Category: New York Real Estate

The Upper East Side is undoubtedly one of the chicest neighborhoods in Manhattan. Wondering why? Well for starters, type in Manhattan, New York, NY on Google Maps and it’ll become very clear as the huge green mass that is Central Park captivates you and the screen. Without any hesitation, you know that’s exactly where you want to live.

Located on the northeast corner of this urban island, between Central Park and the East River, the UES is home to a very affluent population. Its buildings, houses, and apartments are luxurious and often featured in glossy magazines for their elegance and timeless style. Lining the streets are friendly doormen, gatekeepers to residential buildings and their top of the line concierge services.

Everyone knows New York City is a city like no other, completely unique, and the Upper East Side is no different. Its blocks of architecture boast a mixture of skyscrapers, well-cut stone buildings, brownstones, palatial towers like the Plaza Hotel and Trump Palace Condominiums. Overall, the neighborhood is residential and commercial, very clean and secure. The names of its avenues have been heard around the world: Park Avenue, Lexington Avenue, Madison Avenue (known to be one of the most expensive), and, of course, the iconic Fifth Avenue. An urban landscape at its core, the atmosphere of the UES is dynamic and energetic while still remaining discreet and fairly quiet: the serenity that comes after making it, after finally realizing your dreams. You’ll notice that the residences are very modern, with windows as walls offering spectacular views of the city or the park. Residential buildings are often equipped with gyms and swimming pools. You’ll also find older upscale buildings that are very charming and fronted with beautiful marble entrances. Inside, elevators operators keep you company on the way up to visit, or return home, to plush apartments.

You may be surprised by how many children live in the neighborhood because the Upper East Side is at its core is a family neighborhood, set with some of the very best academic institutions. In total, there are around 51 schools including a French high school. UES moms are already thinking about registering their newborns for a first-rate kindergarten class. Don’t think for a second that this private establishment is only populated by baguette enthusiasts. The lucky 1,337 students represent over 55 different nationalities.

The outstanding Central Park and its 341 hectares in the heart of the city also attract New Yorkers with children (trees and children are like 2 peas in a pod) but also exercise enthusiast and musicians of all kinds. Artificial lakes, walking paths, its renowned 2.54-km Reservoir, 2 ice skating rinks, 21 athletic fields and its famous zoo. All of this is surrounded by immense, towering buildings and the incessant buzzing of the city.

The Upper East Side’s real estate assets are highly valued and sought-out by a very affluent clientele. The price per m2 is high, but as a certain famous beauty brand says: “Because you’re worth it.” Businessmen and businesswomen, people with high net worths as well s those with high purchasing power are very fond of this classic Manhattan neighborhood.

The UES is also a significant cultural center. The area is home to landmark museums like the Metropolitan Museum of Art, The Guggenheim, and the Frick Collection to name but a few. A top shopping hotspot, too, the world’s most beautiful boutiques and legendary brands have established themselves on pavements of Fifth and Madison Avenues. Restaurants and cafes, like its shops, are known to set the latest trends in terms of both decor and cuisine. The world’s top chefs go to Manhattan in a never-ending chase for new flavors and creativity to delight Upper East Siders (they are the most discerning judges).

Sure, it’s a little cliché, but the simple truth is that Manhattan is a special place that becomes even more magical, more mythical on the streets of the Upper East Side.

With its corrugated glass façade, 252 East 57th Street was one of the first new developments aimed at redesigning North Midtown East when it was launched in early 2014. But after a long period of slow sales (about half of the condominiums, or 95 units, remained unsold), developers have decided that it’s imperative to take new incentives. In addition to a price cut last year, some developers are now offering brokers a 4% commission, of which 1% is paid as soon as the contract is signed. Developers are trying their best to distinguish themselves in order to attract more and more potential buyers.

In recent months, prices of high-end condos have declined to record lows. However, lower prices are not the only way to attract buyers. They can ask that the seller be responsible for the transfer tax (this fee is 2% of the selling price). In efforts to avoid the public display of low prices, they offer other benefits as compensation. In regards to buildings with a large number of vacant units, it is necessary to be resourceful.

Since developers are now under significant pressure, construction loans are substantial and creditors are anxious about not being reimbursed. Banks are even starting to inquire about the rental rates of larger units.

Today, it’s becoming increasingly difficult to sell new condos that were evaluated in 2014 and 2015 at very high prices, almost 2 years before they were realized. In addition, many of them arrived on the market over the same time period.

The sales of new developments have fallen by 13.2% since last year. 479 fewer units were sold in the fourth quarter of 2016 compared to the same period in 2015. Meanwhile, the average time on the market in days has increased by 20.7% (181 days).

In recent months, the downtrend in sales has frightened a number of developers, including CL investment, which ended the renovation of a $300 million luxury condo at 287 Park Avenue South last fall. In February, the Chinese investment company also sold 32.9% of its shares to Coda, the Magnum Real Estate group specializing in rental-to-condo conversions at 385 First Avenue. Kuafu Properties put an end to its development at 161 East 60th Street, a $ 300 million site now controlled by Denis Shan, the former director of Kuafu. In addition, JDS Development Group and Property Markets Group suspended their sales at 111 West 57th Street last year.

Even if certain offers are not very attractive for developers, most of them are no longer able to refuse a deal. Today, buyers are trying to make developers pay the closing costs (transaction fees), transfer taxes, and mansion taxes.

Each developer has its own method. One of them recently decided to offer fees for an entire neighborhood. However, it is much more common to adopt a “building by building” or “unit by unit” sales approach.

Most buyers today are trying to save every dollar where they can. Even (and especially) those interested in property worth more than $10 million, and ask for conditions during discussions. Reasonably priced properties in the best locations are sold immediately without the need for such flexibility. In general, a competitive atmosphere offers the most advantages to buyers.

The price and expense sharing is not the only topic of negotiation. In some cases, you can request customized modifications. Like a car, for example: The developers of a house at 357 West 17th Street asking for $36.8 million, are including a Bentley worth least $200,000.

“Offering a higher commission does not necessarily sell an apartment, but attracts the attention of brokers,” according to the president of a development company. Everyone knows that there are many real estate goods available in Midtown, so it is essential to differentiate.

However, in some cases, the only way to sell is to reduce prices.

“Developers are not only offering to cover closing costs, but they are crossing the final barrier: prices,” said a New York broker. “The drop in prices affects not only the people who bought in the building and are trying to sell but also the neighboring properties.”

When the luxury market adjusts its prices to cope, amounts drop to dizzying lows … For example, this triplex penthouse at 12 East 13th Street which initially asked for $30 million is now available for sale for only $16 million!

This townhouse has been off the market for awhile. Purchased in 2009 for $15 million by Bob Weinstein, a co-founder of Miramax Studios, this 5-story home is located at 39 West 70th Street and on sale for $19 million – a significant selling price but not unreasonable given the property’s quality.

Offering 6,600 sq. ft. (613 m2) spread over 7 levels, the lucky buyers will have 5 bedrooms with bathrooms. On the ground floor is a large gas fireplace, moldings with remarkable details and large windows giving the place a certain character.

Design details are arranged throughout. Upstairs, the master bedroom has a large dressing room of 14 m2 (150 sq. ft.) and three outdoor areas (garden, terrace, and rooftop). One of this townhouse’s most unique aspects is its half-court basketball arena and gym.