Photo: Chris Hamby/Flickr
The number of investment property transactions in Manhattan fell in the first half of 2016 over the same period in 2015. The 304 transactions, the fewest seen since the first half of 2013, consisted of 361 properties totaling close to $19.35 billion. This is down from the 423 transactions and the $26.6 billion seen the same period in 2015, according to a newly released report by Ariel Property Advisors.
Multi-family properties saw a 12 percent jump in dollar volume, reaching almost $4.2 billion from the $3.7 billion seen same period 2015. The average multifamily price per square foot also increased to $960 per square foot, up 3 percent from the 2015 average of $934 per square foot.
Development site transaction and dollar volume both saw declines during the first half of 2016, but the average price per buildable square foot went up marginally to $618, up from the $610 average seen in 2015.
A decline in volume was seen in all property types, with office buildings and development sites each reporting 49 percent declines, the largest decline seen in all property types. It was reflected in the 46 percent dollar volume decrease year-over-year for development sites but office buildings received a significant boost in dollar volume with four sales each over $1.4 billion.
Sales volume and pricing are expected to hold at their current levels over the remainder of the 2016 with both national and local economic growth prospects remaining strong, according to Ariel Property Advisors.
Read the full report here.