|
Apartments -
NYC Real Estate News
|
|
Tuesday, 30 November 1999 00:00 |
A midtown office building at 57th Street and Park Ave. gave tribute to the ever-rising demand for Manhattan commercial real state after it sold for approximately $510 million last week, $1,589 a square foot. This price is believed to be the highest to date on a per-square-foot basis for office space in the United States. This comes during a time of concern over tight lending practices in the commercial real estate market.
Somerset Partners LLC, a New York Based private equity firm that won the bid on 450 Park, identified the space as an asset they were prepared to go as far as they needed to acquire. Somerset receives its capital mainly from Europeans trusts but finds New York commercial properties a bargain compared to sites in London or Dublin.
Somerset's win shattered the per-square-foot record for NYC commercial real estate set just four weeks ago, where a building at 660 Madison went for $1,476 a square foot. Real estate experts see this as a trend that will condense the amount of potential buyers, helping to eventually bring down massive property prices in New York.
Read the original article by JENNIFER S. FORSYTH from The Wall Street Journal Online
Summary by Eric M. Hoover
--
TopNYCApts.com is always glad to hear about a flourishing New York marketplace, but the real estate "experts" above seem contradictory. A smaller pool of high price buyers still increases the cost of the property. Period. As long as there are consumers willing to pay top dollar, property fees will continue to grow.
If you disagree, sound off and turn us into a believer of so-called "declining prices."
|
