The Lower East Side real estate market is taking off this year. People will be seeing several new developments in the area, from residential buildings to large scale projects and more. Both investors and residents are indeed looking forward for what 2013 and the years to come have to offer.
A New Path for the Lower East Side
The Lower East Side is having a surge of new developments. In March of the current year, a certain development company paid about $150 million for the site of a Pathmark store, together with the store’s long-term lease. The location is at 227 Cherry Street. The said firm is expected to build and create a high-rise residential tower on the site.
Expect to see more developments coming to the Lower East Side because of this.
Seward Park Development Project
A 1.65 million-square-foot project will be developed on nine different sites located on Delancey and Essex Streets. This is what they call as the Seward Park Mixed-Use Development Project. There are already a number of big companies that are expected to submit their own proposals for the said project.
The Fulfillment of an Old Promise
The Seward Park is believed to be the biggest piece of undeveloped city-owned land located at 96th Street. It has long been vacant since the government displaced more than 2,000 residents and bulldozed their homes in the year 1967. Yet, they failed to develop the site when the funding came up dry. In 1981 and 2003, there were attempts in developing the said site, however, these attempts remained unsuccessful.
The Mixed-Use Park
The Seward Park RFP of the city calls for 500 affordable and 500 market-rate housing units. At the same time, the project calls for 600,000 square feet dedicated for retail, hotel or office space. Included on the project is the plan for a revamped and bigger Essex Street Market.
A 12-Story Residential Tower
On the smaller scale, the Lower East Side is also getting a new 12-story residential tower. The building covers an area of 44,000 square feet and it comes with 38 units. It is located at 100 Norfolk Street. A Brooklyn-based developer bought the property in 2013 for an amount of $8.8 million. According to the architect of the project, the building will have a cantilevered design which will stand over the adjacent low-rise buildings. It will look more like an inverted wedding cake.
Other Developments for Lower East Side
At the end of 2013, investors and boutique hotelier bought a site located at 215 Chrystie Street for an amount of $50 million. The new owners plan to build yet another 25-story tower. The first 17 floors of the building will be dedicated to a Public brand hotel, while the remaining floors will serve as residential space.
What more can people possibly want for the Lower East Side?
The stock market is doing great. Unemployment is decreasing. And consumers seem newly confident. But at least one significant obstacle is preventing a surge in home sales in Midtown West and other major New York City areas: Even if people want to purchase homes, there aren’t that many to choose from. In fact, the current inventory crunch, the worst in recent years, has become the defining feature of the City’s residential market.
At the end of the first quarter, there were only 4,960 co-ops and condos in Manhattan for sale — a sharp 34 percent decrease from 7,560 in the same period of last year, according to a data research firm. That’s the steepest year-over-year plunge in over a decade, according to a local appraiser who has tracked the city’s inventory since 2000. Currently, the inventory is hovering around 2004 levels, before the real estate boom gathered steam. Inventory peaked in 2009 and has been decreasing ever since, the data shows.
Why the Shortage?
One primary reason is the slowdown of new residential development during the downturn, when construction loans were scarce and the ones that did get issued were far smaller than they were during the boom. Even as residential development heats up again, banks are more comfortable underwriting loans for developers to build rental properties versus condos, say industry insiders. And these days, there are less external financial incentives in terms of tax abatements, such as the now-expired 421a, which prompted developers to rush projects into the ground, which resulted in a flood of residential inventory in the city.
Basic demographics could be to blame, too. The city is now adding approximately 50,000 residents a year, according to U.S. Census records, but the number of homes being added to the market is not keeping up with the pace. Indeed, just 10,599 single-family homes and apartments were built in 2012, compared with a recent high of 33,911 back in 2008, according to permits filed with the city’s Department of Buildings.
Improved subways, low crime rates and more family-friendly amenities are among the factors fueling the city’s popularity, said a real estate attorney and former City Council member. Other factors restricting residential inventory today include tight credit and high unemployment, experts say. Homeowners who are financially challenged or fear they can’t get a mortgage can’t upgrade to bigger apartments, said a veteran real estate attorney who represents sellers and buyers, which means they’re unlikely to put their own homes on the market.
Adding insult to injury — for homebuyers, at least, is that the lack of supply is sending prices of the homes that are available through the roof. Ironically, tight credit is making housing prices higher, which is completely contradictory, industry insiders say. It is definitely keeping inventory from entering the market in a normal way, they add.
Tight market conditions are also leading to regular bidding wars. It’s estimated that one out of every three Manhattan buyers has engaged in a bidding war of some kind. In 2012, by contrast, that usually only occurred in one out of every 10 deals. Things have heated up significantly since then. None of the major Manhattan neighborhoods have been spared by the inventory shortage, according to a data analysis.
With fewer sellers in the market, New York City residential brokers have — inadvertently — found themselves taking on substantially more buyers as clients. Right now, they are working with extremely eager buyers which would normally be spent handling their listings. One broker said that she’s working with 45 to 50 percent more buyers than she was before the market tightened. Like her, many feel that they have not had a conscious choice in the matter. It depends on the climate and the climate has changed. Another broker said the number of buyers he’s working with has also increased about 50 percent over the last three months. He also notes that most of his colleagues are agreeing to work with more buyers, too.
Buyers feel that they need to purchase now while sellers, on the other hand, see that the market is getting stronger and think they should wait. These two parallels of strength are causing extremely low inventory and very hungry buyers. There are also strong indicators that prices are going to continue increasing. The extreme lack of inventory in the market has prompted many brokers to shift not just their clientele but also their strategies for doing business.
For starters, it means that competition to score the limited number of for-sale apartments as listings has increased, largely because those assignments are almost guaranteed sales — as long as they’re well-priced, that is. But it’s also requiring brokers who are representing buyers to work harder than usual. They’ve had to become very proactive and creative in finding apartments for their clients to see — whether it’s expanding their criteria or writing letters to owners in a particular building. Also, keeping the buyers engaged during the extended search process has become a major part of their work schedule.
According to the latest market report for the first quarter of 2013, the listing inventory in Manhattan fell by 34.4 percent year-over-year to 4,960 units from 7,560. Meanwhile, the number of sales dropped quarter-over-quarter to 2,457 in the first quarter from 2,598 in 2012’s fourth quarter. The lucky brokers who do get listings in this market have a huge advantage, sources say. Their goals should be to get high offers and more buyers in the door, they add. With this type of market condition of little supply and larger demand, it means that there are going to be more successful sales for sellers.
However, agents who are used to working only on exclusives have been forced to develop new strategies for dealing with these unique market conditions. Some say that they’ve had to go back to the old-school approach of aggressively working the phones to try to get new exclusives versus waiting to be contacted by new or former clients.
Because it’s a seller’s market, they’ve had to rev up their seller representation and push harder on new exclusives. Some have found it advantageous to reach out to former clients who purchased properties during the boom, explaining to them why selling now would be profitable.
After significantly dropping the price, Madonna has sold her 6,000 square foot Central Park West apartment at Harperley Hall to a prominent hedge fund manager. The diva’s duplex apartment in the 1911 Arts and Crafts-style structure at 41 Central Park West was sold last week to Deepak Narula for considerably less than the $19.995 million asking price, brokers told a local newspaper.
The six-bedroom, eight-bathroom apartment boasts two large living rooms with Juliet balconies and has sweeping views of the park. The apartment was originally listed back in in November for $23.5 million, but marked down in February after it languished without a buyer.
History
Harperly Hall, 41 Central Park West is an apartment building in Manhattan, New York City. The building is located along prestigious Central Park West and was built in 1910. Cast in the Arts and Crafts style, a rarity for New York City, Harperly Hall was designed by Henry W. Wilkerson. The structure was listed as a contributing property to the U.S. federal government designated Central Park West Historic District in 1982 when the district joined the National Register of Historic Places.
Wilkerson and a number of investors purchased the property at the northwest corner of 64th Street and Central Park West in 1909. The investors included Wilkerson, Mary Bookwalter, a decorator, Dwight Tryon, an artist, Wallace Irwin, a humorist and concert manager Loudon Charlton. According to the corporate papers, their goal was to build a cooperative suitable for artists’ studios. The building was named after a manor house in County Durham, England, the Wilkerson’s ancestral home.
By March 1910, construction on Harperly Hall was nearing completion and the building represented the first housing cooperative in the Central Park West area. It officially opened in 1911 with 76 apartments.
Architecture
Wilkerson’s design is unique from the typical apartment building design of the day. He had little experience designing apartment houses and used the Arts and Crafts style liberally throughout the structure. Though the building is cast mostly in this style, it also contains elements of the Neo-Italian Renaissance style.
The facade is brown brick with a limestone base and terra cotta trim. The bricks, rough and mottled, are laid in “undulating lozenges” on the face of the building. This forms a carpet-like texture which gives the building a handmade character. Glazed tiles highlight the surface where they provide colorful displays of gold, turquoise and green. The glazed tile work is most likely the work of ceramicist Henry Mercer.
El Museo del Barrio is a museum located in the east Harlem neighborhood of Manhattan, New York. It is often referred to as the El Museo. It stands at the northern end of the Museum Mile, north of the Museum of the City of New York. Founded in the year 1969, the said museum specialized in Latin American and Caribbean art. It gives emphasis on the artworks from Puerto Pico and the Puerto Rican community in New York City.
Museum’s Collection
The El Museo features an extensive collection of more than 8,500 pieces which covers pre-Columbian and traditional artifacts. The collection includes a large permanent Taino exhibit, the 20th century arts and graphs, graphics, popular media, Mexican masks, textiles from Chile, and traditional art from Puerto Rico. It also houses temporary exhibits on Puerto Rican and Latino modern art.
Aside from that, the museum sponsors a number of festivals and educational programs all throughout the year, including the annual Three Kings Day parade. Because of lack of space during the 2009 to 2010 expansion, the museum started to place some of their permanent collection online. This somehow served as a means of audience development too.
And to reach new audiences, El Museum partnered with some organizations for joint exhibits like the Nueva York (New York Historical Society) and the Caribbean Crossroads.
A Piece of the Museum’s History
Originally, the venue where the museum stands was a Fire Station during the Nuvorican Movement and the Civil Rights Movement. The group includes a number of parents, educators and community activists. The artist and educator Rafael Ortiz was assigned to create materials for schools in the East and Central Harlem that would highlight Puerto Rican art, history, as well as the culture. Ortiz then reconceived the project as a community museum, wherein it mainly functions as a neighborhood institution serving the Puerto Ricans.
The museum also pursued to define itself as an educational institution and its original location was a public school classroom. With the increasing number of the Latino population in New York, the scope of the museum expanded.
In the year 1977, El Museo joined the Cultural Institutions Group which somehow helped increase and maintain the funding of the museum. The funding got frozen in the 1980s following a period of mismanagement. Luckily, it was able to successfully rebound and grow.
Museum Details
- Location: 1230 Fifth Avenue, New York
- Contact No.: 212-831-7272
- Email Address: [email protected]
- Official Website: www.elmuseo.org
- Hours of Operation: Wed to Sun from 11:00 am to 5:00 pm, Thurs from 11:00 am to 8:00 pm; Archives are available by appointment only.
- Fees: $9 for Adults, $5 for Students and Seniors, Free for members and children below 12 years old
If you would like immerse in the culture and artworks of the Latin American, it is best to visit the museum. Know more about El Museo through their official website.
One of the must-see places in New York City is the Chinatown. This is home to the biggest enclave of Chinese people on the Western side of the globe. You can find this at the borough of Manhattan in NYC, bordering the Lower East Side to the east and the Little Italy to the north. It comes with an estimated population of 100,000 people, also considered as one of the oldest Chinese enclaves outside Asia.
Most Chinese see this as an American Dream in action. The thriving immigrant population provides visitors access to Asian wares, culinary delights found only in China, and a walk through New York City’s past. A great starting point when visiting the area is through the Chatam Square, an intersection between seven major streets. History buffs will definitely love the statue that stands in the area, which is Lin Zexu, a Qing Dynasty official who fought against the Britain’s illegal importation of opium. But of course, most of you just want to start eating and shopping through the busy streets of Chinatown.
Discover Chinatown with the most exciting and most interesting attractions.
The Museum of Chinese in America
Located at 215 Centre Street, it reopened in 2009. This is the museum for the Chinese-American experience, founded in the year 1980. Today, it is known to be Chinatown’s most refined tourist attraction. The permanent exhibition space is dedicated to telling the story of the Chinese people in the country. Admission here is free.
Aji Ichiban
If you’re quite new to the world of Asian delicacies, especially with candies and snacks, the best place to go to is the Aji Ichiban. This is more commonly known as the Munchies Paradise. The store comes with all sorts of sweets and savories in clear bins so you can see how these treats look like. Products at the store are sold individually, instead of by packs. Some of the treats here are lychee-flavored gummies, wasabi peas, Japanese rice crackers, dried squid and more.
New Kam Man Grocery Store
The bi-level grocery store is a one-stop shop, not limited to Chinese ingredients alone. There are roasted meat stations, noodle bars, stalls for medicinal herbs and a whole lot more. On the lower level, you can mostly see housewares, like the traditional Chinese porcelain, dishes, bowls and cups, and more.
Columbus Park
The neighborhood is actually quite diverse. To get a glimpse of this, head to Columbus Park. You can see the bustling during weekends. You can find amateur troupes of Chinese-opera performers, residents playing mah-jongg and unfamiliar card games, people practicing tai chi and learning the art of kung fu, stray fortune tellers, and the like.
Jing Fong
For most Americans, dim sum can be just a meal. But this can actually be experienced. If you’re up for a dim sum experience, the best place to go to is Jing Fong. The venue is huge, considered as the city’s biggest traditional Cantonese restaurant. You can eat everything here, from shrimp dumplings to pig knuckles and the like. The restaurant offers more than 100 dishes.
If you’ve been trying to decide between renting and buying in the Big Apple, data continues to show that renting is the best option. Recent reports have suggested that New York bucks the national trend of renting vs. buying, where in most US cities buying is the preferred choice.
Buying Generally Favored Elsewhere
The upheaval in the housing market over the past few years has certainly changed the landscape of the rental market in many US cities. In nearly 75 percent of the biggest cities in the nation, it has become less expensive to buy a home compared to renting one. This is due to a marked increase in the number of foreclosures nationwide, which has in turn boosted demand for apartments and other rental units.
However, New York is one of the few big cities where the opposite is true. Former homeowners in New York City have bombarded the rental market, significantly increasing demand. This has resulted in the steady increase of rental prices, making it slightly more expensive to rent rather than buy in places like Manhattan.
Other large US cities are in the same boat as New York City. Boston and Cleveland are both places where renting remains generally affordable, although buying may be a better long-term financial decision. Cities where buying is the most affordable include Arlington and Phoenix, based on the cost of a two-bedroom home in the 50 largest cities in the United States.
Renting Vs. Buying in New York
Data suggests that in New York City, buying a home is about 26 percent less expensive than renting. This figure has remained relatively unchanged over the past year, although is closer than in many other US cities. For example, buying in Detroit is 70 percent less expensive than renting.
However, although that number may suggest buying is the best option, that may not be so in New York City, especially considering a buyer’s unique circumstances. If a homeowner lives in a home for three years and does not itemize any tax deductions, it would be more expensive to buy. But living in the same home for a longer period of time lowers the relative cost of owning because it spreads costs out over a greater span of time. Itemizing deductions could mean deducting mortgage interest and property tax payments.
Projected Trends
Over the course of the next year, it is expected that buying will become less affordable across the country. Home prices are expected to continue their rise and low mortgage rates will mean that many more people will delve into the housing market and buy as opposed to rent.
Whether you’re visiting New York City or have just moved to the area, you’ll definitely want to visit Central Park, one of the city’s most famous attractions. Central Park is the most visited urban park in the U.S. There’s plenty to see and do at the park, and you can bring the whole family for a fun-filled day your loved ones wont’ soon forget.
Central Park is at the center of Manhattan, and opened in 1857. The park is 778 acres. In 1858, Calvert Vaux and Frederick Law Olmsted won a design competition that allowed them to improve upon and expand the park with a plan they called the Greensward Plan. The new construction began on Central Park in 1857 as well, and was finished in 1873.
In 1962, Central Park was designated a National Historic Landmark. Currently, the park is managed by the Central Park Conservancy, under contract with the city government of Manhattan. The Central Park Conservancy is a nonprofit organization and contributes 83.5% of park’s annual budget of $37.5 million. The Conservancy also employs 80.7% of the park’s maintenance staff.
Activities in Central Park include horse and carriage rides. You can make a reservation to ensure that a carriage will be available when you want to take advantage of this attractive Central Park feature. A horse-drawn carriage gives you the opportunity to experience the history and beauty of the park. Horses represent a bygone era in New York City, before there were buses, cars and trains. These animals provided transportation for New Yorkers, and became an iconic symbol in Manhattan. To get a feel for old New York, take your loved one on a carriage ride through the paths of the park.
You can also take a walk or jog in the part, or participate in catch and release fishing. You can bring your fishing pole or borrow from the Park. Relax on the Harlem Meer and wait for several species of fish to bite. You must release the fish after you catch them. The activity is free for families and individuals, but groups of 5 people or more have to make reservations 2 weeks in advance. An adult with a photo ID must accompany all children.
Boathouse Restaurant is an ideal place to enjoy a meal when you’re visiting Central Park. You can watch rowboats drift by while you dine at the restaurant, which is located at the lake’s northeastern tip. If you get a seat on the deck, you’ll see swans and ducks, as the birds freely approach the deck.
For more information on all the great things there are to do in Central Park, call 212-310-6600 or visit www.centralparknyc.org.
What is Memorial Day?
Memorial Day (originally called Decoration Day) is a day of remembrance for those who have died in service to the United States. Officially, Memorial Day is on May 30 but it is traditionally observed on the last Monday in May, which this year falls on May 27.
Memorial Day Weekend Kicks Off Intrepid’s Summer Salute to Heroes
Join the Intrepid Sea, Air & Space Museum for their annual Summer Salute to Heroes this Memorial Day Weekend. Intrepid’s Pier 86 will be filled with displays, hands-on activities and live performances on their stage. In addition, you don’t want to miss their annual free screening of Top Gun on the Flight Deck.
The weekend will also include a poignant Memorial Day Ceremony featuring the unfurling of a 100-foot American flag. The day will wrap up with a panel discussion focused on African Americans in WWII. All events and activities are free and open to the public, unless otherwise noted.
Address:
Pier 86
W 46th St and 12th Avenue
New York, NY 10036
For the schedule that weekend or for more information, visit www.intrepidmuseum.org
The Memorial Day Parade in Manhattan
Attending the 2013 Memorial Day Parade in Manhattan is another great way to celebrate the sacrifices given by the country’s armed forces on Memorial Day. This annual parade takes place on Broadway, and features marching bands, members of the Coast Guard, and arrays of soldiers from the US ships that are docked in New York.
Members of the community also participate in the parade, by playing musical instruments and waving flags. Veterans’ associations are also present. The Memorial Day Parade in Manhattan ends at Inwood Hill Park with a bugle performance and a wreath-laying ceremony. New York also has several other Memorial Day parades in different neighborhoods such as Queens and Brooklyn.
Free Concert by the New York Philharmonic
In celebration of Memorial Day, music lovers will appreciate a free concert on Monday, May 27, at 8 p.m. by the New York Philharmonic. Located at the Cathedral Church of St. John the Divine, free admission is available on a first-come, first serve basis, with tickets distributed at the venue on the day of the concert.
The New York Philharmonic Memorial Day Concert is one of the most popular events on Memorial Day, with over two thousand people packing the church itself, many with standing room only. If you can’t manage to get into the venue, music is piped through to speakers on the Pulpit Green nearby.
For more information visit: New York Philharmonic Memorial Day Concert
Address:
Cathedral Church of St. John
1047 Amsterdam Avenue
New York, NY 10025
Celebrating Memorial Day Through Art
There are many other events happening on NYC Memorial Day, such as the Lower East Side Arts Festival, which will take place on May 24, 25 & 26. Live music, poetry, dance, and other arts will be performed at this outdoor festival, with special performances just for kids.
You can also attend special Memorial Day activities at the MET (Metropolitan Museum of Art), as well as numerous New York street fairs.
Address of the Lower East Side Arts Festival:
Theater for the New City
155 First Avenue
New York, New York
Fleet Week 2013 Has Been Cancelled
Fleet Week, an annual event sponsored by the Navy, usually has a variety of events over Memorial Day weekend, but for budgetary reasons, it has been cancelled this year.
In the second half of 2008, many big New York City developers inundated the market with new condo projects. During this period the housing market was peaking, and these companies predicted that units in these buildings would sell quickly and at high prices. Unfortunately, their timing turned out to be less than fortuitous, and the collapse of the housing market has meant that many of these developments are still struggling to find buyers, while others have been reinvented for the current market.
Here’s a look at some of these projects and where they stand today.
The Sheffield – 322 West 57th Street
While this project was one of the most high-profile projects to suffer from the housing downturn, it has managed to turn things around in recent years. While sales collapsed in 2009, the 58 story building sold 102 units in 2012, which is more than any other building in Manhattan.
W Downtown Hotel & Residences – 123 Washington Street
The W Downtown Hotel & Residences has benefitted greatly from an overhaul to its marketing campaign. In 2012 the building changed marketing teams and since then sales have taken off. Of the 223 units in the building, 60 sponsor units have been sold while another 8 are in contract. The W is expected to be sold out by the end of 2013.
Rector Square – 225 Rector Place
Rector Square was once labeled as a failed project, but has since turned around. The project contains a total of 289 units, and has sold approximately 132 of them since last May. Part of their strategy has been to offer a higher commission to brokers – four percent instead of the standard three percent.
99 John Deco Lofts – 99 John Street
The 442 unit 99 John Deco Lofts opened in 2007 with brisk sales. However, after six months only 70 of the units had been sold. Sales dropped even more significantly with the recession. However, sales are back up and the building has sold about 80 percent of their units, and prices remain steady. In 2012, the project ranked as the third best-selling building in the city, behind the Edge in Williamsburg and the Sheffield.
The Laurel – 400 East 67th Street
The 128 unit Laurel recently closed its sales office as only four units remained unsold. However, this project has been plagued by challenges along the way. In 2009, the developer dropped prices and units began to sell. Prices are now back up and the Laurel is effectively a sellout.
The Apthorp – 390 West End Avenue
The Apthorp is a 152 unit building that includes 68 rental units that have yet to be converted. The project halted sales briefly in 2011, but recently sales have picked up. Since September 15 units have sold and there are only 15 condo units left to sell.
Trump Soho Hotel Condominium – 246 Spring Street
This project has been dealing with debt and foreclosure for many years. The building is a hotel/condo which means that owners here can use their residence for up to 120 days per year. When they are not being used, they are rented as hotel suites. The rental revenue goes to the owner. Prices have decreased over time, and only about one third of the units have sold. Unsold units are currently being used as hotel rooms.
