Search

The article discusses the challenges faced by Silverstein Properties in finding an anchor tenant for the final tower of the World Trade Center redevelopment, 2 World Trade Center. Despite successful transformations of the site, financial constraints and the current state of the office market have hindered progress on the tower. Various potential anchor tenants have been considered, including American Express, but no deal has been finalized yet. The article also explores the possibility of residential conversions as a solution to the city's office space surplus, with affordable housing initiatives already underway at other towers in the complex. [Extracted from the article]

A Bensonhurst real estate firm, Sterling Group, has purchased seven apartment buildings in Sunset Park for $20 million. The buildings, located on 61st Street, contain over 120 apartments and are mostly rent-stabilized. Sterling Group plans to make minor renovations to the properties, and many of the rent-stabilized units will be eligible for rent increases if they become vacant. Sunset Park is primarily known for its commercial real estate, including the Industry City campus and a recent purchase by FedEx for a distribution center. [Extracted from the article]

According to a report from Douglas Elliman and Miller Samuel, the median rent prices in Manhattan, Brooklyn, and northwest Queens were down in August compared to last year. This suggests that New York may avoid a second consecutive year of record-high rents. The rental market typically peaks during the summer months, so it is unlikely that rents will surpass their all-time highs from 2023. The report also notes that new lease signings and listing inventory have increased significantly in Manhattan and Brooklyn. The Federal Reserve's anticipated interest rate cut is expected to further reduce pressure on the rental market. [Extracted from the article]

The Bronx Vibe, a new 12-story rental project, has opened in the Bronx courthouse district, offering a mix of market-rate and affordable apartments. Developed by Diamond Property Management, the project qualified for a 421-a property tax abatement, allowing for the inclusion of affordable units. The neighborhood, located near Metro-North tracks, is not typically known for market-rate housing, making the Bronx Vibe a unique addition to the area. The building offers amenities such as a co-working space, gym, and a future movie-screen-equipped roof deck. [Extracted from the article]

Despite record-high rent prices, Manhattan lease signings reached their second-highest level ever in June, with 6,775 new leases signed, up over 30% from the previous year. The median rent in Manhattan remained flat year over year at $4,300, tying its record high for June. Bidding wars are becoming increasingly common, with the average listing discount reaching a new low of -1.4%. In Brooklyn, the median rent reached a June record of $3,695, while in northwest Queens, the median rent dropped to $3,250. Rent prices are expected to continue rising over the summer. [Extracted from the article]

The former headquarters of pharmaceutical company Pfizer in Midtown Manhattan is set to undergo the city's largest-ever residential conversion. The two-building complex will be transformed into a 1,500-unit rental complex, with construction set to begin in a few weeks. The project will involve replacing all 2,000 windows, removing facades, and installing energy-efficient outer walls. The apartments will be offered at market-rate rents and will not include any affordable housing. The conversion is part of a larger trend of office tower conversions to address the housing crisis in New York City. [Extracted from the article]

The Rent Guidelines Board in New York City has approved a 2.75% rent increase for one-year leases signed on or after October 1. The decision was made after a contentious meeting, with protests outside the venue. The increase will affect tens of thousands of New Yorkers living in the city's regulated units. Tenant advocates called for a rent freeze, while landlords argued that the increase is necessary to cover rising costs. This is the third consecutive year of rent increases, following a freeze during the Covid-19 pandemic. [Extracted from the article]

The article discusses the impact of rent reforms in 2019 on the multifamily housing market in New York City. These reforms have made it more difficult for landlords to deregulate units and have led to limited loans for multifamily deals. However, the recent sale of two rent-regulated buildings on the Upper West Side suggests that there is still demand for rentals. The buildings were purchased by Checo Acquisitions for $14.5 million, with JPMorgan Chase providing $9.4 million in debt. The presence of rent-stabilized tenants did not deter the buyers, who see affordable housing as important for the city. The article also provides historical information about the properties and the neighborhood. [Extracted from the article]

According to a report from Douglas Elliman and Miller Samuel, New York City rents have reached record highs again after a slight drop in March. In Manhattan, the median rent rose to $4,250, a 3.7% increase from the previous month. Despite the increase, renters were not deterred, as new lease signings were up significantly compared to the previous year. Brooklyn and northwest Queens also experienced record-high rents for April. With high interest rates keeping potential buyers in the rental market, it is expected that rent prices may continue to rise in the coming months. [Extracted from the article]

Law firm Sullivan & Worcester has moved its Midtown office to a smaller space at 1251 Sixth Ave. The new office is 20% smaller but offers a view of Rockefeller Center and a "fun and collaborative" environment. The rent is also lower than their previous location at 1633 Broadway. The move was motivated by a desire to be more centrally located and closer to Grand Central Terminal. Law firms have become prime tenants for office landlords, and several major law firms in New York City may be looking for new spaces in the coming years. Sullivan & Worcester's new office building is owned by Japan's Mitsui Fudosan and features an artist-authorized replica of a tapestry by Pablo Picasso in the lobby. The firm is considering expanding into Hong Kong and sees New York as the gateway for their plans. [Extracted from the article]

Property investment sales in New York City during the first quarter of 2024 were the second lowest since at least 2015. The slow start can be attributed to high interest rates, which have made it financially unfeasible for many office deals to take place. Other factors contributing to the slow market include struggling property owners seeking bankruptcy protection instead of sales, uncertainty surrounding the upcoming presidential election and overseas conflicts, and the persistence of remote work. However, despite the slow start, there are still some types of properties that are selling, such as multifamily buildings, empty commercial buildings, and development sites suitable for condo projects. The recently passed housing package in the state budget may provide a slight boost to activity, but its overall impact remains to be seen. While the decrease in sales will have an impact on tax revenue for the city, many in the real estate industry remain optimistic about the long-term prospects of the New York and national economy. [Extracted from the article]

According to a report from Douglas Elliman and Miller Samuel, rents in New York City decreased slightly last month, with outer borough residents showing particular interest in taking advantage of the lower prices. The median rent in Manhattan dropped year over year in March to $4,100, the first decrease in four months. However, this was still the second-highest rent on record for the month. The report also noted an increase in bidding wars, with 1 in 5 apartments leasing for more than the landlord's asking price. In Brooklyn, the median rent remained flat, while in northwest Queens, it decreased slightly. The high leasing levels in Brooklyn and Queens were attributed to the slight price drops and high Manhattan rents. [Extracted from the article]

The U.S. Postal Service pays an extremely low rent of $2.23 per square foot for its 500,000 square feet of space at 909 Third Ave in Midtown Manhattan. This is significantly below the market rate of $55 per square foot. The Postal Service, facing financial difficulties, exercised a five-year extension for its space last October. The building is owned by Vornado Realty Trust and is 95% occupied. Other government agencies in New York City also negotiate below-market rents for their spaces. The Postal Service's low rent should please Congress, which has ordered the agency to stabilize its finances. [Extracted from the article]

The article discusses the changing dynamics of Detroit's residential market, with residents increasingly renovating long-neglected homes for personal use or as rental properties. Research by data expert Alex Alsup highlights the trend of residents taking ownership of homes in the city, while also noting a shift in the economics for investors in Detroit's housing market. The article explores differing perspectives on property ownership and investment strategies, with some disputing the characterization of previous business practices as exploitative. Overall, the article provides insights into the evolving landscape of Detroit's real estate market. [Extracted from the article]

According to a recent report from Douglas Elliman and Miller Samuel, rent prices in New York City are stabilizing, leading to a busier market for apartments. In Manhattan, the median rent increased by 2.5% month over month and 1.3% year over year to reach $4,150. New lease signings also increased by 8% and 14% month over month and year over year, respectively. In Brooklyn, the median rent remained flat year over year at around $3,500, but new lease signings almost doubled year over year. In northwest Queens, the median rent decreased year over year to $3,200, but new lease signings increased significantly. Overall, the report suggests that rental prices are not expected to correct drastically in the near future. [Extracted from the article]

According to a report from the Real Estate Board of New York (REBNY), housing production in New York City has been declining. In the fourth quarter of 2023, developers filed permits to build 4,046 units, which is slightly lower than the previous quarter and 16% lower than the historical average since 2008. Large multifamily buildings of 100 or more units are particularly scarce, with only nine permits filed in the last quarter of 2023. The decline in housing production is attributed to elevated loan costs and a lack of tax incentives. REBNY has called for new policies to spur rental housing construction and has proposed an alternative tax break program for affordable projects. Despite the decline, there are still some larger affordable projects being proposed, particularly in the Bronx. [Extracted from the article]

Ralph Lauren has successfully negotiated a 30% reduction in rent for its corporate headquarters at 650 Madison Ave in Manhattan. This reduction means that Ralph Lauren will pay approximately $62 per square foot, compared to the previous rate of $88 per square foot. The company will also be reducing its office space from 240,000 square feet to 140,000 square feet. The building, owned by Vornado Realty Trust and the Ontario Municipal Employees Retirement System, has experienced a decline in performance, leading to a credit downgrade. [Extracted from the article]

Meta Platforms, the owner of Facebook, Instagram, and WhatsApp, is reducing its office space at 770 Broadway by a third. Vornado Realty Trust, the landlord, announced that occupancy rates at its Manhattan office buildings will continue to decline this year. However, Vornado secured some large leases last quarter and is in negotiations for another 2 million square feet of space. Despite the decrease in occupancy, Vornado remains optimistic about the future of the office leasing market. [Extracted from the article]

The residential market in 2023 experienced sluggish sales, reduced inventory, and big discounts due to higher-than-normal interest rates. However, the Federal Reserve's announcement in mid-December that rates may be cut in 2024 sparked optimism. If rates drop, more buyers may enter the market, leading to increased supply and potentially lower rents. While Manhattan median sale prices were robust, they did not surpass the record set in 2022. Co-ops fared worse than condos, and developers focused on affordable housing in the outer boroughs. The use of shell companies in real estate transactions has both benefits and drawbacks. [Extracted from the article]

According to a court document filed on December 5th, Rep. Dan Goldman, who represents Lower Manhattan and brownstone Brooklyn in the House of Representatives, is accused of not paying rent for a five-bedroom apartment in Tribeca since August. The owner of the apartment claims that Goldman and his wife owe $180,000 in unpaid rent for the August-to-November period and an additional $360,000 to cover the remainder of the broken lease. Goldman denies the allegations. The apartment is currently for lease and also on the market for sale. This is not the first legal dispute involving the apartment. [Extracted from the article]

Chicago Development Partners is in talks to purchase the former Salesforce office property in River North and convert it into apartments. The majority of the 156,263-square-foot building has been vacant since last year when Salesforce moved to a new location. The sale price of around $17 million would be a significant discount from the property's pre-pandemic value. Converting the office space into apartments aligns with the city's push to repurpose vacant office space into residential uses. [Extracted from the article]

A Wisconsin real estate investor, MLG Capital, has purchased a 272-unit apartment complex in Aurora, a suburb of Chicago, for $48 million. The property, called Orchard Village, was previously sold for $34.5 million in 2015. The consistent rent growth in suburban Chicago has attracted investors, with net monthly rent increasing by 4% in the first quarter of 2024. MLG Capital now owns over 1,700 units in Illinois and this acquisition was part of a 1031 exchange. [Extracted from the article]

Demand for downtown rental apartments in Chicago continues to exceed supply, but the market has been cooled off by the opening of new high-rise buildings. In 2024, a total of 3,600 new apartment units are projected to be delivered, compared to 2,900 units in 2023 and 1,500 units in 2022. Despite the increase in supply, building owners have still been able to raise rents, indicating strong demand for downtown living. Factors contributing to the demand include elevated interest rates, remote work, and employment relocations to Chicago. However, the supply of new apartments is expected to decrease in 2025, leading to potential rent spikes. [Extracted from the article]

The owners of two apartment buildings in downtown Chicago are looking to sell their properties. Cobbler Square Lofts, a 292-unit apartment complex in Old Town, and Nevele22, a 97-unit apartment complex in River West, are both on the market. The properties are located in popular neighborhoods and are being sold at a time when rising rents make the Chicago area attractive to apartment building investors. The apartment complexes offer assumable debt and the potential for additional residential units to generate more revenue. [Extracted from the article]

The luxury Chelsea29 apartment building in New York City is currently fully rented but struggling to pay its bills. Despite being 98.5% occupied, the building is facing financial difficulties due to increasing operating expenses that are eating into rental income. The building's debt-service coverage ratio has consistently been below 1.0x, indicating that it generates only 80% of the cash needed to meet its debt obligations. The building's energy costs are likely high due to its low efficiency rating, and many other apartment buildings in the city are also grappling with rising expenses. [Extracted from the article]

WeWork, which recently filed for Chapter 11 bankruptcy protection, owes millions of dollars to some of New York City's biggest office landlords. The list of creditors includes prominent real estate firms such as RFR, the Chetrit Group, and Brookfield. However, it is unlikely that these landlords will be able to collect the full amounts owed. This situation further adds to the challenges faced by the already fragile office market. WeWork also owes trade debt to Cushman & Wakefield. The impact of WeWork's bankruptcy on Cushman is expected to be minimal, according to CFO Neil Johnston. [Extracted from the article]

Whizz, a startup based in the West Village of New York City, offers e-bike rentals to delivery workers with unlimited repairs and maintenance included in the monthly fee. The company was launched in 2022 by co-founders Ksenia Proka and Alex Mironov, who had previously founded a similar e-bike rental company in Moscow. Whizz currently rents 1,000 e-bikes to delivery workers in New York City and plans to expand to other locations. The company's e-bikes are specially designed for heavy use and include features such as GPS tracking and long battery life. Whizz's software, developed in-house, helps optimize operations and offer competitive rates. The company aims to become the largest provider of electric fleets for last-mile delivery in the US, managing a fleet of 100,000 vehicles in five years. [Extracted from the article]

"We're at a point now... that will require rents well in excess of $200 a square foot for anybody who wants to build anything", Boston Properties President Douglas Linde said at an investor conference Sept. 11. The cost to build new office towers in New York City doesn't make sense unless the space rents for more than $200 per square foot, a leading developer said this month. If the tower doesn't get built, the ground lease will be returned to the Metropolitan Transportation Authority and Boston Properties would get a refund, Linde said. [Extracted from the article]

Cea Weaver, campaign coordinator at Housing Justice for All, pushed back on that, arguing that the study showed the 2019 rent law is helping keep rents low and that the crisis of empty rent-stabilized units is overblown. Landlords register an average of roughly 880,000 apartments per year with New York State Homes and Community Renewal, and IBO examined that data to estimate how many consecutive years city rent-stabilized units were staying vacant. A new report seeks to shed some much-needed clarity on a pair of hot-button issues: how many of the city's rent-stabilized apartments are empty and how long they stay that way. [Extracted from the article]

Cleveland has one of the largest racial and ethnic disparities in rent burdens among the top 50 markets in the US, with BIPOC (Black, Indigenous, and People of Color) renters carrying a nearly 37% burden, 8.8 percentage points more than white renters. The median income of BIPOC renter households in Cleveland is significantly lower than that of white renter households, resulting in a higher proportion of their income being spent on housing. The report also highlights the shortage of housing assistance, with only a fraction of eligible households receiving vouchers. Additionally, some landlords do not accept housing vouchers, further complicating the situation for renters. [Extracted from the article]

Founded in 1997, the Flatiron-based firm focused mostly on Manhattan and Brooklyn projects before developer Werber Real Estate enlisted it in 2020 for Roosevelt Parc, a 154-unit luxury high-rise in Jackson Heights. BLDG Management, a developer with deep New York roots, is at work on a 69-story, 824-unit spire at Orchard Street and Jackson Avenue that's aiming to be Queens' tallest tower. [Extracted from the article]

The council's plan would allow New Yorkers who are simply a few weeks late on rent to qualify for aid. The recent City Council vote to override Mayor Eric Adams' veto has sparked an essential conversation about housing affordability in New York. [Extracted from the article]

Allon said the OSE would review Airbnb's lawsuit. "Airbnb will have to cancel thousands of registrations", said Karen Dunn, an attorney for San Francisco-based booking site Airbnb, which filed two lawsuits against the city on June 1. [Extracted from the article]

Back rent Michael Carty, president of the restaurant, acknowledged that it owed back rent but placed the blame for this entirely on the pandemic, which upended the city's restaurant and hospitality businesses. Famed Times Square Irish pub Rosie O'Grady's will permanently close as of July, according to a notice filed with the state. The Margaritaville Resort at 560 Seventh Ave. is facing a foreclosure auction, and neighborhood chains including Planet Hollywood and the Hard Rock Café both faced lawsuits from their landlords over unpaid rent early on in the pandemic, although the suits were ultimately discontinued. [Extracted from the article]

Keywords: WHO OWNS THE BLOCK EN WHO OWNS THE BLOCK 4 4 1 06/12/23 20230605 NES 230605 With the bang of a gavel on a podium on May 23, the Flatiron Building, the much-loved and recently embattled wedge of a structure, began a new chapter. 175 FIFTH AVE. Not the tallest, fanciest or most centrally-located tower, the Flatiron can nevertheless instantly conjure New York. [Extracted from the article]

Paramount Group is an office landlord with the misfortune to have its entire portfolio in Manhattan and San Francisco, two of the nation's most challenged markets. The leased rate for Paramount's New York portfolio edged down to 90.2% last quarter from 92.1% at the end of 2022. [Extracted from the article]

CEO pay Most CEOs of publicly traded New York office landlords saw little change in their total pay last year. Median CEO pay rose by 3%, to $14 million, because any declines in salary or cash bonuses were more than offset by higher stock and options grants. [Extracted from the article]

It's all but official - housing reform is dead in New York. Ultimately, whether Hochul wanted, badly enough, to make her housing plan a reality is a question worth asking. [Extracted from the article]

The median rent in Brooklyn climbed to a new high for March at $3,493, up month over month and year over year, while the net effective median rent hit its second-highest level on record at $3,459, according to the report. Rents across the city are continuing to set records with the arrival of the spring apartment-hunting season. [Extracted from the article]

The proposal, spearheaded by state Sen. Brian Kavanagh and Assemblywoman Grace Lee, would add this money to the emergency rental assistance program, providing a boost for New York City Housing Authority tenants and others who have been essentially excluded from the program so far. LEGISLATORS HOPE to include $389 million in rent relief for public housing tenants in the state's upcoming budget. [Extracted from the article]

Will more units actually reduce housing costs? The basic premise behind the ambitious housing plans from Mayor Eric Adams and Gov. Kathy Hochul is simple: New York's population growth has far outstripped its housing stock in recent years, driving up prices and making its real estate market insanely competitive for people looking to rent an apartment or buy a home. Hochul's housing plan also calls for communities with Metro-North stops to rezone the areas within a half-mile of the train stations for more housing within three years. [Extracted from the article]

For tenant activists reading the tea leaves, Rosenthal's rise may be a sign Heastie is growing more receptive to their side. The legislation would extend the benefits rent-stabilized tenants enjoy to market-rate tenants everywhere. [Extracted from the article]

Also, under a subsequent 2016 law, operators of short-term rentals, such as Airbnb and Vrbo, can face steep fines for advertising illegal rentals on their sites. A tenant at a Manhattan luxury tower may lose his home after, it is alleged, he rented it out for $1,000 a day, at a time of escalating tension between city officials and short-term-rental operators. [Extracted from the article]

Bistricer and Chetrit planned to reopen the historic, 187,200-square-foot property as a luxury 302-room hotel with an expected opening date in 2013, but the project was mired in delays. Developers David Bistricer of Clipper Equity and Joseph Chetrit of the Chetrit Organization purchased the Hotel Bossert at 98 Montague St. for $81 million in 2012 from the Jehovah's Witnesses, who were using it to house members visiting New York City. A historic Brooklyn Heights hotel is headed to the auction block after its owner defaulted on a $112 million mortgage, according to a Uniform Commercial Code notice published recently. [Extracted from the article]

But in the metro Detroit region - the Detroit-Warren-Dearborn metro statistical area - median rents grew 2.1% from a year ago and stood at $1,312 per month, according to the report. However, metro Detroit and other Midwest cities are continuing to gain some momentum, though rents are far below the national average, according to a new report. [Extracted from the article]

Tracii Randolph owns a three-unit rental building in Bronzeville whose value is beneath the horizon for an increase in transfer taxes if she were to sell, but she said landlords who are subject to it "will absolutely" pass the increased tax along in the form of higher rent. If the increased transfer tax that Mayor Brandon Johnson has endorsed goes through, rents would go up by as much as $100 a month per apartment in buildings that get sold, according to a new report from a property owners association. [Extracted from the article]

The owner of a Lake Shore Drive luxury apartment building is looking to cash out as downtown apartment rents sit at a record high. A venture of JPMorgan Asset Management has hired the Chicago office of real estate services firm Newmark to sell the 19-story apartment building at 850 N. Lake Shore Drive, according to a marketing flyer. JPMorgan hired Newmark in August 2020 to sell the property, one of the first big downtown apartment buildings to hit the market after the onset of the COVID-19 pandemic. [Extracted from the article]

Last week, Axonic and Iris Wolstein's attorneys agreed to delay briefing on the lender's motion for summary judgment in the New York case - another sign that a resolution might be in the works. A foreclosure auction involving the Ernst & Young Tower at the Flats East Bank has been delayed, a move that points to behind-the-scenes negotiations between the Wolstein family and a lender on the high-profile downtown property. The upcoming auction, a Uniform Commercial Code foreclosure initiated by New York-based lender Axonic Capital LLC, is not an outright sale of the building. [Extracted from the article]