After noticing some trendy restaurants and a rise in development sales in Bay Ridge, DNAinfo wonders if it could be the next hip neighborhood with a real estate boom. Bay Ridge had 20 percent of the new development sales in the first quarter of 2014, the most of any neighborhood, according to MNS’ latest report. However, MNS CEO Andrew Barrocas pointed out that the hood’s 14 transactions mainly illustrate the lack of inventory in other neighborhoods.
The median price per square foot rose 7.4 percent over the past year, from $517 to $558, and the median home price increased 14.5 percent, from $560,037 to to $655,498. One realtor told DNAinfo that new condo buyers in developments like 185 Battery Avenue, pictured above, were transplants from Brooklyn Heights or Williamsburg looking for more affordable options.
While the neighborhood isn’t going to have $2,000,000 condos anytime soon, it has seen a slew of new upscale restaurants and coffee shops, like Italian grocery A.L Coluccio, farm-to-table restaurant Brooklyn Beet Company, a craft beer bar and sausage joint called Lock Yard, and the Coffee Lab.
Brooklyn rental prices rose and the number of new leases signed more than doubled in the past month, according to rental reports from MNS and Douglas Elliman. Jonathan Miller, founder of real estate analytics firm Miller Samuel, told The Real Deal that the increasing number of new leases showed that tenants were dissatisfied with rent hikes from their existing landlords and looking elsewhere for their next apartment.
Not only were 442 new leases signed in January, a 111.5 percent increase from December, but that number represented a 33.5 percent jump from January of last year, according to Elliman. And more tenants negotiated discounts on their rents than last January, with the discount from the original list price rising from 5.9 percent to 6.5 percent. Overall, median Brooklyn rental prices jumped from $2,660 a month in December to $2,830 a month in January, a 6.4 percent increase.
Bushwick, Downtown Brooklyn and Fort Greene all saw marked rental price increases between December and January, MNS said. And two-bedroom apartment prices in Crown Heights rose 5.3 percent because of new developments on Bergen Street. Not surprisingly, Dumbo still holds the title for most expensive average rents in every type of unit. Meanwhile, Prospect Lefferts Gardens has the cheapest studios and one-bedrooms, and Bed Stuy has the cheapest average rents for two-bedrooms, MNS’ analysis shows.
Has your landlord raised your rent lately? Or if you’re a landlord, have you raised the rent?
While overall Brooklyn rents dipped slightly in the last year, average Bushwick rents jumped from $1,853 to $2,005 since December 2012, the largest change of any Brooklyn neighborhood and an indication of high prices in Williamsburg pushing up rents nearby, according to a December report from MNS. In the same vein, Greenpoint saw the most new development sales in Brooklyn, with median price-per-foot jumping 20 percent to $814 in the last month. Average Greenpoint rents also rose 1.5 percent to $2,809 in the last year. And Bed Stuy and Crown Heights rents saw big rent increases of 6.5 percent and 10.8 percent, respectively, in the last year.
Meanwhile, 1,388 commercial properties changed hands last year for a total dollar volume of $4,050,000,000, which was a 31 pecent increase in the number of transactions, Ariel Property Advisors noted in their year-end report. Last year’s most expensive commercial sales included the Jehovah’s Witnesses iconic Watchtower buildings in Dumbo, which sold for $240,000,000, an apartment building at 110 Green Street in Greenpoint ($72,000,000), a 690,000-square-foot industrial site in Sunset Park ($91,500,000), and a massive commercial site and garage at 49 Bond Street in downtown Brooklyn ($70,000,000).
Corcoran broker Andrea Yarrington sent this summary of the townhouse sales in Fort Greene, Clinton Hill and Bed Stuy as part of a marketing mailer last week. Whether you’ve been in the market or not, if you’re reading this blog chances are you have heard plenty of anecdotes about mobbed open houses, multiple bids and all-cash offers. This one-pager is about the best summary of the market over the past few months that we’ve seen. Pretty amazing.
A report on the rental market in Manhattan and Brooklyn by real estate firm Douglas Elliman was released today and it found that the median rental price in North and Northwest Brooklyn was $2,572, essentially the same as it was this time last year. The rental price per square foot ticked up just 4.6 percent over the year. According to the report, this may indicate a period of slower rental price growth ahead. Studio apartments took the biggest hit, with the median price falling by 5.5 percent, possibly because some of these tenants are leaving the rental market to become first-time buyers. One and two bedroom apartments saw modest gains. The largest jumps were for luxury apartments: the average price and average price per square foot were both up 12 percent over this time last year for those units. And Brooklyn, even these tonier neighborhoods, remains a significant bargain over Manhattan with an average price per square foot of $35 compared to $50 in Manhattan.
Massey Knakal released its third quarter market report for New York. On a larger scope, there’s been a 40 percent increase in New York City-area property sales since last year. Here are the Brooklyn details: 691 transactions have occurred this quarter, an increase from last year; 859 properties sold, an increase of 47 percent from 2011 on an annualized basis; and the aggregate sales consideration throughout the entire year was 110 percent higher than last year. Massey Knakal also announced they took over leasing at 112 Montague Street, the old Starbucks space. Brooklyn Heights Blog recently wondered what was up with the space, now empty for almost five months.
The good folks at PropertyShark compiled market data on Kensington for a market snapshot. The borders used are Coney Island Avenue to the east, Caton Avenue to the north, McDonald Avenue to the west, and Ditmas Avenue to the south. Charts show the highest closed sales prices in 2009, with median sales prices pretty sporadic since then. Apartment sales prices were on a steady increase from 2005 to 2009, with prices averaging out around $250,000 after a median sales peak at $325,000. Prices on one- to three-family homes, in the past four quarters, ranged from $550,000 to $750,000. And for both apartments and houses, the number of closed sales increased significantly from the second to third quarter of 2012. Finally, the three most expensive streets of the neighborhood: East 4th Street, with a median sales price of $645,000 over 49 residential sales; East 5th Street, with a median sales price of $645,000 over 51 sales; and East 3rd Street, with a median sales price of $630,000 over 53 sales. Click through to see all the handy charts. And see all our market snapshots here. (more…)
Inventory is down in Brooklyn, and prices edged up, according to third-quarter market reports out today from Prudential Douglas Elliman and Corcoran. Listing inventory dropped 16.2% to 5,602 units from 6,688 units at this time last year, said Douglas Elliman. Corcoran said: (more…)
The Real Deal closely examined the factors promoting and retarding the expansion of national chains into Williamsburg in its September print issue, although it didn’t dig up any definite new names. “Pricey condos and rentals are now filling up with wealthy families, who in turn are attracting high-end retailers,” said the article. Increasing density, which is bringing more foot traffic to stores, and skyrocketing residential rents also appeal to national retailers. As has already been reported, Midtown Equities and other investors are developing the $40 million, 150,000-square foot complex at 242 Bedford Avenue between North 3rd and North 4th streets, which will open in 2014 with a Whole Foods, Citibank, New York Sports Club and luxury apartments. That deal, signed in March, has prompted other big retailers to eye Williamsburg, according to brokers. As has already been rumored, J.Crew and, now, “notable restaurants” are reportedly considering 247 Bedford Avenue, across the street. Williamsburg Cinema, the new movie theater going up at Driggs and Grand, will show mainstream films on its seven screens with 1,000 stadium seats, according to The Real Deal. Furniture stores are also looking into the area, claimed one broker, since all the new arrivals need to kit out their pads. But, a serious drawback is the lack of large spaces for big-box stores. Most retail footprints in the area measure 20 by 100 feet. Nonetheless, retail rents are rising on Bedford Avenue, from about $100 a square foot 18 months ago to $150 a square foot. Retail hotness is also drifting southward. “The South side is now starting to see the rapid restaurant and bar growth that first characterized North Williamsburg’s rise,” concluded The Real Deal. Mainstream Brands Look for Foothold in Brooklyn’s Hippest Neighborhood [TRD] Photo by nrvlowdown
Up, up, up. That’s the best way to describe the direction of rental prices for studios, one-bedrooms and two-bedrooms in Brooklyn over the past year. Real estate firm MNS has crunched the numbers and found that on average rental rates were up over 10 percent in June over a year earlier. Two-bedrooms led the pack with an increase of 12.7 percent followed by studios at 10.4 percent and one-bedrooms at 9.7 percent. Dumbo was the most expensive in all three categories. You can click on the image above to make it larger.
Prudential Douglas Elliman and The Corcoran Group both released their second quarter Brooklyn market reports today. The highlights: The number of sales is up, inventory is down. As for prices in the second quarter, they were up by pretty much every measure–average sales price, median sales price and price per square foot–versus the same quarter a year ago and the first quarter of 2012, according to Corcoran. Elliman showed similar, albeit less bullish, trends, with the exception of median sales price, which dipped less than 1 percent. The luxury market, which Elliman defines as starting at $999,000, outperformed the overall market by rising more than 5 percent year over year. Mortgage underwriting is still “irrationally tight,” said Elliman, but mortgage rates continue to fall to record lows. Corcoran’s numbers confirm anecdotal reports Bed Stuy is hot: An increase in sales of townhouses there caused the median price of townhouses Brooklyn-wide to drop year over year. Elliman shows a modest increase (1.3 percent) year-over-year in the average sales price of a 1-3 family home. “The standout is the brownstone market, a small niche, with only 3 percent of the Brooklyn market [share],” said Jonathan Miller, president of real estate analytics firm Miller Samuel and author of Elliman’s market report, in a story by The Real Deal. “But it is the highest-priced housing stock.” The 18 percent decline in inventory in the borough year-over-year is “firming up the market by stabilizing prices,” he added. The graph above, which can be enlarged by clicking on it, comes from the Corcoran report and shows historical sales and price per square foot changes since the third quarter of 2008. The Elliman Report: Brooklyn Sales 2Q 2012 The Corcoran Group Q2 Report In Q2, Brooklyn Inventory Down, Brownstones Commanding Higher Prices [TRD] Chart by The Corcoran Group
The good folks at Property Shark compiled data on how the real estate market has performed in Bed Stuy since the first quarter of 2005. Overall the results show that prices are slowly but surely on the rise following a more sluggish market in 2009 and 2010. Condos and co-ops: The median sales price rose from just under $300K in 2005 to just under $400K in 2012. A drop in sales price occurred in the second quarter of 2007 (with median prices around $300K) and rose toward the end of 2008 (with median prices around $450K.) Houses: The median sales price of houses was just under $500K in 2005, and the median price remains in that range in 2012. Prices were highest from the third quarter of 2006 ($650K) to the third quarter of 2007 ($670K), although the number of closings was steadily decreasing. Prices were on a slow decline from the third quarter of 2007 all the way to the fourth quarter of 2010. Since then, prices have been on the rise, leveling out at 119 closed homes at an average price of $496,221 in the first quarter of 2012. Most Expensive Streets: The three most expensive streets in Bed Stuy from 2005 until the present are Stockton Street, with eight sales averaging $920K, Columbus Place, with nine sales averaging $779K, and Broadway, with five sales averaging $740,500. The most expensive Bed Stuy sale since 2005 was 293 Franklin Avenue, a two family which sold for $1.9 million in March 2007. Highest/Lowest on the Market: The lowest priced unit on the market is a condo at 156 Macon Street, asking $133,850. The highest priced unit is 184 Lefferts Place, asking $1.9 million. Click through for lots more charts and data…(more…)