The Real Deal - New York Real Estate News

Jumaane Williams’ property tax ploy is day late – but may leave city $1.7B short

Posted: 30 Jun 2020 02:47 PM PDT

Jumaane Williams is trying to do what no public advocate has done before: govern. Hours before the City Council was scheduled to approve the city budget, the firebrand politician threatened to derail the city’s property tax billing unless police hiring were frozen, Politico reported. Two problems: The tax bills had already been sent, and Mayor Bill de Blasio and City Council Speaker Corey Johnson had already agreed to cancel the next class of NYPD cadets.

Catsimatidis: NYPD should have sent rioters to Rikers

Posted: 30 Jun 2020 01:15 PM PDT

On the latest episode of The Real Deal‘s Coffee Talk, Red Apple Group CEO John Catsimatidis sat down with TRD publisher Amir Korangy to discuss the state of New York City’s civic affairs. Catsimatidis, whose holdings include grocery store chain Gristedes and oil refineries, said he’s considering another run as mayor — but only if there’s no one more qualified. When pressed to name a suitable mayoral candidate, Catsimatidis noted that he wanted to see someone

For Sam Zell, it’s all about “foreclosures and opportunities”

Posted: 30 Jun 2020 01:00 PM PDT

Sam Zell’s Equity Commonwealth real estate investment trust has $3.4 billion in cash ready to deploy in these times of distressed assets, but the self-described Grave Dancer isn’t ready to tango in one sector: Retail. Zell, who is also chairman of Equity Residential and Equity Lifestyle Properties, said his companies “don’t buy markets, we buy deals.” And with retail real estate, he’ll likely steer clear, he said. In a Zoom interview with SkyBridge Capital founder

New Jersey’s American Dream mall is a financial nightmare

Posted: 30 Jun 2020 12:45 PM PDT

Things seem to be going from bad to worse for the American Dream mall in the Meadowlands. Six months after the mall closed its recently opened doors because of the coronavirus pandemic, the bonds funding the project have decreased in value, according to NJ.com. A year ago, the $1 billion worth of bonds on the project were trading at $120 apiece and yielding 4.25 percent, but as of April they’ve dropped to $93.72 with a

What’s taking so long to restart Ulurp?

Posted: 30 Jun 2020 12:38 PM PDT

The de Blasio administration is still trying to figure out how to move the city’s land-use review process online, the New York Post reports. Mayor Bill de Blasio signed an executive order in March suspending the Uniform Land Use Review Procedure, known as Ulurp, and it “remains on pause due to the Covid crisis,” according to a city spokesperson. Last week, Deputy Mayor Vicki Been told an industry roundtable that she’s still working out technological

Affordable housing experts talk systemic change

Posted: 30 Jun 2020 11:50 AM PDT

Advocates have long sought solutions to housing affordability, but recent social unrest has prompted a closer examination of the injustices baked into the system. Barika Williams, for one, is “cautiously hopeful” that momentum is building to address structural inequality in housing. “At the fundamental base, housing is rooted in racism,” said Williams, the executive director of the Association of Neighborhood and Housing Development, during a TRD Talks panel this week. “Our entire property system is

Manhattan homes for sale nearly doubled last week

Posted: 30 Jun 2020 11:00 AM PDT

New listings poured onto the Manhattan market last week as New York City’s brokerage community got back to work. Phase two of reopening the city began last Monday, allowing brokers to restart in-person showings after a three-month halt. Agents and homeowners celebrated by bringing nearly 550 properties to market last week, according to data firm UrbanDigs’ weekly report on Manhattan’s sales market. Last week’s new listing volume marked a 97 percent increase year-over-year compared to

Analysis: Here’s what the rent law will do to the average stabilized apartment

Posted: 30 Jun 2020 10:30 AM PDT

UPDATED, June 18, 11:41 a.m.: The new rent bill that was signed into law on Friday has already been described as “devastating” and “disastrous” for New York City’s real estate industry. But what specifically does it mean for certain multifamily landlords? The new legislation touches on a wide range of rent-related issues, from vacancies and improvements to condo conversions and mobile homes. To illustrate the practical impact of these changes, The Real Deal took a

Sweet: Maple syrup magnate sells lakefront Palm Beach estate for $72M

Posted: 30 Jun 2020 09:00 AM PDT

A private equity investor turned maple syrup magnate sold his lakefront Palm Beach estate for $71.85 million, marking the highest priced sale this year in the ritzy town. Robb E. Turner and his wife, Lydia Turner, sold the waterfront property at 8 South Lake Trail to SL Trail LLC, a Florida company managed by attorney L. Benton Alexander Jr., records show. The couple had owned the home since they acquired it in 2017 for $27

Luxury contracts fall in Manhattan after strong two weeks

Posted: 30 Jun 2020 08:30 AM PDT

After two weeks of strong numbers, luxury contracts fell last week to just seven. The slim total, which followed two weeks where contracts were at the highest rate since the shutdown, also coincided with the city’s first week of phase two. As part of the reopening, brokers were given the green light to resume in-person showings. Donna Olshan, who tracks luxury contracts in a weekly market report, noted that because of Covid-19 protocols, brokers cannot

New York’s eviction moratorium still stands, court rules

Posted: 30 Jun 2020 08:00 AM PDT

The eviction moratorium is here to stay. That was the message from U.S. District Judge Colleen McMahon, who this week threw out a lawsuit challenging Gov. Andrew Cuomo’s order prohibiting evictions up to August 19. The lawsuit, filed by three Westchester landlords earlier this month, sought to block the ban, arguing it was unconstitutional. But McMahon rejected the claims, according to Bloomberg. “As long as the order is in place, tenants will continue to accrue

Malls will need new air filtration systems before reopening

Posted: 30 Jun 2020 07:26 AM PDT

New York malls may have to literally filter out Covid-19 before reopening. Gov. Andrew Cuomo announced Monday that malls will be required to install high-efficiency particulate air filters, or HEPA filters, which have been shown to reduce the presence of the virus, according to CNBC. The filters are designed to absorb particles that are .01 micron and above. The coronavirus’ particle has a diameter of about .125 micron, according to recent studies. However, it is

Construction startup Katerra lays off 400+ employees

Posted: 30 Jun 2020 06:45 AM PDT

SoftBank-backed construction startup Katerra has laid off more than 400 employees, one month after new CEO Paal Kibsgaard stepped into the top job. The cuts amount to 7 percent of the company’s total headcount, according to the Information. The staff affected worked in departments including human resources and civil engineering and mechanical engineering, the publication reported. The move follows the departure of Katerra co-founder and former CEO Michael Marks, who was replaced last month by

Broadway performances suspended for the rest of the year

Posted: 30 Jun 2020 06:00 AM PDT

For theatre lovers waiting to get tickets to Broadway’s most in-demand shows, the wait just got even longer. The Broadway League announced Monday that theatres will remain closed until at least the end of 2020, with some uncertainty over when shows will reopen. People who have tickets for performances up to January 3 will receive refunds, according to the New York Times. “Returning productions are currently projected to resume performances over a series of rolling

Developers pivot from broker happy hours to drive-thrus, virtual sales launch events and more

Posted: 30 Jun 2020 05:30 AM PDT

Warehouse drive-thrus. Virtual video launches. Zoom open houses. Gone are the days (at least for now) of the broker happy hour or sales launch event, forcing residential and commercial developers to come up with creative ways to pique agents’ interest. Codina Partners and USAA Real Estate, along with their leasing team at Fairchild Partners, organized an event in mid-June: a caravan tour of a new industrial development in Hialeah called Beacon Logistics Park. About 50

The Closing: Kathryn Wylde

Posted: 30 Jun 2020 05:00 AM PDT

Kathryn Wylde, president and CEO of the Partnership for New York City, considers herself an activist. She and her organization represent some of the biggest names in real estate, including Blackstone, Vornado and Tishman Speyer. The nonprofit advocates for pro-business policies that encourage investment in infrastructure and economic development, and helps finance projects and initiatives through a separate $150 million fund. Wylde now oversees a staff of 45 people and serves on a 100-plus-member board

TRD Insights: The 56 REITs whose bonds the Fed will buy

Posted: 30 Jun 2020 04:30 AM PDT

The envelope, please. As part of its many-pronged response to the severe credit crisis, the Federal Reserve established a secondary market corporate credit facility to buy corporate bonds issued by highly rated companies — including real estate firms. Among the REITs included in the index, mall owners Westfield and Simon Property Group are the two largest, respectively accounting for 0.31 and 0.29 percent of the overall index. These are followed by senior housing REIT Welltower,

“It’s a need, not a want” for many residents: Investors eye long-term gains in senior housing

Posted: 30 Jun 2020 04:00 AM PDT

The Orbach Group — a real estate firm better known for flipping rent-stabilized apartments before Albany’s rent law overhaul last summer — recently nabbed a portfolio of 700 age-restricted senior housing units in New York and Pennsylvania. In a sign of the times, the $75 million deal closed via Zoom in May, according to the buyer. Meyer Orbach, the company’s CEO, pointed out that the five residential complexes are not nursing homes, which require around