New Brooklyn condos cooled, but Manhattan held steady.
The number of new Manhattan condominiums sold in January declined to match the average monthly sales between 2015 and 2020. Although there was a drop in activity overall in recent months from the pandemic highs, some of the city's trophy projects rebounded with high-dollar deals.
Sponsors put 104 units into contract in January, which was nearly equivalent to December's total, indicating a market rebound from a low in October. Extell Development led luxury deals, with Manhattan taking the majority of contracts worth $4 million or more.
According to Marketproof CEO Kael Goodman, high prices left room for negotiation, with a 14.9% difference between asking and closing prices. Median prices for new condos in Manhattan rose 2% above pre-pandemic levels to $1,994 per square foot, while overall median prices fell 5% to $1.99 million.
In contrast, Brooklyn saw a 13% increase in asking prices but below pre-pandemic average contract signings. "Brooklyn is cooling," according to Goodman, "the big stuff is largely sold."
New condos in Queens generated less revenue than the pre-pandemic average, indicating weakened demand in the borough. However, some developments are still selling well, such as ZD Jasper's ground-up project at 45-30 Pearson Street in Long Island City, where nearly 15% of units have been sold.
