New development sales change pace

The Real Deal

By E.B. Solomont
Jan. 2, 2015

New development sales change pace

Brokers say lack of urgency among buyers and influx of new product is slowing market

 

“It all comes down to simple supply and demand,” said Nest Seekers’ Ryan Serhant, one of the stars of Bravo TV’s “Million Dollar Listing New York,” who said competition has increased on the upper end of the market. “At one point, it seemed like there was just 150 Charles, 56 Leonard and One57,” Serhant said. “Now, there’s a new one almost every week.”

 

Eddie Shapiro, president of Nest Seekers International, said the energy in the market has shifted. What used to be a “frenzy” of, “‘I have to buy, I have to buy,’ is now, ‘Let’s look at all options and see what’s out there.’”

For Nest Seekers’ Shapiro, affordable luxury means product between $1 million and $5 million; buyers with $10 million to $15 million to spend have ample choices.

“The market is dying for [relative] bread-and-butter,” said Shapiro. “For two or three years, we’ve just been seeing the mega projects.”

At developer Michael D’Alessio’s 230 East 63rd Street, Nest Seekers took over marketing in mid-2014 and sold four out of six units within 30 days, according to Serhant. Prices included a 1,734-square-foot two-bedroom that sold for $3.25 million.

“It’s the East Side, condos close to Second Avenue. There’s nothing else new in that location that people are jumping on top of,” Serhant said. “Everything on the Upper East Side is either very expensive or very old. So there was strong demand for it.”



SOLD OUT / 230 East 63rd Street SOLD OUT / 230 East 63rd Street
$3,000,000 - $3,400,000
Bldg #10669
Ryan Serhant Ryan Serhant
Licensed Associate Real Estate Broker
Eddie Shapiro Eddie Shapiro
President, CEO