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.
