Press Releases Archive
Shimon Shkury
President and Founder
Ariel Property Advisors
NEW YORK, NY – April 18, 2024 – New York City recorded $1.44 billion in multifamily sales in Q1 2024, a 23% increase from Q1 2023, according to Ariel Property Advisors’ Q1 2024 Multifamily Quarter In Review New York City.
If annualized, the Q1 2024 dollar volume would result in a 22% decline compared to the approximately $7.39 billion in multifamily assets that traded in 2023. We expect the second half of 2024 to be more robust as a result of positive fundamentals, new legislation and the enhanced effect of lenders forcing decisions.
Predominantly free market building sales accounted for the majority of the dollar volume in the first quarter, 68%, while rent stabilized sales accounted for a 31% share of the dollar volume.
“Free market multifamily has been the dominant player in multifamily transactions, however, we have seen much more activity in rent-stabilized housing as mortgage maturities forced some selling and we believe we will continue to see that trend,” said Shimon Shkury, President and Founder of Ariel Property Advisors. “The housing plan outlined by Gov. Kathy Hochul this week is mixed. ‘Good Cause Eviction’ in any form provides free-market regulation, which will negatively affect the investor. In addition, the housing plan includes a program to encourage the renovation of vacant apartments in rent stabilized buildings, but the reported details might not be as meaningful as the industry had hoped for. The good news is a new 485x tax incentive for affordable housing and extending the expired 421a program for six years, which should result in additional development to help address the city’s housing crisis.”
Submarket highlights:
For more information and to read the full report, please click here.
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Ariel Property Advisors is a New York City-based commercial real estate services and advisory company offering expertise in three core areas: Investment Sales, Capital Services and Research & Advisory. Our Investment Sales Group specializes in all major commercial asset types throughout the New York metropolitan area, the Capital Services Group provides clients nationwide with custom-tailored financing solutions and the Research & Advisory team delivers timely market reports, empowering both our professionals and clients. Additionally, our recent strategic partnership with GREA (Global Real Estate Advisors), a nationwide network of independent real estate investment services companies, further expands our reach and capabilities. To learn more, please visit us at arielpa.nyc.