This grand Post War home boasts low ceilings, iron bars, and cinderblock!
In the latest issue of The New Yorker, Kate Julian has an amusing piece on the insanity that has become the latest development boom:
…condo and co-op conversions keep getting more creative. (The list includes not only warehouses, schools, and churches but also the Jehovah’s Witnesses’ Bible depot, the old New York Cancer Hospital, and an Ex-Lax factory.) Now developers are poised to break residential real estate’s last taboo: the correctional facility.
She gives six tips on selecting and converting a prison to condos. (Number three: “Remove any fixtures that say ‘penal institution.'”)
Maybe you’re just not the prison-living type. Not everyone is. Perhaps you’d be more comfortable in the Danvers State Hospital for the Criminally Insane, or another one of our nation’s many mental institutions that are being converted to condominiums (including a rather well known development on Roosevelt Island).
Just another argument that although New York has a finite amount of buildable space, developers will find ways to capitalize on the condo market, even if that means selling you Al Capone’s lavatory.
Curbed shares a tip-off on the new party scene:
“I’m in the hunt for a new condo. I look in all the usual places: Bluer east side, Dumbo, Financial District, Chelsea, and everywhere in between. I also like booze. Every now and again I get invited to a condo launch party (most recently the Cocoa Exchange in the financial district) and I kill to birds with one stone: drink and see condos. But the invites are few and far between. Do you know if there are any website(s) that I could visit that would give me the run down on the latest condo launch party scene. I’ve never been to a Shvopening and I think I’m missing out. Any leads would be much appreciated.” [To our knowledge, no such resource exist, but we’re happy to pick up the slack. Let’s get a party calendar going. Drop [email protected] a line with intel.óed]
I think it’s hysterical that people are jumping on the condo “party wagon.” I’m certain that developers and their marketing teams are tickled pink that people with absolutely no intentions of buying anything are attending.
I’m sure they’ll be thrilled to see a calendar of these events created, that way no one will miss out on the next “Shvopening.” Shh…listen, you can actually hear the marketing team banging their heads against the wall.
Maybe developers could start requiring a completed and notarized financial statement as an admission ticket? Or maybe they’ll just continue to host these parties for the masses with the assumption tht if you keep pouring hooch, sooner or later you’re sure to create a buzz.
Photo: Jennifer Breu
Manhattan is an island, so the amount of property for sale can’t change all that much, right? Wrong.
Not only can little buildings be replaced with big buildings, but rental buildings can be converted to condominiums. Both are happening fast in Manhattan right now, and both are contributing mightily to the available inventory. What does all that mean for buyers and sellers?
The latest episode of the TrueGotham podcast delves into the issue.
Today I venture out to Amityville (hopefully without horror) to close on the sale of my family’s beach property in Bridgehampton. We purchased this “investor/user” home less than two years ago, and stretched ourselves way beyond our means to procure it. We also convinced ourselves (rather I convinced my wife since I’m the real estate “pro”… ha) to take an insanely risky mortgage product: a one month ARM… ouch!!!
I’m sure you haters out there are loving this story so far.
Our plan was to rent the property out for two or three months of each summer for the first few years until we could better afford it. That never happened and with two young children in private school. We ultimately decided the time was right to unload it. We had given it the old college try.
It’s not all bad news, though. In 20 months, the property has appreciated more than 30%. Now that is what I call a lucrative mistake! It is certainly debatable whether or not we should have purchased this home to begin with–and I don’t believe we could find anyone today who would think our one month ARM was a smart move–but, as mostly luck and a tiny bit of real estate savvy would have it, we are walking away in a very nice position.
We are very fortunate to have made this “mistake” on the tail end of the hottest real estate market in recorded history. If I were driving out to Long Island today to purchase an investment property, I don’t believe the ending of the story would be nearly as pleasant, unless I was able to hold onto the place for at least five years… and that wasn’t happening in this case. Phew!
Jonathan Miller busts out a “dizzying” chart illustrating volatility, by property size, in the apartment market.
His chart compares a single quarter to its previous quarter. He indicates that he may correlate this data in the future with mortgage rates and Wall Street bonuses to see how these external influences affect the volatility of the different size segments. Check it out.
UrbanDigs has a graph showing the new inventory that has arrived on the market in the last week. This graph is incredibly helpful for the entire industry; buyers, sellers, and everyone in between. It should prove continually useful as weekly data unfolds. Look for it on UrbanDigs every Wednesday.
Photo: Jennifer Breu
NPR reports New York City is unveiling a plan designed to keep artists from being priced out of their traditional Manhattan haunts.
In my opinion the city is a few steps too late. SOHO, Tribeca, the Far West Side, and the East Village became too expensive for most artists a decade ago. Even parts of the outer boroughs are too pricey for all but the most successful creatives.
I can think of one group of creative types that’s more welcome than ever: starchitects. They’re all over Manhattan these days…
Patrick.net is planning a career change, to become a “realtwhore.”
I know, I knowÖ you’re probably thinking: “Hey, isn’t this the same guy who takes cheap shots at RealtwhoresÆ every chance he gets? Isn’t this the same guy who posts article after article about RealtwhoreÆ deceit and trickery? Isn’t this the guy who routinely characterizes the NAR/MLS as a monopoly and quasi-mafia crime syndicate?”
WellÖ yes, yes and emphatically YES !!! But despite my personal feelings about RealtwhoresÆ, I’m willing to set all this aside for a very important reason: 6%.
Yes, if I become my own RealtwhoreÆ, I don’t have to worry about the inherent conflicts of interest, routine misdirection, lies and thievery that comes part and parcel of being represented by one of California’s finest (unless I decide to rip off myself, that is)!
Yes, I can see the humor. But still, I’m continually amazed at the number of real estate industry haters. Much like stockbrokers from 80’s (like Gordan Gekko from Wall Street) and again with the tech bubble of the late 90’s, there are always people who love to see successful people face conflict and failure.
It’s really no different from the masses of people snatching up tabloids recounting Tom Cruise’s latest tribulations. People love seeing others in pain. I think it makes them feel better about themselves.
That said, Patrick.net’s post and the long trail of comments are evidence that blogs like TrueGotham.com are an absolute necessity for changing common perception of real estate agents/brokers or as Patrick puts it “realtwhores.”
I bet this guy is a renter. He should call me when he’s ready to buy. I can hook him up with college educated people, many of whom have MBA’s and Master’s degrees. They’d certainly prove him wrong about our profession, and you definitely won’t find any of them trolling dark alleyways in tattered fishnets looking for buyers.
Inman has word of a movement to boycott home purchases.
Do these people understand that if they actually get lots of people to do this, rents will go up significantly? Brilliant move… increased rent… no chance of investment appreciation…
They should just burn their money.
My blog is making me a bit schizophrenic. One day I’m praising the industry, defending its honor, and disposing of the “sleazy used car salesman” reputation. The next I’m waxing about “unscrupulous” brokers and their dirty tricks.
Unfortunately, today I address the latter.
On a recent “date night” (if you have kids you know what I mean) my wife and I noticed some advertisements around town for a boutique real estate firm, which I won’t name, that called itself the “Premier Real Estate Firm in Manhattan.” Intrigued, I double-checked the meaning of “premier.” Here’s what Merriam-Webster had to say:
Main Entry: pre*mier
Pronunciation: pri-‘mir, -‘myir, -‘mE-r; ‘prE-“, ‘pre-”
Function: adjective
Etymology: Middle English primier, from Middle French premier first, chief, from Latin primarius of the first rankómore at PRIMARY
1: first in position, rank, or importance
2: first in time: EARLIEST
I’ve been working as a New York City as real estate agent or broker for nearly 15 years. I can tell you that this boutique is not first in position, rank, nor importance (I don’t see a definition that includes “first in self-importance”). Why does it seem that firms city-wide can make this claim with no ramifications? Where is truth in advertising? All sizzle and no steak!
Here’s my challenge to all the “premiers” of real estate. Put your money where your mouth is and prove it! Let’s see numbers, facts, evidence. If you can do it, congratulations! You’re premier. If not, park a few junkers in front of your office, string up some red, white, and blue plastic flags, and start shouting “our low, low prices can’t be beat!”
For the record, I believe I work for the “premier” real estate firm in Manhattan: Prudential Douglas Elliman. I’d be more than happy to backup that claim anytime.
