new york real estate | Kevin Brunnock | NYC Real Estate Professional

Tag: new york real estate (page 2 of 2)

July 15, 2016

Silicon Valley Bank Doubled Their Manhattan Office Space

The West Coast established Silicon Valley Bank recognized for catering to tech firms has nearly doubled their Manhattan office space, taking over an entire floor at 387 Park Avenue South. This move is expected to bring New York City one step closer to the tech community.

Established in Santa Clara, California, the financial institution leased 20,000 square feet, relocating to the new space from the current 10,400 square feet space located at 303 Fifth Ave. After their move, Silicon Valley Bank will sublease their current space.

Matthew Leon, an associated with Newmark Grubb Knight Frank, help to broker the deal, negotiating on behalf of the building’s landlord TF Cornerstone, as well as Chip Sealy, an executive at TF Cornerstone. According to Silicon Valley Bank representative Robert Tunis, the intention of the move is to grow and become closer to clients they finance in the tech sector. Park Avenue South has easily matured into one of the most essential for office space in midtown south, nestled in a neighborhood that’s become a home for multiple tech companies within recent years.

“It’s where their constituency is,” said Tunis, who along with Ferriello will handle the sublease of the bank’s space at 505 Fifth Ave. “This new office puts them closer to that. You go where your business is.”

This latest deal is just one of many signed with TF Cornerstone since their multi-million dollar renovation of 387 Park Avenue South, which involved installing a private roof deck, a new façade for the three lowest floors of the building, new elevators, and HVAC. Criteo, a tech firm, leased the top three floors of the building last year, which granted them exclusive access to the private roof space. Criteo later leased another floor, taking on additional square feet.

Only the ninth and a portion of the eighth floors are presently available at the 13-story property. Also, the third floor will soon become vacant when SUNY Stony Brook’s 10-year lease expires at the end of the month.

May 11, 2016

Large-Scale Real Estate Projects Underway in New York City

New York City has a number of large-scale real estate projects in the works, headed by numerous Manhattan developers, including Joseph Chetrit’s Chetrit Group, L+M Development, Sumaida + Khurana, and Kenneth Horn’s Alchemy Properties.

Half of permits filed during the month of April were for projects greater than 100,000 square feet, according to PropertyShark. The other half consisted of filings for residential projects, as well as a Brooklyn office, school expansions, and hotels. These projects,whether launched by larger or smaller firms, are important constructional developments, offering New Yorkers housing and schooling options, as well as a closer proximity to retail outlets.

One of New York City’s more prolific affordable developers L+M Development Partners filed a permit application for a 59-story, 266,000-square-foot residential tower, which will be located in the Financial District (23 Park Row). Joe and Rachelle Friedman, the founders of J&R Music and Computer World, partnered with L+M Development Partners to construct the apartment complex, which will hold 108 apartments. Also, COOKFOX Architects have been slated to design the property.

A 19-story,174,000-square-foot Downtown Brooklyn office building may be erected at 540 Fulton Street if the Dushey family’s Jenel Management has anything to say about it. The future office building will have three levels of retail space, and it will be replacing the two-story, 26,000-square-foot retail establishment that stood there one year ago prior to demolition.

The Tel Aviv, Israel-based property management firm Sumaida + Khurana and the Chelsea-based firm LENY are planning an 80-unit, 34-story, 123,000-square-foot condo tower in Hell’s Kitchen (609 West 56th Street). Also, on the base floor, there will be retail outlets available. In addition to the Hell’s Kitchen property, they 823 11th Avenue.

In partnership with Shifra Hager’s Cornell Realty Management, Joseph Chetrit’s Chetrit Group acquired a number of retail properties near Penn Station in a deal with investor Charles D. Cohen. After parting ways, the Chetrit Group filed a permit for a 122,000-square-foot hotel, which will have approximately 33 floors and 300 rooms. The proposed hotel is expected to be located at 249-263 West 34th Street.

Another hotel is planned for Long Island City, where investment firm Brooklyn North Capital filed a permit for a 198-key Red Lion Hotel. Expected to open in 2019, the building will stand 14 floors and will have 61,000 square feet of space. The investment firm purchased the site, located at 38-15 9th Street, for $4.7 million in March.

iStar, which is a real estate finance firm and developer, is planning to construct a 135-unit, 107,000-square-foot supportive housing project just minutes from Coney Island’s boardwalk. They leased the promising space from the city’s Economic Development Corporation last year. In months and years to come, iStar plans to build 1 million square feet of housing in the area.

The New York City School Construction Authority is planning a five-story, 96,000-square-foot expansion of P.S. 19 in North Corona, Queens (40-10 99th Street) and they’re planning to add a five-story, 67,000-square-foot building at P.S. 46 Edgar Allen Poe branch in Fordham, Bronx (2760 Briggs Avenue). These changes will bring forth more space for cafeterias, classrooms, auditoriums, offices, and an outdoor playground.

May 8, 2016

The Manhattan Luxury Real Estate Market Outperforms Other Markets Even as it Fluctuates

According to reports, the NYC real estate market, particularly the luxury condo developments in Manhattan, are stalling. In fact, properties are apparently sitting on the market longer, while banks reevaluate their approach to construction lending and industry experts question the health of the high-end market, as well as its impact on the greater real estate market of New York City. However, no matter how many challenges there are, the Manhattan real estate market outperforms other markets.

Ari Harkov, a writer for NY Daily News, recently sat down with David Amirian, CEO of the Amirian Group and a prolific young developer, to inquire about the state of New York City real estate. Amirian communicated that there are more people looking to sell development sites today than any other point in recent history. Nonetheless, developers and sponsors are experiencing difficulty when it comes to raising debt and equity financing. This ultimately impacts the market.

“I believe there will be a slow growth in new ground-up development and conversions because of the financing market and the velocity in which new development apartments are being sold,” said Amirian. “Lending for new, luxury condominium projects has either slowed tremendously or stopped completely in some areas of the city. It does not exist. Period. End of story.”

Development costs have increased by nearly 20 percent annually, which has put a strain on the market. This has impacted contracts and operations, which means that lenders and investors are more able to dismiss a developer if budgets and deadlines aren’t met. Brisk real estate growth has begun to taper off and is the lowest that it’s been in three years, according to a StreetEasy Market Report. With that said, New York’s investment prospects, particularly long-term investments, continue to outshine other markets.

“The Manhattan market is highly influenced by what happens in global markets,” said Alan Lightfeldt, a data scientist at StreetEasy. “Manhattan is seen as a safe real estate investment, so when there is heightened volatility in other markets, we typically see demand for New York luxury properties increase. Recent turmoil in China’s stock market, for example, caused an increase in Chinese demand for US-properties.”

Manhattan has seen 3.8 percent growth over the past 12 months, which is the lowest on record since September 2012. Because of a slowing market, offers tended to be closer to asking prices, and price cuts were smaller and far less common than in the past. In Q1 2015, 31.2 percent of Manhattan listings had a price cut, compared to just 27.6 percent of Manhattan in 2016.

We’re reminded by data that the overall Manhattan market may be faltering, but subsets of the market continue to boom. Upper Manhattan surged 9.7 percent, with much of that success occurring on the Upper West Side (5.7 percent). East Brooklyn, South Brooklyn and Prospect Park in Brooklyn also experience success. While Downtown Manhattan, the Upper East Side, and Midtown had rates below the average. Also, real estate throughout the nation has been experiencing fluctuations, it isn’t just Manhattan. Regardless, wealth projections show that a long-term interest in real estate is a safe one.

March 17, 2016

4 Up-&-Coming, Hot NYC Neighborhoods

New York City is a paradise for those in search of trendy, hot neighborhoods. It’s up to the real estate industry to predict which neighborhood will be hot before it has even begun to warm.

The next “it” neighborhood can be determined by gauging local access to public transportation and attractive architecture, and clues that developers have identified a particular neighborhood as the next hot neighborhood is when rezoning, new supermarkets, restaurants and cold-brew coffee shops begin to sprout up, which invites new arrivals who are in search of low-cost housing, often to the dismay of longtime residents. There are four neighborhoods that have been identified as the next ‘hot’ neighborhood, based on indicators, such as commercial developments.

Sunset Park West, Brooklyn: Considered to be one of Brooklyn’s “most heterogeneous neighborhoods,” Sunset Park is a rising star, attracting countless individuals to its brownstone blocks and pre-war co-ops. From Bush Terminal Park to the soon-to-be-updated Industry City (a 16-building waterfront industrial complex) to the Design Within Reach warehouse, there is definite growth in Sunset Park. Additionally, Brooklyn Flea & Smorgasburg is located here, the startup MakerBot, the new Brooklyn Nets center, and warehouses, which beckon the partygoer crowd.

The Rockaways, Queens: The Rockaways have long been a go-to for surfers and beachgoers. However, the area is becoming more attractive to families and professionals year-round. Co-ops and starter apartments are available are available at a fraction of the cost of other NYC apartments. Also, there are developments on the horizon. This includes the development of a series of 18 duplexes across nine detached houses. As well as other vast oceanfront constructions, restaurants and more.

Flatbush, Brooklyn: Flatbush, with its stunning Victorians and retail corridors, s attractive to those who enjoy Caribbean restaurants and historic churches. The restored 1929 Kings Theater stands in the heart of the area and the neighborhood offers stand-alone homes and attached house, convenient public transportation and it’s extremely diverse.

East Harlem: East Harlem is a culturally-rich district, which runs from 96th street to the mid-140s. It remains one of the only neighborhoods in Manhattan, proper, that can offer valuable housing. The neighborhood is a lovely one, also known as Spanish Harlem or El Barrio, and it has beautiful cultural centers, many local small businesses, and robust commercial developments in progress.

March 9, 2016

5 Exciting Real Estate Projects in NYC

NYC is an incredible bustling city, and it always has some amazing projects in the works. With that said, some are far more exciting than others. Below, you’ll read about five exciting real estate projects taking place in NYC.

Hudson Yards is NYC’s largest project since Rockefeller Center and it’s the biggest private real estate development in the nation. It’s an incredible 17 million square feet with multiple office towers and 5,000 apartments, and it will house NYC’s first Neiman Marcus.

New York Wheel: NYC has endeavored to create the world’s largest Ferris wheel in Staten Island. The must-see tourist attraction will likely cost $35 a ride, and construction is slated to cost more than $500 million.

Central Park Tower: The residential project previously known as Nordstrom Tower is a 1,500-foot-high luxury condo, and it’s projected to sell out at $4.4 billion.

Essex Crossing: Formerly known as Seward Park Urban Renewal Area, the lower east side-located tenement housing development will hold 1,000 apartments and 850,000 feet of commercial space. The project will also introduce a park, a movie theater, and a bowling alley to the community. They’re also expanding the Essex Street Market.

Brooklyn Navy Yard: The industrial park is located near Clinton Hill, South Williamsburg, and Downtown Brooklyn, and it will be home to a number of tech-driven manufacturing projects. Traditional and new manufacturing companies will be housed in the massive complex.

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