November NYC Multifamily Dollar Volume Marks 8-Month High
New York City multifamily dollar volume soared to an eight-month high in November on a handful of large-scale transactions. Manhattan, continuing an ongoing trend, led the city in volume.
For the month, New York City had 34 transactions comprised of 55 buildings totaling $1.68B in gross consideration. Transaction volume fell 19%, but building volume rose 8% from the previous month. Dollar volume surged 116% from the previous month, its best since March, with six transactions priced at $100M or above accounting for 77% of the month’s activity.
Read on for the Ariel Property Advisors borough-by-borough breakdown of the data.
Manhattan captured 65% of the city’s dollar volume, with $1.09B in multifamily sales across 12 transactions consisting of 16 buildings. Much of this dollar volume was driven by Blackstone’s purchase of Kips Bay Court for $620M, or $748/SF. In Chelsea, a 27-unit walk-up building at 222-224 West 21st St. sold for slightly under $30M, or $1,310/SF, and a reported cap rate of 4.87%.
For the month, Northern Manhattan had $122M in sales from four transactions, more than double the $55M the submarket produced in October. All four transactions for the month were in Washington Heights. One particularly noteworthy sale was a 31-unit walk-up building at 643 West 171st St., which sold for $9.9M, or $379/SF.
Brooklyn had $104M in multifamily sales from seven transactions spanning 12 properties. In Williamsburg, a 95-unit elevator building at 230 North 9th St. sold for $69M, $961/SF. Another standout sale was in Flatbush, where a 16-unit, two-building portfolio at 1368 Nostrand Ave. and 241 Linden Blvd. sold for $3.7M, or $252/SF.
The Bronx registered eight deals in November totaling $81M from 537 units. In Fieldston, a 44-unit walk-up building at 6211 Broadway traded for $9.5M, or $224/SF. In Westchester Square, a 25-unit walk-up building at 2235 Gleason Ave. traded for $4.3M, or $205/SF.
While Queens saw just three transactions for the month, two large sales drove overall dollar volume to $277M, a 389% jump from November 2015’s figure. The first noteworthy transaction was A&E Real Estate Holdings and Benedict Realty Group’s purchase of a 495-unit, 10-building portfolio spread throughout Queens. The portfolio traded for $130M, or $340/SF. The other big sale was 90-02 Queens Blvd. and 87-28 58th Ave. in Elmhurst, a 145-unit mixed-use elevator building that includes a five-story parking garage, for $125M.
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