Checking In On One Sunset Park
What does it say about the condo market that a medium-sized conversion in Sunset Park is selling more units than most of the large, big name developments in higher-profile parts of the borough? We have no idea, but surely there’s reason to cheer for the fact that One Sunset Park, a 54-unit former rental building…
What does it say about the condo market that a medium-sized conversion in Sunset Park is selling more units than most of the large, big name developments in higher-profile parts of the borough? We have no idea, but surely there’s reason to cheer for the fact that One Sunset Park, a 54-unit former rental building gradually being converted to condos, has racked up five signed contracts since it hit the market in October; 22 of the units have been put up for sale to date and most of them range in price from $300,000 to $585,000. Maybe there’s something magical about sub-$500-a-foot pricing.
702 44th Street [Halstead] GMAP
One Sunset Park Hits the Market [Brownstoner]
quote:
This is a conversion from a rent-controlled building to a condo. It’s all cash to buy.
that’s so F’ed up on so many levels it’s not even funny
*r*
Appoggiatura;
O come on! What do you suppose the developer’s site is going to say: “Financing for these units will be really,really tough” ?!?!?
All they have done is make an arrangement with Wells Fargo for possible financing of the building. The developer probably receives a 1% commission for any potential buyer they steer to Wells Fargo, and the loan actually closes.
None of what is written on this web-site means that Wells Fargo is actually making a commitment to financing a purchase. All the usual weasel words are there.
I remain highly skeptical of the possibility of obtaining financing of this type of conversion, in this type of market.
My cousin bought into just such a conversion in the last real-estate downturn. In his case, it was a co-op conversion, and they were only able to sell about 20% of the units in the initial offering. After that, financing for future purchases totally dried up, as the banks’ tightened standards refused to lend for purchases in which the majority of occupants were not owners. This led to a further downward spiral, as those (like my cousing) who had purchased their units but couldn’t sell turned to renting them out, which led to a further reduced owner-occupancy level.
Be very careful in this type of situation. My words of caution above still apply.
Ah ha! Misinformation on Brownstoner? Say it isn’t so, Joe!
Those 41st Street apartments sound more like the classic Finntown coops: small apartments, relatively low prices, all cash deals only, very low maintenance, and big assessments when problems arise.
I just looked at the One Sunset Park website. You can finance these with either 10 or 20% down.
Appoggiatura;
Whoops – you are correct. Sorry, I stand corrected about the NYT article.
I still stand by my belief that financing options for this type of conversion are highly limited in this market.
Definitely some misinformation being spread around this thread…the apartments featured yesterday in the Times are on 41st street. Those require an all-cash purchase, and are priced so low as to make me wonder what’s going on with the building…
But the listings for these units on 44th say there are “intelligent financing options” available, and they are much more expensive. I wouldn’t make assumptions just because an online mortgage calculator doesn’t work.
Definitely some misinformation being spread around this thread…the apartments featured yesterday in the Times are on 41st street. Those require an all-cash purchase, and are priced so low as to make me wonder what’s going on with the building…
But the listings for these units on 44th say there are “intelligent financing options” available, and they are much more expensive. I wouldn’t make assumptions just because an online mortgage calculator doesn’t work.
“Maybe there’s something magical about sub-$500-a-foot pricing.”
Given the fact that your a dispenser of the real estate Kool-Aid, Mr. B, I’m not sure how to take that comment. Was it meant ironically? Or?
I also think it’s interesting — Finally units that are in the general realm of affordable, BUT they’re not because they require all cash. Amusing, no?
Ah, got it, thanks.