MANHATTAN MULTIFAMILY
SALES REPORT
Q1 /2014
www.newyorkmultifamily.com
212 430 5114
PETER VON DER AHE
Tel: 212.430.5114
[email protected]
SCOTT EDELSTEIN
Tel: 212.430.5137
[email protected]
JOE KOICIM
Tel: 212.430.5147
[email protected]
www.newyorkmultifamily.com
Introduction
Dear Friends and Investors,
As New York investors and owners enter the 2nd quarter of 2014, we continue to observe
an increase in sales activity with very aggressive cap rates.
2014 will mark the transition from one phase of the real estate cycle to the next. Since 2011,
we have had three solid years of growth. Today, we are entering into a “mature” phase of the
cycle, where the growth curves begin to flatten out. However, this doesn’t mean the market
Peter Von Der Ahe
Marcus & Millichap
212.430.5114
is slowing; in fact, it will be the opposite, with more transactions than last year. We have a
significant amount of momentum coming into 2014 and more importantly, there is more
capital on the sidelines earmarked for real estate purchases than ever before. Our research
indicates that institutional investors have allocated almost $50 billion for new purchases
this year. That number could be increased to almost $100 billion if past “unplaced” capital
is used. While that is significant, it is even more important to note that the amount of foreign
capital in the market has doubled since 2007.
After a steady 4th quarter, we have seen continued contract signing activity during the 1st
quarter, and expect this to continue. In fact, we recorded 11 sales above $20,000,000 in
the 1st quarter of this year, well above the three sales in the first quarter of 2013. A recent
survey from National Real Estate investor showed nearly three-fourths of investors (72
percent) either somewhat or strongly agrees that commercial real estate offers favorable
returns compared to other investment classes. Furthermore, 76 percent of apartment
investors predict values will rise!
The four largest closings of the quarter, 12 East 88th Street, 501 Second Avenue, 200 West
15th Street, and 627 Greenwich Street, all traded for an aggregate value of $358,250,000.
Please refer to the key on the following page for further clarity on transaction details.
My partners and I pride ourselves on our niche expertise, and look to be your primary
source of market intelligence. I hope you find this report useful as you navigate your current
purchases, sales, and refinancing. I wish you luck on your next investment.
Best Regards,
e-mail: [email protected]
www.newyorkmultifamily.com
Table of Contents
Section One
Largest Multifamily Sales
Market Indicators
Transaction Key
Section Two
Sales by Neighborhood
Section Three
Portfolio Sales
Section Four
About Us
www.newyorkmultifamily.com
Section One
Largest Multifamily Sales
Market Indicators
Transaction Key
www.newyorkmultifamily.com
Largest Multifamily Sales
12 East 88th Street
501 Second Avenue
200 West 15th Street
627 Greenwich Street
February 2014
$105,000,000
69 Units
Price Per SF $1,198
February 2014
$99,750,000
128 Units
Price Per SF $918
With A
Commitment To
Integrity,
We Operate With
Our Ears To The
Ground
Our team culture of
collaboration allows us to
deliver firsthand information
on market nuances, often
making the difference
between a transaction
closing or not.
March 2014
$78,500,000
113 Units
Price Per SF $716
(Excludes Portfolio Sales)
March 2014
$75,000,000
12 Units
Price Per SF $605
www.newyorkmultifamily.com
Market Indicators
Average Price Per Square Foot
Below 96th Street
Q1
$1104
$715 Q12013
Q4
$982
Q3
$890
Average Price Per Square Foot
Above 96th Street
Q1
$296
$207 Q12013
Q4
$256
Q3
$209
Largest Multifamily Sale 20 Million+
Q3 vs Q4 vs Q1
Q1
11 SALES
3 SALES Q12013
Q4
20 SALES
Q3
10 SALES
www.newyorkmultifamily.com
Transaction Key
We research and understand the metrics on every sale in the marketplace. In some
instances however, the current Cap Rate or Gross Rent Multiplier (GRM) would
indicate a value that was inconsistent with the actual transaction. Therefore, for
sales with special circumstances, we have created the below key to provide more
clarity into the sale. For specific information on any transaction, feel free to
contact us at 212.430.5114.
Delivered Vacant / High Vacancy:
The property was either delivered vacant or sold on the basis of being vacant or
subsequently vacated, therefore operating income and expense metrics were
not relevant.
Sold to End User:
The property was purchased with the buyer intending to occupy all or part of the
residential or commercial (if applicable) portion of the property for their own use.
Typically, user value reflects a premium over investor value.
Development / Redevelopment / Assemblage:
The property was purchased on the assumption that all or a substantial portion of
the property will be redeveloped, i.e. conversion to condo. Therefore, the relevant
operating metrics are not current operations, but were based on projections of
potential future income and expenses.
Retail Vacant / Repositioned:
The property was purchased with the buyer intending to transition the commercial
space, i.e. release to new tenant, substantially increase rents, or combine/
separate the existing space(s). Therefore, the relevant operating metrics were
unavailable.
Our report
is divided into nine
neighborhoods, as displayed
above, featuring Manhattan
multifamily sales from the
first quarter of 2014 valued
over $1,000,000.
Estate Sales:
The disposition of the property was supervised by an Executor or Administrator
and not by the last owner. Estate sales can be affected by timing issues like taxes
due or lack of someone to operate the property and the values achieved in an
estate sale often reflect a transaction in which the decision maker may or may
not have directly benefitted from the outcome.
Distressed:
The property was sold as a result of financial pressures from creditors – usually
foreclosure or preforeclosure. Typically these pressures limit the seller’s ability
to achieve fair market value.
www.newyorkmultifamily.com
Section Two
Sales by Neighborhood
www.newyorkmultifamily.com
Manhattan
Downtown
Date
Price
Units
Cap Rate
60-62 Watts Street
14-Jan
$17,102,150
6
217-219 Thompson Street
14-Jan
$23,625,000
158 Rivington Street
14-Jan
170 Delancey Street
Property
GRM
SF
$/SF
Development / Redevelopment
6,720
--
47
3.90%
17.00
25,144
$940
$6,480,000
10
4.50%
13.99
9,140
$709
14-Jan
$5,825,000
22
4.10%
14.25
12,180
$478
131-135 Duane Street
14-Jan
$18,500,000
9
Development / Redevelopment
15,421
--
56 Walker Street
14-Jan
$18,000,000
6
Delivered Vacant
18,500
$973
145 Spring Street
14-Feb
$26,000,000
7
3.08%
22.73
15,421
$1,686
88 Perry Street
14-Feb
$17,000,000
8
3.60%
22.00
7,705
$2,206
134 West Broadway
14-Feb
$4,145,000
4
3.40%
18.00
4,521
$917
67 Murray Street
14-Feb
$12,000,000
6
4.50%
16.00
12,300
$976
43-45 Orchard Street
14-Mar
$16,100,000
9
4.75%
17.56
12,913
$1,247
63 Spring Street
14-Mar
$15,000,000
6
Sold To End User
5,140
$2,918
60-62 Watts Street
217-219 Thompson Street
158 Rivington Street
170 Delancey Street
131-135 Duane Street
56 Walker Street
145 Spring Street
88 Perry Street
43-45 Orchard Street
63 Spring Street
www.newyorkmultifamily.com
Manhattan
East Village
Date
Price
Units
Cap Rate
GRM
SF
$/SF
425 East 12th Street
14-Feb
$3,558,000
12
3.40%
15.90
6,792
$524
158 Avenue C
14-Feb
$4,600,000
7
--
--
5,667
$812
332 East 14th Street
14-Mar
$5,000,000
9
3.30%
19.40
5,406
$925
189 East Third Street
14-Mar
$6,200,000
16
4.40%
16.32
9,448
$656
441-447 East Ninth Street
14-Mar
$12,800,000
32
--
--
17,796
$719
425 East 12th Street
189 East Third Street
158 Avenue C
441-447 East Ninth Street
Property
332 East 14th Street
www.newyorkmultifamily.com
Manhattan
Greenwich + West Village
GRM
Property
Date
Price
Units
Cap Rate
107 Greenwich Avenue
14-Jan
$4,750,000
3
Delivered Vacant
238 West 14th Street
14-Jan
$7,250,000
10
3.40%
45 Horatio Street
14-Mar
$4,100,000
2
333 West 11th Street
14-Mar
$6,625,000
627 Greenwich Street
14-Mar
$75,000,000
107 Greenwich Avenue
238 West 14th Street
45 Horatio Street
333 West 11th Street
627 Greenwich Street
SF
$/SF
3,816
$1,245
18.60
8,812
$823
3.27%
25.00
2,704
$1,516
9
--
--
4,905
$1,351
12
Development / Redevelopment
124,000
--
www.newyorkmultifamily.com
Manhattan
Midtown East
Property
Date
Price
Units
Cap Rate
207-211 East 34th Street
14-Jan
$21,000,000
14
45 East 22nd Street
14-Jan
$8,500,000
111 East 37th Street
14-Jan
501 Second Avenue
SF
$/SF
Development / Redevelopment
9,353
--
1
Development / Redevelopment
6,351
--
$5,100,000
6
Delivered Vacant
4,640
$1,099
14-Feb
$99,750,000
128
4.25%
108,614
$918
1009-1019 Second Avenue 14-Feb
$14,275,000
4
Development / Redevelopment
6,208
--
325 East 53rd Street
14-Mar
$12,500,000
3
4.00%
17.51
9,345
$1,338
361 First Avenue
14-Mar
$5,600,000
6
4.60%
16.70
5,000
$1,120
261 Third Avenue
14-Mar
$7,601,000
9
--
--
10,734
$708
207-211 East 34th Street
45 East 22nd Street
325 East 53rd Street
361 First Avenue
261 Third Avenue
111 East 37th Street
GRM
16.47
501 Second Avenue
1009-1019 Second Avenue
www.newyorkmultifamily.com
Manhattan
Chelsea + Midtown West
Property
Date
Price
Units
Cap Rate
GRM
SF
$/SF
119-125 Seventh Avenue
14-Feb
$35,740,000
59
3.50%
19.00
53,123
$673
353 West 20th Street
14-Feb
$4,950,000
6
Development / Redevelopment
3,884
--
200 West 15th Street
14-Mar
$78,500,000
113
2.65%
20.40
109,669
$716
222-224 West 21st Street
14-Mar
$16,750,000
23
3.08%
20.60
20,120
$833
119-125 Seventh Avenue
353 West 20th Street
200 West 15th Street
222-224 West 21st Street
www.newyorkmultifamily.com
Manhattan
Upper East Side
Property
Date
Price
Units
Cap Rate
GRM
SF
$/SF
427 East 77th Street
14-Jan
$3,700,000
12
--
--
5,916
$625
1140 Second Avenue
14-Jan
$12,000,000
14
Development / Redevelopment
9,000
--
1647-1651 First Avenue
14-Jan
$29,000,000
35
Development / Redevelopment
24,000
--
518 & 234 East 88th Street 14-Jan
$12,000,000
40
4.67%
12.52
17,490
$686
1643 First Avenue
14-Jan
$6,200,000
7
Development / Redevelopment
11,128
--
1556 Second Avenue
14-Jan
$7,000,000
6
Development / Redevelopment
5,383
--
1064 Madison Avenue
14-Jan
$26,000,000
17
2.64%
26.55
11,128
$2,336
12 East 88 Street
14-Feb
$105,000,000
69
1.71%
44.00
87,639
$1,198
314 East 86th Street
14-Feb
$6,260,000
5
--
--
7,796
$803
515 East 82nd Street
14-Feb
$7,600,000
20
3.70%
16.80
11,928
$637
18 East 65th Street
14-Feb
$7,500,000
11
--
--
6,483
$1,157
1566 Third Avenue
14-Mar
$8,000,000
9
Development / Redevelopment
6,267
--
1486-1488 Second Avenue 14-Mar
$12,500,000
11
Development / Redevelopment
9,800
--
309 East 76th Street
14-Mar
$6,600,000
20
--
--
11,020
$599
319 East 90th Street
14-Mar
$6,400,000
20
4.10%
16.00
8,950
$715
413 East 72nd Street
14-Mar
$5,800,000
15
Development / Redevelopment
8,416
--
427 East 77th Street
1140 Second Avenue
1647-1651 First Avenue
518 & 234 East 88th Street
1643 First Avenue
1556 Second Avenue
314 East 86th Street
515 East 82nd Street
1566 Third Avenue
413 East 72nd Street
www.newyorkmultifamily.com
Manhattan
Upper West Side
Property
Date
Price
Units
Cap Rate
GRM
SF
$/SF
113 West 95th Street
14-Jan
$3,225,000
5
2.60%
19.00
3,570
$903
307 West 93rd Street
14-Jan
$7,000,000
88
Development / Redevelopment
21,864
--
330 West 108th Street
14-Feb
$7,635,000
9
3.00%
19.00
8,172
$934
202 West 84th Street
14-Feb
$8,375,000
11
4.27%
16.20
9,510
$881
120 & 125 Riverside Drive
14-Mar
$85,000,000
100
--
--
110,238
$771
113 West 95th Street
307 West 93rd Street
330 West 108th Street
202 West 84th Street
120 & 125 Riverside Drive
www.newyorkmultifamily.com
Manhattan
Harlem
Property
Date
Price
Units
Cap Rate
GRM
SF
$/SF
532 West 152nd Street
14-Jan
$4,300,000
21
4.96%
11.50
14,010
$307
2450 F. Douglass Blvd
14-Jan
$8,550,000
48
4.75%
9.75
59,880
$143
121 West 120th Street
14-Jan
$1,542,500
6
4.62%
13.50
5,520
$279
146 West 120th Street
14-Jan
$1,742,500
8
6.33%
15.20
3,750
$465
364 West 119th Street
14-Jan
$4,700,000
10
Delivered Vacant
9,630
$488
318-320 West 115th Street 14-Jan
$3,900,000
22
Delivered Vacant
6,936
$562
2195 A. C. Powell Jr. Blvd
14-Jan
$1,499,013
16
Delivered Vacant
5,758
$260
453 & 465 W. 152nd Street 14-Jan
$9,250,000
51
6.40%
43,025
$215
206 West 138 Street
14-Jan
$1,400,000
5
Sold To End User
3,891
$360
162 West 123 Street
14-Jan
$1,300,000
10
Sold To End User
3,360
$387
159-163 West 126th Street 14-Jan
$1,600,000
22
Delivered Vacant
7,884
$203
432 East 120 Street
14-Jan
$1,450,000
8
--
--
6,000
$242
240 East 112th Street
14-Jan
$1,210,000
3
4.20%
14.00
3,036
$399
2327 First Avenue
14-Jan
$1,435,000
9
3.90%
14.00
6,060
$237
416 East 120th Street
14-Jan
$4,000,000
12
Delivered Vacant
9,900
$404
102 West 123rd Street
14-Jan
$1,100,000
7
Sold To End User
3,600
$306
759 St. Nicholas Avenue
14-Jan
$1,700,000
9
4.00%
11.90
5,666
$300
117 West 111th Street
14-Feb
$1,090,000
8
--
--
4,335
$251
684 Riverside Drive
14-Feb
$8,775,000
37
3.20%
17.20
39,617
$221
271 Pleasant Avenue
14-Mar
$1,085,000
1
Sold To End User
2,501
$434
1761 Amsterdam Avenue
14-Mar
$3,200,000
14
5.50%
12.00
11,080
$289
146 East 123rd Street
14-Mar
$4,300,000
17
4.90%
13.50
16,800
$256
3450 Broadway
14-Mar
$8,500,000
30
--
--
32,010
$266
1634 Lexington Avenue
14-Mar
$7,000,000
14
4.28%
14.95
10,815
$647
11.00
www.newyorkmultifamily.com
Manhattan
Harlem
532 West 152nd Street
2450 F. Douglass Blvd
121 West 120th Street
146 West 120th Street
364 West 119th Street
318-320 W. 115th Street
2195 A.C. Powell Jr. Blvd
206 West 138 Street
162 West 123 Street
159-163 W. 126th Street
432 East 120 Street
240 East 112th Street
2327 First Avenue
416 East 120th Street
102 West 123rd Street
759 St. Nicholas Avenue
117 West 111th Street
684 Riverside Drive
271 Pleasant Avenue
1634 Lexington Avenue
www.newyorkmultifamily.com
Manhattan
Washington Heights + Inwood
Property
Date
Price
Units
Cap Rate
GRM
SF
$/SF
261 Wadsworth Avenue
14-Jan
$11,750,000
83
--
--
76,212
$154
125 Seaman Avenue
14-Jan
$9,500,000
49
4.80%
12.17
42,108
$226
57-63 Wadsworth Terrace
14-Jan
$6,500,000
44
4.75%
10.75
36,150
$180
452 West 164th Street
14-Jan
$2,640,000
20
5.75%
9.75
19,500
$135
467 West 164th Street
14-Feb
$2,200,000
21
5.50%
9.20
9,795
$225
820-830 Riverside Drive
14-Feb
$9,400,000
45
3.80%
13.20
50,910
$185
4199 Broadway
14-Mar
$19,100,000
54
4.75%
14.69
84,318
$227
579 West 204th Street
14-Mar
$7,500,000
54
--
--
41,490
$181
540 West 157th Street
14-Mar
$6,900,000
43
4.08%
17.15
31,578
$219
261 Wadsworth Avenue
125 Seaman Avenue
57-63 Wadsworth Terrace
452 West 164th Street
820-830 Riverside Drive
4199 Broadway
579 West 204th Street
540 West 157th Street
467 West 164th Street
www.newyorkmultifamily.com
Section Three
Portfolio Sales
www.newyorkmultifamily.com
Manhattan: Harlem
West 115th Street Portfolio
Property
6 Properties:
Date
Price
Units
Cap Rate
GRM
SF
$/SF
14-Feb
$15,500,000
64
--
--
58,469
$265
213 West 115th Street
233 West 115th Street
221 West 115th Street
241 West 115th Street
229 West 115th Street
243 West 115th Street
213 West 115th Street
233 West 115th Street
221 West 115th Street
241 West 115th Street
229 West 115th Street
243 West 115th Street
www.newyorkmultifamily.com
Manhattan: Harlem
Hamilton Heights Portfolio
Property
3 Properties:
1616 Amsterdam Avenue
561 West 144th Street
3694 Broadway
1616 Amsterdam Avenue
561 West 144th Street
3694 Broadway
Date
Price
Units
Cap Rate
GRM
SF
$/SF
14-Mar
$19,490,000
96
3.65%
12.00
91,532
$213
www.newyorkmultifamily.com
Manhattan: Inwood
Inwood Portfolio
Property
4 Properties:
Date
Price
Units
Cap Rate
GRM
SF
$/SF
14-Mar
$19,613,633
136
--
--
99,075
$198
28 Thayer Street
520 West 204th Street
14 Thayer Street
87 Post Avenue
28 Thayer Street
520 West 204th Street
14 Thayer Street
87 Post Avenue
www.newyorkmultifamily.com
Section Four
About Us
THE NUMBER ONE MULTIFAMILY
INVESTMENT SALES TEAM
IN THE MARCUS & MILLCHAP
MANHATTAN OFFICE
Specializing solely in New York multifamily, we provide our clients a
competitive edge, enabling them to achieve superior results.
Operating within Marcus & Millichap, the nation’s largest investment sales
firm, our clients can leverage company-wide resources and gain access to
local, regional, national, and international capital.
We proactively create customized strategies for every client, ensuring they
make intelligent and financially rewarding choices.
We invite you to explore how we can maximize your potential outcome.
www.newyorkmultifamily.com
Meet the Team
PETER VON DER AHE
SCOTT EDELSTEIN
JOE KOICIM
[email protected]
[email protected]
[email protected]
SETH GLASSER
Tel: 212.430.5136
SEAN LEFKOVITS
Tel: 212.430.5218
DAVID LLOYD
Tel: 212.430.5185
[email protected]
[email protected]
[email protected]
Tel: 212.430.5114
Tel: 212.430.5137
Tel: 212.430.5147
www.newyorkmultifamily.com
UNDISTRACTED BY OTHER
PROPERTY TYPES OR PRODUCTS,
OUR MARKET INFORMATION
AND ACCESS TO INVENTORY IS
UNPARALLELED.
Our goal is to utilize our niche
expertise and experience
to fulfill the needs
of the buying and selling clients we represent.
This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or
unit count are approximate. Recipient must verify the information and bears all risk for any inaccuracies. Any projections, opinions, assumptions or estimates used herein are for example purposes only and do not
represent the current or future performance of the property. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2014 Marcus & Millichap
www.newyorkmultifamily.com
212 430 5114
PETER VON DER AHE
Tel: 212.430.5114
[email protected]
270 Madison Avenue, 7th Floor
New York City, NY 10016
SCOTT EDELSTEIN
Tel: 212.430.5137
[email protected]
JOE KOICIM
Tel: 212.430.5147
[email protected]

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