Coldwell Banker Hunt Kennedy has joined Coldwell Banker Previews International to capture a greater share of the high-end Manhattan market.
Coldwell’s national Previews division, which specializes in properties priced over $1 million, has helped give the conglomerate a 56 percent share of the $1 million and up market across the country, and the brokerage says it sells more million-dollar homes than all other real estate companies in the U.S. combined.
But in Manhattan, the localized operation known as Coldwell Banker Hunt Kennedy faces stiff competition in the high-end market from Corcoran, Prudential Douglas Elliman, Brown Harris Stevens and Sotheby’s, as well as from boutique firms. In a survey of the dozen biggest residential brokerages in Manhattan in May, The Real Deal found that Coldwell Banker Hunt Kennedy had only one listing for a property over $4 million. Only one other firm on the list, Bond New York, had fewer listings in that price range.
The new Manhattan division of Previews will be headed by Stan Ponte, formerly a senior vice president at Stribling & Associates. The new president has been traveling to Madrid, Paris and Beverly Hills to bring business to Manhattan.
New York City has its own way of doing business compared to the rest of the country, and some brand names — like Previews — that are recognizable elsewhere are not recognizable here. But Ponte says that can change. “Why not open doors in New York City and gain market share?” he asked.
Coldwell Banker Hunt Kennedy CEO David Michonski said expanding the Previews program to Manhattan is a good fit in the highest-priced market in the country.
“We wanted to make sure that in New York City, we’re tapping in to the network,” Michonski said.
Still, if Coldwell Banker Hunt Kennedy grows its high-end business, it won’t likely be a large share of its total sales. According to appraisal firm Miller Samuel, property sales of $4 million and above — which it defines as the “luxury” segment — make up about 3 percent of total sales in the Manhattan market.
“Previews isn’t about quantity,” Michonski said. “It’s the extreme upper end of the market where there are not a lot of unit sales. It’s about connecting very boutique marketing to the rest of the world.”
“It’s a matter of educating the brokerage community,” Michonski added.