

In a market where high-end homes often hit stratospheric valuations, brokers are asking sellers to lower their expectations

One mansion sold for $18.7 million and another for $40 million, but the bookends of the 10 priciest home sales on Long Island’s East End last year told the same […]… [more]

Editor’s note: Welcome aboard

Greetings, all four corners of the Tri-State kingdom! Like thousands of Tri-State residents who ride Metro-North, New Jersey Transit and the Long Island Rail Road, this train is officially leaving […]… [more]

Features

Fifth Avenue’s pricey retail rents have prompted luxury retailers to flee the tony stretch
The J&R co-founder on her Lady Gaga autographed piano, dinner with Michael Jackson and the 50-story Park Row condo the company is developing with L+M
A roundup of news and data on the residential market
A roundup of news and data on the residential market
A roundup of news and data on the commercial market
A roundup of news and data on the commercial market