Strengthening economic fundamentals and buzz surrounding major developments such as the Barclays Center and City Point have served as a boon for the Brooklyn investment sales market, according to a report by Ariel Property Advisors.
Dollar volume of Brooklyn investment sales increased by 106 percent in 2012 compared to the previous year, to a total of $4 billion, the report shows. There were a total 586 Brooklyn investment sales transactions in 2012, a 51 percent increase year-over year. There were 388 total deals in 2011.
Growth in volume and pricing was consistent across all product types in Brooklyn, said Jonathan Berman, vice president of Ariel Property Advisors, but demand for multi-family properties and development sites was particularly high.
There were 323 multi-family transactions in the borough in 2012, amounting to a total dollar volume of $1.4 billion and accounting for 55 percent of transaction volume borough-wide. Multi-family properties in prime Brooklyn locations such as Williamsburg and Park Slope saw prices reaching $1,000 per square foot, Berman said.
There were 109 development property transactions totaling $523 million during the year — a near 50 percent jump year-over-year in both transaction and dollar volume, the report shows. –Katherine Clarke