Photo: Robert Clark
Manhattan’s new construction submarket got off to a rough start in 2018.
Total sales and sales volume both fell substantially while prices edged lower in the first quarter of 2018, according to a report released last week by New York brokerage MNS.
Over the last quarter, Manhattan new construction sales volume fell from $1.725 billion to $1.102 billion in the first quarter, a quarterly decrease of over 36 percent as sales shifted to smaller sized units.
“In the fourth quarter of 2017, we saw a large amount of sales among larger sized apartments, three-bedrooms and up. This quarter, two-bedroom sales dominated, which subsequently influenced a lower volume relative to the previous quarter,” MNS CEO Andrew Barrocas tells BuzzBuzzNews.
At the same time, the median sale price decreased 2.1 percent to $2.8 million. This was a decrease of 8.1 percent from last year.
The median price per square foot was up 2 percent quarterly to $2,016 per square foot in the first quarter, an increase of 5.1 percent from last year at the same time.
Sales fell sharply from the previous quarter, dropping 27.5 percent in the first quarter, but are expected to rebound.
“In terms of quantity, it was largely due to many buildings and units getting absorbed in 2017. As we see more buildings complete construction in 2018, we will see both the quantity and volume rebound,” Barrocas says.
For the second consecutive quarter, the Upper West Side was the neighborhood with the most new construction sales. Some 28 percent of all sales were in the Upper West Side. The East Village had the next largest number of sales in the first quarter, at nearly 15 percent of total sales.
Meantime, the Midtown West neighborhood saw the largest upswing in the first quarter. The median price jumped to $3.1 million, up from $2.1 million recorded the previous quarter.
Harlem recorded the largest quarterly downswing, with prices dropping to $1.2 million from $1.7 million.
The sale with the highest price per square foot was a unit in 432 Park Avenue in Midtown East, which sold for $32.4 million or $8,152 per square foot.
However, the sale with the highest price tag was the penthouse at 146-150 Wooster Street, which sold for $32.5 million ($4,813 per square foot).
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