Elegran Insights: Weekly Manhattan & Brooklyn Market
Week of 3/20/23
Turmoil Within The Banking Sector: No Negative Impact On Demand for NYC Real Estate
So far, the government takeover of Silicon Valley Bank and Signature Bank, the peer rescue of First Republic Bank, and the negative headlines surrounding Credit Suisse have not dissuaded buyers of NYC residential real estate in the slightest, with contract volume increasing from 407 signed last week to 416 this week.
Manhattan Supply: The chart below serves as an almanac, and this year is shaping up just like years past. Spring’s supply increase is more gradual en route to the June peak, whereas fall’s bounce to the October peak is much more abrupt. Not surprisingly, the metric was up again this week from 6,371 to 6,510 units, including new listings that increased from 437 to 443.
Brooklyn Supply also exhibits a bi-annual cycle, although it’s not as apparent without Manhattan’s depth of historical data to clearly illustrate the trend. As expected, the metric increased this week from 2,980 to 3,005 units, including 192 new listings.
Manhattan Pending Sales: Like the supply “almanac”, the historical pending sales chart provides us with a very clear picture of what to expect. Any deviation from the large peak in June and smaller peak in December would certainly qualify as news and be reported. As expected, the metric increased week over week from 2,436 to 2,479 units.
Brooklyn Pending Sales: This week’s observation is the same as what we witnessed in Manhattan where, right on cue, the metric reached its seasonal February trough and has reversed direction. We can also “predict” that the first of two peaks this year should occur in June. This week, the metric increased from 1,507 to 1,541 units.
Manhattan Contracts Signed: After spending July 2022 to January 2023 below the historical average (the average weekly number of signed contracts from Jan 5, 2015 to Mar 1, 2020), demand for Manhattan has now remained above that average for the past six weeks. This week, signed contracts increased from 244 to 267.
Brooklyn Contracts Signed: Brooklyn is peaking for the sixth consecutive time since the pandemic. After briefly touching the pre-pandemic average (the average weekly number of signed contracts from Jan 5, 2015 to Mar 1, 2020) in mid-January, which has become the metric’s support level for the past two years, signed contracts have skyrocketed above that average. Week over week, contract volume increased slightly from 136 to 137.
New Development Insights
As reported by Marketproof, this week, 79 new development contracts were reported across 51 buildings. The following were the top-selling new developments of the week:
- 300 WEST 30 ST (Chelsea)
- 208 DELANCEY ST (Lower East Side)
- ONE MANHATTAN SQUARE (Two Bridges)
- 1437 HANCOCK ST (Bushwick)
- 669 SAINT MARKS AVE (Crown Heights)
If you would like to chat about the most recent market activity, feel free to contact us at info@elegran.com or connect with one of our Advisors.
About Us
Our goal is simple: to humanize the world of real estate. Michael Rossi founded Elegran in 2008 on the dual premise of motivation and innovation, with a third sustaining principle added over the years: care. Unique in the industry as an independently owned brokerage with agents known as “advisors” and a data-centered approach, the firm has become a key player in the New York brokerage world. The exclusive NYC member of the invitation-only Forbes Global Properties network, Elegran oversaw well over $500 million in sales volume in 2019, tripled market share in 2020, and sold US $1B in 2021. Headquartered in the center of Manhattan, Elegran is solely dedicated to serving the incomparable needs of the New York City metropolitan region. For more information about Elegran, visit www.elegran.com.
