SUMMER IN THE CITY: NEW DEV HOLDS ON
JULY 2023 NEW DEV CONDO MARKET UPDATE
August 4, 2023
- 24% increase in YTD deal volume compared to the average January–July
- 15% increase in YTD total dollar volume compared to the average January–July
- 6% increase in deal volume this July versus historically
- At 37 contracts, July demand for $4M+ luxury residences was down from June yet still above its historical benchmark of 30 deals
- 50 West 66th Street reported a contract on a unit priced at $23M, and the Mandarin Oriental Residences reported a deal on a unit asking for $22M
Deal volume fell 22% from 324 contracts in June to 252 in July. The total dollar volume retreated 30% to $613M, the median price decreased 4% to $1.485M, and the median PPSF rose 7% to $1,682.
Citywide, buyers have been more active YTD than during the pre-pandemic 2015-2019 period, but with an appetite for slightly less expensive product. This year, 2,052 contracts totaling $4.97B have been signed for units with a median price of $1,436,993, compared to 1,653 contracts, a total dollar volume of $4.33B, and a median price of $1,523,408 historically.
Compared to the historical benchmark, 6% more contracts were recorded this July.
“The market cooled off from June into July, but is still outperforming its historical YTD numbers* by a wide margin. With the Fall sales season now in sight, we forecast that demand for new dev will accelerate in coming months after what has been a strong Summer.”
Kael Goodman - Co-Founder and CEO of Marketproof, Inc.
Luxury
Month-over-month, deal volume decreased by 26% from 50 to 37 signed contracts, yet is still well above the historical average of 30. Total dollar volume fell by 38% to $283M, the median price retreated by 5% to $5.95M, and the median PPSF slipped by 2% to $2,629.
35 of the 37 luxury deals this month were signed in Manhattan, with the others signed in Brooklyn. For the third consecutive month, One High Line was the top performer in terms of deal count, with 6 contracts for more than $33M. This brings the total to 42 contracts for this dual tower project offering 235 units with a combined price of over $2B. 200 Amsterdam Avenue was second in terms of deal count with 4, but first by dollar volume with more than $41M. The 111 unit building is now 80% sold.
Manhattan
From June, deal volume fell 25% to 116 contracts, the total dollar volume decreased 32% to $448M, the median price was stable at $2,647,500, and the median PPSF increased 6% to $2,241.
11% more contracts have been signed in Manhattan YTD than the average pre-pandemic January – July period.
Top Performers by Contract Volume
One High Line
One High Line reported 12 contracts on 1-, 2-, and 3-beds priced between $2.33M and $6.475M. Steve Gold and Deborah Kern of Corcoran represent the relaunch of this project and have now found buyers for 42 of 235 residences.
Claremont Hall
Claremont Hall reported 9 contracts on 1-, 2-, 3-, and 4-bed units priced between $1.17M and $6.95M. Corcoran Sunshine Marketing Group has signed 21 units since the building launched in June 2022.
Manhattan Top 3s
Top Contracts
50 West 66th Street #50N asking $23.0M
4-bed asking $6,747 PSFMandarin Oriental Residences #15A asking $22.1M
3-bed asking $6,535 PSF200 Amsterdam Avenue #36A asking $13.0M
4-bed asking $4,076 PSF
Top Closings
378 West End Avenue #PHA sold for $24.8M
5-bed closing at $4,012 PSFCentral Park Tower #63E sold for $16.5M
3-bed closing at $4,901 PSF111 West 57th Street #28 sold for $13.6M
3-bed closing at $3,028 PSF
Brooklyn
From June, deal volume fell 20% to 98 contracts, the total dollar volume decreased 27% to $123M, the median price retreated 16% to $922K, and the median PPSF slipped 3% to $1,218.
22% more contracts have been signed in Brooklyn YTD than the average historical January – July period.
Top Performers by Contract Volume
H70 Condominium
H70 Condominium reported 7 contracts on studio, 1-, and 2-beds ranging from $365K to $629K. The sales gallery opened in March, and Salomon Danielov, Margarita Danielova, and Armend Duka of The Danielov Team at Corcoran have already sold 42% of the 43-unit building.
Brooklyn Point
Brooklyn Point reported 6 contracts on 1- and 2-bed units ranging from $1.235M to $2,479,335. After more than 5 years on the market, this 482-unit building is now 76% sold. In November 2020, Extell Development tapped Serhant to assist their internal sales department.
Brooklyn Top 3s
Top Contracts
One Clinton #28A asking $4.5M
4-bed asking $1,948 PSF283 President Street #1 asking $4.4M
3-bed asking $1,640 PSF123 6th Avenue #1 asking $3.5M
3-bed asking $1,186 PSF
Top Closings
11 Hoyt Street #5D sold for $3.5M
3-bed closing at $1,568 PSFFront And York – Front Tower #15L
3-bed closing at $1,825 PSFQuay Tower #22D sold for $2.6M
2-bed closing at $1,766 PSF
Queens
From June, deal volume fell 19% to 38 contracts, the total dollar volume decreased 13% to $42M, the median price rose 4% to $922K, and the median PPSF was stable at $1,335.
113% more contracts have been signed in Queens YTD than the average pre-pandemic January – July period.
Top Performers by Contract Volume
Nusun Tower
Nusun Tower reported 5 contracts on 1-, 2-, and 3-beds asking between $707,820 and $1,899,600. Vicki Zhi Saali of Global Real Estate Ventures Group represents the developer and has deals on 48% of the 113 units since the project launched in February of 2022.
The Greene
The Greene reported 4 contracts this month on studio, 1-, and 2-bed units priced from $760K to $1.46M. The sales office opened in November of last year, and since then, Michael Bethoney, Nayi Shen, Patrick Gorny, and Marina Kote of Nest Seekers have already found buyers for 73% of the 129 units.
Queens Top 3s
Top Contracts
Skyline Tower #PH302 asking $2.8M
2-bed asking $2,881 PSFNova #PHA asking $2.3M
3-bed asking $1,866 PSF5-01 47th Road #4B asking $2.1M
3-bed asking $1,386 PSF
Top Closings
Tangram House South #PH2C sold at $2.8M
3-bed closing at $1,353 PSFSkyline Tower #4211 sold at $2.4M
3-bed closing at $1,841 PSFCorte #4D sold at $1.7M
2-bed closing at $1,412 PSF
Report Methodology
- *2015-2019, used as a normalized benchmark for comparison as it is the most recent period unaffected by the COVID pandemic
- Report is based on reported contracts and may not represent all contracts signed
- Prices are based on the last asking price before a unit was put into contract
- New development contracts are sponsor stage (sponsor controlled) projects that are eligible to sell units
- Data as of 8/1/2023
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