nyc BLOG estate | Manhattan Real Estate

Flip Tax | NYC Real Estate

2013-05-18T11:46:00.001-04:00

Q: What is a Flip Tax
A: A private Transfer Fee

The flip tax is a private transfer fee that many new york coops impose on shareholders. In the late seventies and early 80's when many rental buildings converted, huge profits were being made by former renters who bought their units at inside prices and then resold them. Called "flipping" The boards decided to impose the transfer fee and call it a flip tax on sellers to dissuade flipping.

Due to high costs of operating and maintaining their buildings, many coops and condos need to build their reserve fund by either trying to impose a flip taxes or succeed at imposing a flip tax usually on seller's. In order for the flip tax to pass most bylaws/ proprietary leases require 2/3 of the shareholders have to vote in favor of it. It requires a quorum. An absent vote is a no vote.

A flip tax is a restrictive covenant. All co-ops and 99% of Manhattan condos have restrictive covenants. "A provision in a deed limiting the use of the property and prohibiting certain uses".

Condo and condop buildings that have many investor owners from out of town make it difficult to pass a 2/3 majority if governing documents allow changes by vote.

HDFC coops (a NYC affordable housing program) usually have a flip tax as a way to keep the buildings affordable.

There are several ways they try to impose the flip tax. There are arguments on both sides for every type. It is any easy way to get 2% sometimes 3% - 5% of a unit's sale price. The average apartment in Manhattan is over $1 million. Do the math. Buildings have figured 5-10 transfers a year what a nice windfall for them.

A percentage usually 2% but sometimes 3%
A flat fee
Percent of profit
Dollar amount per share

Management companies and boards lobby the shareholders why a flip tax is good. They argue if they have this reserve fund from the flip tax they won't have to raise maintenance or have assessments.

Elderly people planning on leaving the apartment to their children don't care as that is an exemption in many proprietary leases. People who recently bought and have to be relocated feel it's unfair as they have not been there that long. Long time residents feel they stuck it out and have already paid for all assessments over the years.

I prefer the dollar amount per share. A seller will always know their liability. The way the shares were allocated in the offering plan in my opinion is the fair way to determiner a flip tax.

If a seller made renovations to their apartment and or hired a great real estate broker who sold for a higher price than other comparable apartments with the same amount of shares, the seller deserves that profit not the building.

If the flip tax is based on profit, in my opinion it should be net profit not gross. The seller should be allowed to deduct the cost of renovations and capital improvements they made to their unit. After all the profit is because the owner increased the value of the shares by making the improvements. The coop should not be entitled to limit the seller's equity unless they contributed

Manhattan Seller

NYC Residential Housing Permits

2013-05-16T08:10:00.000-04:00

Residential Housing Permits started out strong in the first three months of 2013, keeping pace with the total permits issued in the first three months of 2012. The first three months of 2013 recorded a total of 2,556 permits compared to 2,233 permits in the first three months of last year. In 2013, Brooklyn has been the major source of residential activity, while in 2012 Manhattan recorded the most permits.

Based on the first quarter, it appears that permits and new housing development are leveling off in 2013. Since 2004, permits have climbed steadily, reaching a high point of 33,170 in 2008, the peak of economic activity.

The financial crisis of 2009 caused a significant drop in permit activity to 5,953 in that year. Since then, permits have slowly picked up as the economy progresses and returns back to normal. Nevertheless the level of new housing permits last year are well below what our city needs to meet the housing demand of our steadily rising population which is expected to reach 9 million by 2030.

2013 Residential Housing Permits
Month	Bronx	Brooklyn	Manhattan	Queens	Staten Island
January	151	530	514	148	25
February	20	507	16	163	11
March	43	147	38	117	126
Total to Date	214	1,184	568	428	162

Residential Housing Permits by Borough and Year
Year	Bronx	Brooklyn	Manhattan	Queens	Staten Island	Total
2004	5,047	6,998	4,604	6,757	2,147	25,553
2005	4,937	9,028	8,525	7,369	1,872	31,731
2006	4,658	9,191	8,790	7,252	1,036	30,927
2007	3,104	10,930	9,520	7,625	739	31,918
2008	2,128	12,357	9,700	7,730	1,255	33,170
2009	1,543	1,003	1,363	1,474	570	5,953
2010	1,064	2,093	872	2,358	508	6,895
2011	1,116	1,522	2,535	3,182	581	8,936
2012	2,552	3,353	2,492	1,529	673	10,599
2013*	214	1,184	568	428	162	2,556

* Through March 2013

source: REBNY Research
nycnewdevelopments.com

NYC Air Rights | Unused Development Rights

2013-05-15T07:34:00.000-04:00

Manhattan Real Estate | Air Rights

Q: What are Air Rights?

A: Air Rights are unused Development Rights.

Development rights generally refer to the maximum amount of floor area permissible on a zoning lot.

When the actual built floor area is less than the maximum permitted floor area, the difference is referred to as “unused development rights.”

Unused development rights are often described as air rights.

In townhouses or certain other buildings, air rights may be a factor in the sale. The building seller should get an independent survey to determine the correct air rights. Unless special permission is needed from the city, the sale of air rights is usually sold to the building's neighbor.

Pricing air rights is negotiable; depending on what you can do with them, for example, a townhouse usually only has 2 floors worth or air rights, whereas other buildings may have many, many more. On average, air rights begin at ½ the appraisal or contract price for the building.

The city’s rules and practices regarding approval of air rights sales has changed recently, so verify that the air rights in question are legal to sell. If the city sees a good opportunity for them, (tranfer tax) they will usually permit special situations.

For more information about air rights, buying or selling in Manhattan please contact me.

Manhattan Monthly Market Report | April 2013

2013-05-10T21:05:00.000-04:00

Manhattan Monthly Market Snapshot | April 2013

Condo and coop sales were very strong this April with the highest number of contracts signed
in the last six years. Contract activity increased 25%for condominiums and 24% for co-ops year-over-year.

Average sale price was up 11% for condos and 21% for coops in April 2013 compared to last year.

Condo average per square foot increased 11% compared to last year. Average price per square
foot increased in every bedroom category compared to 2012 with the greatest gains for two bedrooms.

Strong demand, limited inventory and high prices for new developments attributed to increases.

Manhattan Condos Coops with Pools | Chelsea, West Chelsea, West Village, Meatpacking District

2013-04-25T21:38:00.000-04:00

Manhattan Apartments with Pools.

Condos and Coops with Pools in Chelsea | West Village | Meatpacking District

Most Manhattan apartment buildings are pre-war and were rarely built with pools. There are a few exceptions like the 1930 London Terrace complex in Chelsea.

Today many new developments are including lap pools, so there are more pools in luxury condos and condops than ever before.

According to Corcoran's consumer report, 37%, the largest margin said a building with a pool is a top priority amenity for them.

This post is the third in a series featuring Manhattan Apartments (condos, condops and coops) with l pools. This post will focus on Chelsea, West Chelsea, Greenwich Village neighborhoods.

London Terrace
W 23rd W 24th Streets
(9th & 10th Avenues)

coop and rental units

Built: 1930

17 Floors - 10 Buildings
1663 Units

Nouvel
100 Eleventh Avenue

(West 19th Street)

Condo
Built 2007
23 Floors 72 Apartments

133 West 22nd Street

Condo

Built: 2007
13 Floors -100 Apartments

Yves Chelsea
166 West 18th Street
Condo

Built: 2008
140 Floors - 41 Apartments

165 Charles
(West Village)
Condo

Built 2004

16 stories 31 apartments

150 Charles

(West Village)

Condo

Built 2013

15 stories

91 units

385 West 12th Street

(Meatpacking District)

Condo
Built 2007

7 stories 12 units

The Printing House

421 Hudson Street

Built 1900
converted to condo 1987
2013 new unit renovations

8 Floors 183 loft apartments

The A Building

425 East 13th Street

(East Village)

Condo built 2007

8 Stories 96 units

Contact me for availability and pricing or if you are looking to sell your condo or coop in Manhattan.

Manhattan Condos and Condops with Pools on the Upper West Side

Manhattan Condos with Pools in Lincoln Square - Clinton - Hell's Kitchen - Columbus Circle

Listings of Manhattan condos and condops with pools

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Happy Earth Day! Go Green

2013-04-22T07:21:00.000-04:00

Our Planet Earth
photos courtesy of Astronaut Sunita Williams

Go Green for Earth Day!

"NYC CARBON CHALLENGE"

PLANYC is a NYC sustainability program, PlaNYC, encourages businesses, universities and other private organizations to cut greenhouse gas emissions, improve air quality and reduce the impact of climate change.

Ten companies will participate in the Carbon Challenge and commit to reducing greenhouse gas emissions from their offices by up to 40 percent in the next 10 years.

They include: American International Group, BlackRock, Bloomberg LP, Credit Suisse, Deutsche Bank, Goldman Sachs, Google, JetBlue Airways, JPMorgan Chase, and PVH.

The companies join 17 universities with more than 35 campuses that accepted the Carbon Challenge when it began in 2007, and the 11 largest hospital organizations that joined in 2009.

The Carbon Challenge builds on the City’s own goal to cut emissions in municipal buildings by 30 percent by 2017 and will help meet the PlaNYC target to reduce emissions citywide by 30 percent in 2030.

The City of New York is more than halfway to meeting its goal, having achieved 16 percent of its emissions in the last six years.

What are you doing to make our planet greener?

Green Real Estate Glossary

Green Manhattan

Manhattan Market Update - Supply & Demand

2013-04-22T03:29:00.000-04:00

Manhattan Market Update

• Upper West Side exhibits best Supply/Demand fundamentals with 4.8 months supply

• 6 to 9 months supply considered supply/demand (sales/inventory) equilibrium

• Downtown (excluding Financial District/Battery Park City) has 5.2 months supply

• Midtown and UES both have 9.4 months

FD/BPC still over-supplied at 19.8 months supply

Manhattan Monthly Market Report | March 2013

2013-04-15T18:37:00.000-04:00

Marketwide Summary

March proved to be a strong month for condo and coop contract activity. Condo sales increased 16% compared to March 2012 despite a 26% decline in inventory. Average sale price for condos was also up 18% compared to last year.

The co-op market also had a strong month with an 11% gain in average price over last year. Co-op contract activity increased 10% compared to last month, and 4% compared to last year despite a 28% year-over-year drop in inventory.

source:

Baccarat Hotel & Residences | 20 West 53rd Street

2013-04-13T23:15:00.000-04:00

Manhattan New Development | The Baccarat Hotel & Residences at 20 West 53rd Street

The Baccarat Hotel & residences

Opposite the Museum of Modern Art, at 5th Avenue and 53rd Street, Baccarat Hotel & Residences New York is the newest project by renowned architects Skidmore, Owings, & Merrill.

61 condominiums, inspired by Baccarat’s remarkable crystal and heritage, and brought to life by award-winning interior designer Tony Ingrao. Baccarat Residences is a private enclave in the heart of the city, dedicated to an unrivaled level of service and luxury. Residents have complete access to the amenities of the Baccarat Hotel, including a five-star restaurant, bars, spa, fitness and aqua centers, and a 24-hour concierge to anticipate residents’ needs down to the last detail.

The apartments at the Baccarat Residences range in size —floors 18 to 49 feature one- to five-bedroom homes, floors 44 to 47 are comprised of full-floor homes and topping the building is a gorgeous penthouse.

All of the apartments have been designed by Tony Ingrao and feature floor-to-ceiling windows, white oak floors and a signature Baccarat piece in the foyer.

Prices range from $3,350,000 for a 1203 square foot one bedroom to $60,000,000 for a 7,381 square foot 5 bedroom 5.5 bath stunning penthouse.

For more information about residences at Baccarat or any other Manhattan New Development
please contact me.

Exclusive Marketing & Sales Agent: Corcoran Sunshine Marketing Group.

Manhattan Market Report | First Quarter 2013

2013-04-02T11:50:00.001-04:00

Market activity in the First Quarter was higher than at any time since 2007; signed contracts were up 24%.
Inventory continues to decline and is extraordinarily low. The number of listings has decreased 50% since the peak in 2009. With the exception of new development sales, prices were essentially unchanged from a year ago.
Prices did come down somewhat from the Fourth Quarter of 2012, thanks to accelerated activity in that quarter at the high-end from buyers looking to beat the clock on changes in tax law introduced in 2013.

New developments are a large driver of this surge in contract activity. For example 56 Leonard Street,

the luxury new development tower in TriBeCa, is already 50% sold with over $450 million in signed

contracts since its sales center opened in February. Demand for new development property is so strong

that buyers are once again purchasing homes based on floor plans.

Resale co-ops grew to represent 60% of closings this quarter and this shift in property type also affected market wide prices. Strong demand for new product drove a 37% year-over-year increase in new development median price and a 6% increase in average price per square foot. Resale condos also held their value with average price per square foot up 1% from last year and median price up 12%. The median price for resale co-ops fell 2% from last year, while average price per square foot increased 2%.

For complete Corcoran First Quarter 2013 Report including neighborhood reports.

Continued steady demand is anticipated from local, national and international sources, putting 2013 on pace for a strong Spring selling season. If you have any questions regarding your future and specific needs, please contact me for expert market knowledge and exceptional service

Landmark Central Park Precinct Renovation

2013-04-01T09:02:00.003-04:00

Historic Landmark - New York City’s Central Park Precinct Reflects Multi-Million Dollar Modernization

(Photo Credit: Edward Reed)

The Central Park Precinct station house, the national and New York City landmark that since 1936 has served as base for New York City’s 22nd Precinct covering Central Park was recently renovated.

The two-story station features an updated and expanded new lobby with a partially bullet-proof glass atrium; improved staging, arrest processing and interview rooms, mechanical ventilation and central air-conditioning. There is 2,300 more square feet of additional space than the previous station house provided.

Originally stables and sheds in 1871, the park complex was converted into a garage in 1915 and reconstructed and redesignated as a police station in 1936. Part of the complex underwent additional restoration in the 1950s after a fire damaged the structure.

In 2002, uniformed and civilian personnel assigned to the Central Park Precinct relocated to a temporary building elsewhere on the site after deterioration, structural stress and roof leaks required a full renovation. The station house grounds make it the oldest Police Department building in the City.

Central Park is among the safest urban parks of its size in the world, with crime in the park down by more than 20 percent since 2001. Approximately 40 million people enjoy Central Park each year and since November 2002, there have been a total of 400 million visitors to the 842-acre park without a murder.

New York City Dwelling Age By Property Type

2013-03-30T18:24:00.001-04:00

New York City homes are a mix between old and new This chart shows when the different property types were built. The data below will show that there were surges in construction of certain property types throughout the past century. This is especially true for houses between 1920 and 1946, coops between 1947 and 1973 and Mitchell Lama coops in the 60s and early 70s.

Year Built	Owner- Conventional	Owner- Condominium	Owner- Private Coop	Owner- Mitchell Lama Coop	Renter Occupied
2002 or Later	17,247	16,407	1,104	0	89,469
1990 to 2001	27,711	4,262	173	0	58,644
1980 to 1989	20,275	20,299	3,888	304	68,769
1974 to 1979	11,292	2,430	2,427	2,178	53,067
1960 to 1973	64,878	13,316	71,360	41,303	264,247
1947 to 1959	70,636	19,058	82,151	5,687	249,992
1930 to 1946	142,429	9,944	35,956	152	446,089
1920 to 1929	125,769	7,560	40,035	0	494,312
1901 to 1919	67,411	5,215	18,864	0	283,815
1900 or Earlier	19,517	3,876	8,950	0	96,411
Total Occupied Units	567,167	102,367	264,908	49,624	2,104,816

Source: NYC Housing and Vacancy Survey 2011
REBNY

New Conversion: The Printing House | 421 Hudson St.

2013-03-26T07:29:00.000-04:00

The Printing House | 421 Hudson Street

New Condo Conversion

The Printing House is now open and is moving from previews to sales! Located at 421 Hudson Street, this condominium building consists of 60 one to four bedroom residences which have been redesigned with fifteen foot ceilings, double height living rooms, and eleven foot windows.

The Printing House is impressive both for its industrial scale and its understated architecture. It sits on a beautiful West Village block overlooking the playing fields of James J. Walker Park to the east and its own stylishly-planted mews to the west. Its distinctive Italian Renaissance facade, double-height ceilings and windows make it a unique presence in the West Village.

Every residence has been individually designed. The open plan allows the kitchens to be a central focus of each home. Designed with Caesarstone countertops and Timeline cabinetry, workshop/apd’s signature line for Aster Cucine, and featuring appliances by Wolf and Sub-Zero, every patina, texture, and finish gives off a sense of warm industrial modernism.

Amenities include 24 hour doorman and concierge service, Equinox fitness center, a landscaped garden, and private storage.

Current available units range from a 925 square foot 1 bedroom 2 bath for $1,495,00 to a 2,494 square foot 3 bedroom 3 bath for $4,250,000. Immediate Occupancy.

More information about Manhattan New Developments

More People Moving to NYC - Record Population

2013-03-18T08:41:00.001-04:00

NYC Population Has Grown to an All-Time Record of 8,336,697 According to Latest U.S. Census Data.

More people are moving to New York City than are moving out for the first time since before 1950, according to the latest U.S. Census Bureau estimates released today. The estimates show New York City’s population has hit an all-time record high of 8,336,697.

The city’s population increased by 161,564 since 2010 – about two percent in two years. This increase is among the largest two-year increases in recent decades. The increase is fueled by a continuing increase in people moving to the city and a decline in the number of people leaving the city, as well as the continued growth in the surplus of births over deaths due to life expectancy in the city reaching new record highs.

Each of the five boroughs registered gains in population. The largest percentage change occurred in Brooklyn, where the population grew by 2.4 percent or 60,900 people; followed by Manhattan (2.1 percent or 33,200 people); Queens (1.9 percent or 42,000 people); the Bronx (1.7 percent or 23,400 people); and Staten Island (0.4 percent or 2,000 people).

New York City’s increase since April 2010 represented 84 percent of the total population increase in New York State, which slightly increased the city’s share of the state’s population, from 42.2 percent to 42.6 percent.

Average weekend ridership on the subway grew by three percent, matching the all-time historic high for weekend ridership set in 1946.

Change in Population, Census Bureau Estimates
April 2010 to July 2012
		Census	Change:
	Census	Estimates	2010-2012
	2010	2012	Number	Percent
New York State	19,378,102	19,570,261	192,159	1.0
New York City	8,175,133	8,336,697	161,564	2.0
Bronx	1,385,108	1,408,473	23,365	1.7
Brooklyn	2,504,700	2,565,635	60,935	2.4
Manhattan	1,585,873	1,619,090	33,217	2.1
Queens	2,230,722	2,272,771	42,049	1.9
Staten Island	468,730	470,728	1,998	0.4

NYC as % of NYS	42.2	42.6	84.1

Source: 2010 Census; Census Bureau Current Estimates Program

The all-time high population and net influx of residents for the first time in more than 60 years is one of a number of recent measures that show quality of life in New York City is better than ever:

Record LowsMurders: 419 in 2012
Shootings: 1,353 in 2012
Incarceration rates: 474 inmates per 100,000 residents in New York City in 2011
Teen pregnancy: 72.6 pregnancies per 1,000 girls in 2010
Emergency response times: Six minutes and 30 seconds in 2012
Fire fatalities: 58 in 2012

Record Highs
Private-sector jobs: 3.2 million
Life expectancy: Average of 80.9 years
Tourists: 52 million in 2012
High school graduation rate: 65 percent
Percentage of New Yorkers who live within a 10-minute walk of a park: 76 percent

More information and analysis on the Census Estimates is available at www.nyc.gov.

Confidence Factor High Among New York Brokers

2013-03-15T11:35:00.000-04:00

Residential and commercial brokers remain confident in the market according to a recent monthly survey of real estate brokers by The Real Estate Board of New York.

The Real Estate Market Overall Confidence Index-- tabulated on a scale of zero to ten, with five being neutral -- for the first two months of 2013 was 8.86, almost a full percentage point higher than the average for 2012 which was 7.99. REBNY’s Broker Confidence Index is a collection of data from anonymous online surveys given to REBNY’s residential and commercial brokerage division members.

Brokers were most confident when asked about expectations of the financing market, particularly on the commercial side, for which an index of 10.0 was recorded for the first time since the survey was conducted in June 2012. This may be attributed to brokers’ hopes that the economy is improving and investors are becoming more active.

The overall confidence index for commercial real estate was 8.89 in February 2013, up from 8.80 last month. Commercial brokers remain optimistic and this shows recognition of the improving economic conditions overall.

On the residential side, the overall confidence index in February 2013 was 8.93, which was the highest recorded index over the past nine months. This index result was surprising, given concerns raised by residential brokers in survey responses that the low supply of inventory could adversely impact the market.

The survey showed that brokers expressed concern that housing prices will increase, making it difficult to appraise property in a changing market. These appraisal difficulties will create lending issues, which makes it more challenging for buyers to finance. Yet, despite these inventory and lending concerns, residential brokers remain optimistic that the typically busy spring real estate market is just around the corner.

REBNY began collecting monthly data through the survey in June 2012. A full copy of the REBNY Broker Confidence Index can be found on the homepage of REBNY’s website at www.REBNY.com

Manhattan Monthly Market Snapshot |February 2013

2013-03-12T08:40:00.000-04:00

Marketwide Summary

As we enter the beginning of the typically strong Spring season, market -wide sales activity picked up significantly in February. Both condo and co-op sales increased compared to last month and last year.

Sales typically increase in February and condo sales were up 16% and co-op sales were 22% compared to this time last year. Average condo prices reached new highs in February while average co-op prices declined compared to last month and last year due to increased sales activity for smaller co-ops.

Robust sales activity continues to out strip supply. Condo inventory is 29% lower and co-op inventory is 26% lower than this time last year.

source:
The Corcoran Report Manhattan Monthly Market Snapshot

Manhattan Townhouse Market Report | 2012

2013-03-02T09:25:00.000-05:00

The Corcoran Townhouse Report, now available is an annual examination of Manhattan’s single- and multifamily townhouse market. This report uses market wide data based on transactions that closed in 2012 and compares it to closings that took place in 2011.

Market-wide, 2012 witnessed the highest number of townhouse sales since 2007. There were 270

townhouse sales in 2012, a 34% increase from 2011. A surge in single-family townhouse transactions

this year drove the overall market to this post-downturn high. In 2012, there were 151 single-family

townhouse transactions, a 42% increase from 2011.

Strong price performance in the Village and Upper East Side helped drive market-wide median price up 14% from last year to $6.25 million. Average price per square foot increased year-over-year by 7%.

The multi-family townhouse market had a strong year with sales up 25%. There were 119 closings in

2012, up from 95 sales in 2011. Record high rental rates drove investor and buyer interest for multifamily townhouses in the city’s prime neighborhoods.

As a result, median price increased 76% from last year to $2.638 million. Average sale price increased in every submarket compared to last year, leading to an overall 30% gain in market-wide average price. Average price per square foot also increased year-over-year by 30% to $881 per square foot.

Download Complete 2012 Manhattan Townhouse Report

Wall Street Bonuses Rose In 2012

2013-03-01T15:02:00.000-05:00

Wall Street Bonuses Rose in 2012 - Industry Profits Rebound from Prior Year

Cash bonuses paid to New York City securities industry employees are forecast to rise by 8 percent to $20 billion during this year’s bonus season, according to an estimate released by State Comptroller Thomas P. DiNapoli.

The industry reports that profits for the broker/dealer operations of New York Stock Exchange member firms, the traditional measure of profitability for the securities industry, totaled $23.9 billion in 2012. Such a level of profitability is three times the $7.7 billion earned in 2011 and is among the most profitable years on record. Other activities of the large bank holding companies, however, were less profitable than last year.

The securities industry has changed dramatically since the 2008 financial crisis. Before the crisis, seven separate firms dominated the industry. Since then, Lehman Brothers went bankrupt and Bear Stearns and Merrill Lynch were sold to banks. The industry is also smaller, with 10 percent fewer jobs in New York City.

Regulatory reforms are changing the way the industry does business by requiring larger reserves, limiting proprietary trading and imposing other changes intended to reduce unnecessary risk and to enhance transparency. In response to compensation reforms, firms now pay a smaller share of bonuses in the current year and a larger share is deferred to future years. Overall, the deferral of bonuses will help reduce volatility in tax payments from the industry. In response to the fiscal cliff, a larger share of bonuses were paid in December 2012 to avoid higher federal tax rates scheduled to take effect in 2013.

The Comptroller’s estimate is based on personal income tax trends and reflects cash bonuses and deferred compensation for which taxes have been withheld. The estimate does not include stock options or other forms of deferred compensation that have not been paid out.

The average cash bonus rose by an estimated 9 percent to almost $121,900 in 2012. The average bonus rose more than the total cash bonus pool because the pool was shared among fewer workers than in 2011.

Unlike past economic recoveries, the current recovery in New York City is being driven by industries other than securities. While New York City has regained more jobs than it lost during the economic downturn (154 percent), the securities industry, on a seasonally adjusted basis, has regained only 30 percent of the jobs lost during the downturn.

Despite job losses, New York State has more securities industry jobs than any other state in the nation (and nearly two and a half times the number of individuals employed in second-ranked California), with nearly 90 percent of those jobs located in New York City.

The average salary, including bonuses, in the securities industry in New York City edged up slightly to almost $362,900 in 2011. (Wage data is not yet available for all of 2012.) This was a higher average than before the financial crisis and was the highest average among New York City’s major industries.

The disparity between the average salary in the securities industry and the rest of New York City’s private sector narrowed slightly in 2011, but it remained wide, at 5.3 times more than the rest of the private sector ($67,900).

Click here for a chart showing net cash bonuses paid from 1985-2012.

Manhattan New Development Market Update

2013-03-01T08:32:00.001-05:00

New Development Manhattan Market Update

First Quarter 2013 had ten new development properties opening for sales totaling 762 units. Projections indicate 58 new development properties totaling 2,432 units will begin sales in 2013.

While this would be the highest level introduced since 2007, it is still far below the over 8,000 units introduced that year. The average size of new developments in 2013 will be 42 units; in contrast, during 2005 the same number of new developments launched, with an average size of 94 units.

(Source: Corcoran Sunshine Fourth Quarter 2012 Market Report)

New Development Site News

The Aldyn is down to its last 6 units, 1 of which being an expansive penthouse totaling 5,847 sq ft with views of the Hudson River. The Penthouse, unit 2102, is listed at $16,900,000 and has 7 bedrooms, 9.5 bathrooms, a pool, and a spa.

Coming Sites

56 Leonard	Q1 2013
Printing House	Q1 2013
Baccarat Hotel & Residences	Q2 2013
Halcyon/East 51^st Street	Q2 2013
93 Reade	Q3 2013
361 Broadway	Q4 2013
Four Seasons	2014
Tower Verre	2014
West Village Residences	2014

Current Sites

Building Name	Building Address	Phone	Estimated Occupancy
101 West 87^th Street	101 West 87^th Street	212-877-8707	Fall 2013
135 East 79^th Street	135 East 79^th Street	212-505-7900	Fall 2013
345meatpacking	345 West 14^th Street	212-647-0345	Summer 2013
350 West Broadway	350 West Broadway	212-941-0350	Immediate Occupancy
Huys	404 Park Avenue South	212-725-0404	January 2014
422 West 20^th Street	422 West 20^th Street	212-242-0422	Immediate Occupancy
455 West 20^th Street	455 West 20^th Street	212-727-0455	Fall 2013
515E72	515 East 72^nd Street	212-772-2722	Immediate Occupancy
Chelsea Green	151 West 21^st Street	212-242-0151	Winter 2013
Manhattan House	200 East 66^th Street	212-566-0660	Immediate Occupancy
One Rector Park	333 Rector Place	212-945-3330	Immediate Occupancy
The Aldyn	60 Riverside Boulevard	212-579-6006	Immediate Occupancy
The Apthorp	390 West End Avenue	212-799-2211	Immediate Occupancy
The Laurel	400 East 67^th Street	212-750-5550	Immediate Occupancy
The Mark	25 East 77^th Street	212-772-1600	Immediate Occupancy
The Rushmore	80 Riverside Boulevard	212-496-1400	Immediate Occupancy
The Watchcase Factory	15 Church Street Sag Harbor	631-725-7200	Spring 2014
Warren Lofts	37 Warren Street	212-571-3700	Spring 2013

(Source: Corcoran Sunshine)
NYC New Developments

NYC’s Economic Future Will be Built by Coders.

2013-02-28T08:30:00.000-05:00

NYC School Program to Help Prepare Students for College and Careers in Growing Tech Sector

20 NYC public schools have been selected for the new Software Engineering Pilot program to begin at the start of the next school year. The schools will receive comprehensive computer science and software engineering curriculum for the 1,000 students expected to participate this fall.

By 2016, the program will grow to 3,500 students. Mayor Bloomberg first announced the Software Engineering Pilot in his State of the City address earlier this month, and the program is a part of the City’s work to prepare students for college and careers in the technology sector.

In September, the Software Engineering Pilot will launch in 20 middle and high schools, bringing computer science and software engineering classes to students in grades 6 through 12. In the first year, the core topics to be taught include computer programming, embedded electronics, web design and programming, e-textiles, robotics and mobile computing. The Pilot will also offer elective classes, including digital fabrication, 3-D printing and animation.

The 20 schools were selected through a competitive application process that evaluated the schools’ current technology offerings and how the program could help grow and sustain the programming. They include:

High School of Telecommunication Arts and Technology
Brooklyn Technical High School
The Bronx Compass High School
The Renaissance Charter High School for Innovation
Urban Assembly Gateway School for Technology
Queens Vocational & Technical High School
Cambria Heights Academy
Ralph McKee High School
New Dorp High School
Ditmas Intermediate School 62
I.S. 30 Mary White Ovington
Mark Twain I.S. 239 for the Gifted and Talented
Bronx Park Middle School
M.S. 223 The Laboratory School of Finance and Technology
Tompkins Square Middle School
Nathaniel Hawthorne Middle School 74
J.H.S. 185 Edward Bleeker
Pathways College Preparatory School
J.H.S. 157 Stephen A. Halsey
Eagle Academy for Young Men

The Software Engineering Pilot will also provide teacher training for the instructors leading the classes. Schools will use rigorous academic curriculum and have access to technology resources to support program instruction. Participating high schools will also receive support in applying for New York State Education Department approval, which can award a Career and Technical Education endorsement to graduating students who complete the program.

The program also builds on the Applied Sciences NYC initiative that the Bloomberg Administration launched to capitalize on the considerable growth in the city’s science, technology and research fields. In the technology sector, employment in New York grew by nearly 30 percent between 2005 and 2010, with total employment now at nearly 120,000.

The City has established three partnerships expected to create more than 48,000 jobs and 1,000 new companies and will be led by: Cornell and the Technion, which is developing a campus on Roosevelt Island; the NYU-led consortium, which will build the Center for Urban Science and Progress in Downtown Brooklyn; and Columbia University, which will establish the new Institute for Data Sciences and Engineering, to be located at Columbia’s Morningside Heights and Washington Heights campuses.

Manhattan Market - Strongest Quarter Ever

2013-02-22T07:44:00.004-05:00

The Manhattan market has never been stronger, reaching the highest prices ever recorded.

12,000+ Contracts

1. MOST SALES SINCE THE PEAK

There were 12,384 contracts signed in 2012, up 19% versus 2011 and the highest number of sales since 2007. This increase in contract activity is even more impressive given the record low inventory.

$1,689 price per square foot

2. RECORD CONDO PRICES

Strong demand and limited supply caused condo average price to reach record highs of $2.36MM and $1,689 per square foot in Fourth Quarter.

- 24%

3. INVENTORY AT 8-YEAR LOW

With 5,366 available listings, listed inventory is down 24% in the past year. The last time buyers had such limited product to choose from was First Quarter 2005.

Please note the above information is based on contracts signed and is from sources deemed reliable but no guarantee or representation is made by Corcoran Sunshine as to its accuracy. Equal Housing Opportunity.

Manhattan Monthly Market Snapshot | January 2013

2013-02-11T16:26:00.000-05:00

Marketwide inventory increased slightly in January due to the typical seasonal increase in new listings at the start of the new year. Nevertheless, inventory remains 23% lower than this time last year while contract activity increased by 44% compared to last January.

This strong demand and limited supply has pushed pricing up compared to last year. Average price per square foot increased in every bedroom category for both condos and co-ops leading to an overall 13% gain for condos and a 22% gain for co-ops compared to January 2012.

Limited supply has also constricted the average number of days on market and discounts from last ask to sale.

thecorcorangroup: manhattanmonthlymarketsnapshot January 2013

Hiz Honor former Mayor Koch Dies at 88

2013-02-01T15:05:00.001-05:00

While one New York city icon Grand Central Terminal celebrates it's 100th birthday today another New York City icon, former three term NYC mayor Ed Koch died this morning at age 88. We'll be paying our respects to Mayor Ed Koch for a long time. He really made NYC what it is today:

Ed Koch helped lift the city out of its worst fiscal crises and set it on course for an incredible comeback. He was also a powerful force in the real estate industry.

In 1989, he left office having created 3,000 apartments out of 10,000 abandoned or city-seized buildings, leaving another 33,000 units in the pipeline. Over the next 15 years, a total of 200,000 apartments inside these properties were completed, and only 800 buildings remained vacant. Many are HDFC coops that I am listing and selling today. I'm able to secure profits for my seller clients and find and secure affordable housing for many of my buyer clients today thanks to Ed Koch.

"New Yorkers will miss him, but his good works – and his wit and wisdom – will forever be a part of the city he loved so much. His spirit will live on not only on the bridge that bears his name, but all across the city of New York". Mayor Michael Bloomberg

HIZ HONOR the quintessential New Yorker lives on in NYC.

Below is a great interview with Ed Koch by the NY Times.

RIP Mayor Koch.

NY State Renews Coop/Condo Abatement

2013-01-29T17:11:00.001-05:00

The New York State Legislature passed an Omnibus Housing bill yesterday that renews the coop/condo abatement and J-51 programs and amends the certain provisions of the 421a program.

REBNY worked vigorously over the last six months for the early passage of this legislation which was agreed to at the end of the 2012 legislative session.

The bill was sent to the Governor today for his signature which is required for the bill to become law.

A brief explanation of the bill’s provisions is below.

Coop/Condo Abatement

The coop/condo abatement would be extended for three years. However, to be eligible for the abatement, the unit must be the primary residence of the unit owner. A unit owner may still receive an abatement for up to three units, provided they are in the same building and one of the units is the owner’s primary residence. In addition, the thresholds for an abatement were modified as described below.

Average AV:	≤$50,000	$50,000-$55,000	$55,000-$60,000	>$60,000
FY2012	25%	22.5%	20%	17.5%
FY2013	26.5%	23.8%	21.2%	17.5%
FY2014	28.1%	25.2%	22.5%	17.5%

For non-primary residence coops/condos where the unit received an abatement in FY2011 the abatement will phase out according to the schedule below.

Average AV:	≤$15,000	>$15,000
FY2012	12.5%	8.75%
FY2013	6.25%	4.375%
FY2014	0%	0%

J-51

The J-51 program, which provides a tax benefit for the renovation of existing housing, would be extended three years. However, the amendments would eliminate benefits for the conversion of commercial space to residential use and limit the eligibility for condominium and cooperative buildings with units whose average assessed value per unit is >$30,000. However, projects that receive “substantial government assistance,” which is defined to include city, state, or federal loans or grants, are not subject to this cap. Likewise, conversion projects receiving substantial government assistance would be eligible for J-51 benefits.

421a

The amendments to 421a would encourage new residential development in high density 15 FAR districts in Midtown and Downtown Manhattan. In the modification to the program in 2007, the renewal of this separate provision was accidentally omitted. This amendment was intended to restore the benefits that have been part of the program since 1993. In addition the bill restores flexibility in the completion of construction provisions that are crucial to the resumption of stalled housing projects.

source: REBNY (Real Estate Board of New York

Manhattan New Developments | New Construction - Conversions

2013-01-27T11:40:00.001-05:00

Coming Manhattan New Developments | New Construction | New Conversions

New buildings, both new construction and new conversions coming to the Manhattan market in 2013. New inventory is much needed.

101 West 87th Street

On the Upper West Side, 101 West 87th began selling in December, and already has many units in contract. The building features a mix of 62 one to four bedroom residences and a plethora of amenities which include a courtyard garden, garden lounge, children’s playroom, sky terrace, and a fitness center.

One of the most exciting new downtown projects set to open in January is 150 Charles, 91 units, 3,000 sq ft fitness club, 75 ft lap pool. The development is just south of the Richard Meir designed glass buildings on Perry street. The development will incorporate an existing three -story masonry structure plus 12 - story glass and brickaddition which will sit atop the original building. The project will include 10 four story townhouse units. The developers will be seeking LEED GOLD certification for the project. Raphael De Niro and Leonard Steinberg from Douglas Elliman is handling the sales and marketing for 150 Charles.

One Madison Park is expected to open around March 2013, Related the developer will be handling the sales and marketing.


Coming new development sites for 2013
56 Leonard	Q1 2013
404 Park Avenue South	Q1 2013
Baccarat Hotel & Residences	Q1 2013
Halcyon/East 51^st Street	Q1 2013
Printing House/421 Hudson Street	Q1 2013
93 Reade	Q3 2013
361 Broadway 150 Charles	Q4 2013 Q1 2013
Four Seasons	2014
Tower Verre	2014
West Village Residences	2014