A new report out on Manhattan real estate confirms what we all know: NYC real estate is expensive.
The New Development Report by real estate listings and insights website CityRealty details trends in one of the world’s priciest markets.
According to the report, prices are shooting up — but the number of units selling is falling.
“Compared to the last building boom, buildings are offering bigger apartments and fewer of them,” director of research and communications for CityRealty Gabby Warshawer said.
In fact, only five developments will contribute over $US10 billion in new sales. This will account for a third of the $US30 billion projected sales into 2019, according to the report.
Unfortunately, there’s no relief in sight for those seeking more modestly priced New York apartments.
Going hand-in-hand with the former trend is the new trend of the widening gulf between new multi-million dollar apartments and the broader market. CityRealty reports that price per square foot in Manhattan has doubled between 2013 and 2015. In addition, the average price of new-to-the-market apartments is also expected to reach $US5.9 million in 2015 — double the citywide average.
“The prices that are coming in for these limited new units are astronomical even for New York, and we don’t expect that to let up in the next five years,” Warshawer said.