Apartment Buildings Sold Jumped 19% in 2013
The number of multifamily buildings sold in NYC jumped 19% to 1,230 from 2012 to 2013, and the dollar volume increased 4% to $8.9B, Ariel Property Advisors’ Multifamily Year in Review: NYC shows. Ariel president Shimon Shkury (snapped with Madison Realty Capital’s Michael Stoler) says NYC multifamily assets saw aggressively higher prices as demand—driven by rising rents and low interest rates—continued to outpace supply. The most significant pricing gains occurred in Northern Manhattan and Brooklyn, where cap rates declined by more than 100 bps. Volume dipped in Manhattan, while sales in the other submarkets surged above $1B, suggesting that some investors typically focused on Manhattan are exploring less-expensive offerings. Northern Manhattan’s dollar volume hit $1.6B—more than double 2012 and the second-highest dollar volume in the city—and Queens’ jumped 214% to $1.1B. For a copy of our sponsor's Multifamily Year in Review 2013, click here.
