The price of land in Brooklyn has more than doubled in three years, Ofer Cohen, president and partner of Brooklyn commercial real estate company TerraCRG, told The New York Times.
We just traded a site on 4th Avenue for $250 a buildable foot, and I remember the sites that we were selling at the end of the recession, in 2011, were like $100, $110 a buildable foot. The price more than doubled. We sell development sites in Williamsburg now for $350, $365 a buildable foot. At the end of 2011 it was $150.
New developers are coming into Brooklyn because that’s where the growth is — rents have been increasing at about 10 percent a year over the past four years, vs. 4 percent in Manhattan, he said. Most of the new developments in Brooklyn — 95 to 98 percent — are rentals, not condos. There are 12,000 units in development in the borough right now, he said.
He also mentioned the big development at 19 Kent, which will be offices only. “It’s going to be the first ‘spec’ office development in Brooklyn,” he said. “The Heritage group is developing it.”
Above, a brick building at 470 4th Avenue, a large development site whose sale TerraCRG brokered earlier this year.