The Real Deal - New York Real Estate News

Simon Property Group declares victory over Covid as earnings bounce back

Posted: 01 Nov 2021 04:10 PM PDT

Nearly two years into a pandemic that shrank its portfolio and forced some of its competitors into bankruptcy, the head of the nation’s largest mall owner believes his firm has weathered the storm. “We’ve overcome the arbitrary shutdown of our business,” Simon Property Group CEO David Simon said on the REIT’s third-quarter earnings call. Just a few quarters ago, the REIT was collecting just over half of rent owed by its tenants and was suing

HNA entity puts Park Avenue office tower, Chicago Loop high-rise in bankruptcy

Posted: 01 Nov 2021 02:45 PM PDT

An HNA Group affiliate that owns a 44-story Park Avenue skyscraper and a 50-story Chicago Loop office tower filed for bankruptcy as the Chinese conglomerate HNA goes through a multibillion corporate restructuring. Despite HNA’s troubles overseas, the entity blames SL Green, its property manager, for the bankruptcy filing. The HNA Group affiliate, PWM Property Management, alleges SL Green failed to secure a new anchor tenant at 245 Park Avenue to replace Major League Baseball’s lease

Real estate’s big year could ward off pied-à-terre, mezzanine taxes

Posted: 01 Nov 2021 01:53 PM PDT

Just a year after budget watchdogs warned of a “budget crisis” that would leave New York $16 billion short this fiscal year, the state finds itself with ample cash, thanks in part to New York City’s red-hot housing market. New revenue figures, which project to balance the state budget through fiscal year 2025, benefit the industry as well by reducing the likelihood that New York will raise taxes on real estate. Proposed levies on mezzanine

Manhattan office market records busiest month since start of pandemic

Posted: 01 Nov 2021 01:47 PM PDT

Manhattan’s office market received a much-needed jolt from its pandemic lows in October, though recovery to 2019 levels remains a long way off. Tenants signed leases for 2.7 million square feet of office space for the month, up 10.8 percent from September and the highest amount recorded in one month since January 2020’s 3.6 million square feet, according to Colliers International’s market snapshot. Year-to-date, Manhattan leasing volume topped 19 million square feet, surpassing the full-year

Zillow eyeing $2.8B for 7,000 homes: report

Posted: 01 Nov 2021 01:05 PM PDT

The hits keep on coming for Zillow, as the company is reportedly looking to offload several thousand homes and move forward in its iBuying business. The company is aiming to sell 7,000 homes for $2.8 billion, Bloomberg reported, citing people familiar with the matter. The outlet reports Zillow is likely looking to move the homes in many transactions, rather than trying to package and offload them in one single swoop. The Bloomberg report comes just

Veteran exec bounces back to BHS from Warburg Realty

Posted: 01 Nov 2021 12:45 PM PDT

Well, that was quick. After five months as an executive at Warburg Realty, Stephen Klym is returning to Brown Harris Stevens. The veteran executive will serve as senior executive vice president and managing director of sales for BHS Downtown starting Nov. 8. He will oversee sales at the firm’s 130 Fifth Avenue, 831 Broadway and 43 North Moore Street locations alongside downtown executive vice president and managing director of sales Sara Rotter. Klym previously worked

Condo with 20-foot ceilings tops Brooklyn’s luxury home deals

Posted: 01 Nov 2021 12:00 PM PDT

Condominiums old (sort of) and new topped Brooklyn’s luxury home deals last week. The most expensive listing to go into contract, according to Compass’ weekly report, was a 2,655-square-foot condo in Williamsburg that was last asking $5.25 million, or $1,976 per square foot. The duplex at The Edge, 22 North 6th Street, was built in 2008 and has three bedrooms and three bathrooms. Its ceilings stretch 20 feet high, and its private terrace overlooks the

Microsoft snags 150K sf for Manhattan offices

Posted: 01 Nov 2021 11:11 AM PDT

Microsoft is the latest tech giant to snap up space in Manhattan’s office market, leasing half of Bromley Companies’ 122 Fifth Avenue. The company signed on for 150,000 square feet at the Flatiron building, half of its total 300,000 square feet, Bloomberg reports. Asking rents were not revealed for the development, which is under renovation, and it’s currently unclear when Microsoft would move in. JLL represented Microsoft in the transaction, while Newmark represented the landlord,

Fueled by 20% discounts, sales of Manhattan luxury co-ops heat up

Posted: 01 Nov 2021 10:30 AM PDT

As Manhattan’s luxury market ploughs ahead, soaring discounts saw co-op sales tick up last week. The market remained busy with 47 luxury deals inked last week, compared to 50 the week before, according to the Olshan Report, which tracks contract activity for Manhattan homes asking over $4 million. The median asking price across the 47 deals was nearly $6 million. The average discount from the original ask to the final one was 8 percent and

Long Island mall vacancy rates range from 35% to 5% in mixed pandemic recovery

Posted: 01 Nov 2021 10:00 AM PDT

Amid hot streaks for Long Island’s residential and industrial markets, the area’s malls face mixed success grappling with the rise of e-commerce and loss of anchor stores. Newsday reports Samanea New York in Westbury, has a current vacancy rate of 35 percent. The figure is the area’s highest, representing one-third of the mall’s 750,000 square feet as empty. After a $28 million renovation led the its effort to pivot to a destination for lifestyle brands,

Industrious hires ex-WeWork exec as chief growth officer

Posted: 01 Nov 2021 08:30 AM PDT

Industrious has hired former WeWork executive Craig Robinson as its chief growth officer, the flex-office provider told The Real Deal. Robinson’s hiring comes about two months after the flex-office startup hired a new chief operating officer, whose responsibilities include preparing the company for its expected initial public offering. Industrious’ new chief growth officer position was created in response to the post-pandemic trend of large corporations and growing startups alike seeking to use flex offices in

Zillow’s iBuying flop: Company listed nearly two-thirds of homes below purchase price

Posted: 01 Nov 2021 07:05 AM PDT

Questions over the profitability of Zillow’s iBuying practices in the increasingly competitive space appear to be close to the operation’s troubles detailed in an Insider analysis. Insider examined the company’s listings on October 27 in five markets: Dallas, Houston, Phoenix, Atlanta and Minneapolis. The outlet found almost 64 percent of the homes were listed for sale for less than Zillow paid for them, with a median difference of $16,000. Of the 963 listings Insider reviewed,

NYU renews at Tishman Speyer’s 11 West 42nd Street

Posted: 01 Nov 2021 06:22 AM PDT

New York University has renewed its lease at Tishman Speyer’s 11 West 42nd Street. The university again signed on for more than 115,000 square feet at one of the school’s longtime sites, according to the New York Post. The lease covers three floors for five years and six months. As part of the renewal, NYU is receiving its own private entrance to the building. Rents for the renewal are starting at $55.50 per square foot,

Sands of time: Hamptons, feds in daunting quest to protect coast

Posted: 01 Nov 2021 05:30 AM PDT

Residents of the Hamptons are joining with the government to save their beaches from climate change, but success may be harder than cupping sand in one’s hands. The U.S. will spend at least $1.5 billion across 80 miles of Long Island for the Fire Island to Montauk Point project, the subject of an in-depth feature by Bloomberg. A large chunk of that money will go towards pumping offshore sand onto the beaches, while funds will

Judge demands alarm codes, cancels credit card for Moskovits Bronx project

Posted: 01 Nov 2021 05:00 AM PDT

In the legal tug-of-war over Toby Moskovits’ stalled Bronx apartment project, a state judge pulled in the direction of the lender. But Moskovits and her partner are digging in. On Thursday, Judge Lisa Beckerman allowed Be-Aviv, the Mott Haven project’s lender, to terminate the development’s Bank of America credit card and any associated line of credit. Beckerman also granted Lee Buchwald, the bankruptcy manager appointed by Be-Aviv, access to the property, ordering Moskovits’ Heritage Equity

Check, please! Locals demand city undo outdoor dining

Posted: 01 Nov 2021 04:00 AM PDT

Kathy Arntzen and her husband have lived in a condo on Cornelia Street for 32 years. But during the pandemic, the character of her sleepy Greenwich Village block has fundamentally changed. Seven restaurant sheds have popped up, along with a plethora of outdoor cafe seating, all on Arntzen’s 450-foot-long street. With the sheds came music blasting from speakers, black trash bags on the curb and rats scurrying between planters. “It’s losing its identity,” Arntzen said.