Luxury spec developer: Building capital is “tied up” right now

There is less competition to buy land in the South Fork, according to Hamptons luxury builder Joe Farrell of Farrell Building Company. “Every builder and their brother, they’re all here,” he recently told 27East, adding that “a lot of builders are tied up — their capital is tied up.” So how does he differentiate himself? Just keep on building, even if that means making steep price cuts to close sales. “We build in volume,” he said. “I don’t have to sit there and wait to make a fortune in one house.” One of his new spec houses at 423 Parsonage Lane in Sagaponack was recently slashed by $1 million to just under $12.5 million, and another one at 280 Highland Terrace in Bridgehampton was price-chopped by $1.5 million to about $17 million. [27East]