NEW YORK, NY – July 9, 2026 – New York City investment sales volume in H1 2026 rebounded to $17.38 billion across 1,224 transactions—a 37% jump in dollar volume and 5% increase in transactions compared to H1 2025, according to preliminary figures published by Ariel Property Advisors in its All Asset Investment Sales Report H1 2026.

“New York City’s investment sales market showed resilience during the first half of 2026, with dollar volume rising nearly 40% year over year,” said Shimon Shkury, President and Founder of Ariel Property Advisors. “The surge in development sales demonstrates that new city and state housing policies are successfully driving transaction activity. Similarly, office investments are benefiting from the jump in leasing activity, while strong fundamentals continue to support free market multifamily pricing. However, the rent stabilized sector remains constrained by regulatory pressures, with transactions driven by distress and restructuring.”

Report Highlights

Multifamily

      • New York City multifamily totaled $4.95 billion in sales across 652 transactions and 868 properties in H1 2026, year-over-year increases of 21%, 6% and 11%, respectively.
      • Free market multifamily accounted for 65% of all multifamily dollar volume based on strong fundamentals. The largest free market transaction was Carmel Partners' acquisition of MetLife's 50% interest in five Upper West Side buildings containing 710 units for $241 million.
      • Rent stabilized trading was dominated by distress. For example, Summit Properties acquired Pinnacle Group’s 5,151-unit portfolio out of Chapter 11 bankruptcy for $451.3 million. To facilitate the sale and permanently clear the position, the portfolio's lender, Flagstar Bank, absorbed an estimated $113 million write-down.

Development

      • The development sector produced $3.88 billion in sales, representing a 61% year-over-year increase in dollar volume.
      • Development's rebound is policy-driven, led by 485-x. Most builders stay under 99 units to dodge the program's prevailing-wage threshold.The exception was the bellwether Rockefeller Group's $96 million ($239/BSF) acquisition of 200-204 W 97th Street, planned as a single ~300-unit rental.
      • Residential conversions are being pulled forward by the 467-m incentive. Two transactions illustrate the trend: Quantum Pacific and MetroLoft's $135 million acquisition of 845 Third Avenue (a $330 million total capitalization), and BGO's $105 million sale of 2 Rector Street, a 52% discount to its 2016 basis.

Office

      • Office investment sales totaled $3.76 billion with 62 transactions, a 31% increase in dollar volume year over year on essentially a flat deal count.
      • Manhattan office leasing is showing clear momentum, supported by strong tenant demand from law firms, technology companies and AI firms. According to Colliers, the first half was the most active since 2022, with 4.2 million square feet leased in May, up 35% year over year, bringing year-to-date leasing volume to 19.6 million square feet.
      • The largest trade was SL Green's $730 million purchase of 65 East 55th Street from Blackstone ($1,176/SF), roughly 20% of all office volume in a single deal.

Retail

      • Retail investment sales totaled $1.75 billion across 144 transactions, up 21% and 12%, respectively, from last year.
      • The average price per square foot hit roughly $1,085, which is the highest reading in a decade, concentrated heavily in a handful of large format or owner occupier trades.
      • The largest transaction was Acadia Realty Trust and TPG Angelo Gordon’s purchase of a retail complex in Downtown Flushing from Blackstone for $424 million, or $764/SF.

Special Purpose

      • Special purpose generated $1.57 billion, jumping 119% in dollar volume from H1 2025.
      • Two deals drove the bulk of the segment: Lotte's $491 million purchase from the Archdiocese of New York of the ground lease under the New York Palace hotel, and the NYC portion of Centers Health Care's ~$1.7 billion multi-state medical-portfolio sale to the Emerald Group. The city's share spanned four boroughs — $296.25 million in Brooklyn, $161.25 million in the Bronx, $82 million on Staten Island, and $16.1 million in Queens, totaling~$555.6 million.

Hotel

      • Hotel transactions produced $867 million and 10 deals, a year-over-year increase of 72% in dollar volume but transactions were flat.
      • Two trades anchored the segment. The first was Gencom's $270 million purchase of 50 Central Park South, a 253-key Ritz-Carlton valued at $1,106/SF, marking its third NYC luxury hotel acquisition in 16 months. The second was 132 West 27th Street, a 313-key Chelsea hotel that closed at $203 million, or roughly $648,000 per key.

Industrial

      • Industrial was the only asset class to decline, generating $597 million across 101 transactions, down 8% in dollar volume compared to last year.
      • Terreno Realty's $92 million purchase of 28-10 Whitestone Expressway in College Point represented roughly 15% of total segment volume.