NEW YORK, NY – February 6, 2026 – Investment sales in Northern Manhattan totaled $609.7 million across 82 trades in 2025, declines of 53% and 15%, respectively, compared to 2024, according to Ariel Property Advisors’Northern Manhattan 2025 Year-End Commercial Real Estate Trends report.

“The development sector was a bright spot for Northern Manhattan, showing a 22% year-over-year increase in transactions, aided by policies such as the 485x tax incentive and City of Yes rezoning initiative, said Ariel Director Alexander Taic. “Of this activity, Ariel brokered 27% of Upper Manhattan’s development transactions and 20% of the dollar volume last year. ”

Senior Director Sam Schertz noted, "Multifamily activity in Northern Manhattan has continued to slow, a direct result of high interest rates and regulatory pressure that have eroded asset values. However, deals are still getting done and multifamily properties remain attractive to many new and established investors.”

Multifamily Highlights

      • Total Northern Manhattan multifamily sales fell to approximately $325 million across 47 transactions, representing a 54% year-over-year decline in dollar volume and 28% drop in transactions.
      • In 2025, rent stabilized assets accounted for a little over 30% of the multifamily dollar volume, as investors favored free-market assets. Political and regulatory uncertainty following the election of Mayor Zohran Mamdani contributed to the lackluster rent-stabilized activity. Despite this, some long-term buyers remain active, attracted by pricing resets not seen in nearly two decades and the submarket’s durable housing fundamentals.
      • In free market, a significant transaction was Bonjour Capital’s sale of five contiguous rental buildings at 601–611 West 137th Street in Hamilton Heights for $62 million, or roughly $275/SF. Janusz Sendowski, a longtime New York multifamily investor, acquired the predominately free market, prewar elevator portfolio comprised of over 180 units and one retail space, financing the purchase with a $46.5 million loan from JPMorgan Chase.
      • Among the affordable deals, Ariel Property Advisors brokered a two-building asset sale at 200 E. 131st Street and 1951 Park Avenue in December for $55.6 million.

Development Highlights

      • Dollar volume in the development sector totaled $167 million, down 13% from 2024 but up 136% from 2023. Transactions improved 22% to 22 year over year. The average price per buildable square foot declined to $147/BSF.
      • East Harlem was the most active neighborhood with more than half of the development sites traded, of which Ariel arranged a third.
      • A key development sale was Clipper Equity’s acquisition from the Durst Organization of a 362,000/BSF vacant full block-front site at 1800 Park Avenue in East Harlem for just over $50 million, or approximately $138/BSF.

To read the full report, please click here.