Manhattan properties

Dream Home in the Hamptons: How a Restaurateur Spent $3M Transforming Her Waterfront Retreat

By Columbus International,24 May 202424 May 2024

For Donna Lennard, owner of the renowned Il Buco hospitality empire, finding the perfect Hamptons haven was a labor of love that spanned years and millions. But the payoff was a luxurious waterfront oasis tailored to her exacting tastes. When Lennard set her sights on the bucolic hamlet of Springs in 2017, she knew precisely where she wanted to put down roots – the enviable Gerard Drive peninsula jutting into both Gardiners Bay and Accabonac Harbor.

“From one side to the other, you see water,” gushes the entrepreneur over 50. Her gambit paid off when a 1,700 square foot cottage from 1960 hit the market. Swooping in with an all-cash $1.7 million offer, Lennard made the keys her own that August. But for the hospitality magnate behind hotspots like Il Buco Alimentari & Vineria, the dated digs wouldn’t do. A serendipitous reunion with college pal and architect Stuart Basseches set the wheels in motion for a start-to-finish overhaul that snowballed into a head-turning $3 million investment.

Over several years of meticulous planning alongside Basseches, Lennard’s original concept for a bedroom addition morphed into a full-scale transformation. The reimagined floor plan fuses old and new – relocating the light-filled kitchen and living room to the heart of the residence while tacking on a striking 1,100 square foot two-story extension housing a dining room, media lounge and lavish upstairs owner’s suite. No expense was spared in the bespoke finishes. Sun-drenched living spaces boast reclaimed oak floors, vaulted wood-beamed ceilings and artisanal Venetian plaster walls.

The showstopping kitchen island crafted by Sakonnet Furniture Makers tops a slab of repurposed Slovenian wood. And the serene upstairs retreat flaunts an antique Umbrian marble sink alongside a mobile vanity revealing dreamy water vistas. While the splurge surpassed her original budget, for Lennard, the over-the-top transformation was well worth it. “What came out of it was very much the house I’d been dreaming of,” she confides of her ultra-luxe oceanside compound expertly melding modern amenities with an eclectic, lived-in aesthetic reflective of her well-traveled tastemaker persona.

New York Remains Global Wealth Capital Despite Millionaire Migration

By Columbus International,10 May 2024

While some wealthy residents have left New York City for lower-tax destinations like Florida, the Big Apple still reigns supreme as the world’s wealthiest metro area. A new report by immigration consultancy Henley & Partners reveals that New York has a staggering $3 trillion in total private wealth held by its citizens. The city boasts nearly 350,000 millionaires, up 48% over the last decade, giving it the highest millionaire population of any city globally. Approximately one in every 24 New York residents is a millionaire, compared to just one in 36 a decade ago. The city’s concentration of ultra-high-net-worth individuals is also unmatched – it has 60 billionaires and 744 people worth over $100 million.

This wealth has been bolstered by strong gains in financial markets in recent years. Global equities surged 20% in 2022 and are up nearly 7% so far this year, benefiting New York’s position as the U.S. financial capital. However, the city has seen some of its wealthiest residents decamp to lower-tax states like Florida during and after the COVID-19 pandemic. Over 91,000 New York residents relocated to Florida in 2022 alone as part of a larger migration of over 545,000 people leaving the state that year.

This trend has fueled a rise of “Wall Street South” in Florida, with major hedge funds like billionaire Carl Icahn’s and Paul Singer’s Elliott Management relocating headquarters to the Miami and West Palm Beach areas since 2020. In total, 160 Wall Street firms have moved out of New York in recent years, 56 of them to Florida, taking a combined $1 trillion in assets under management. The impact has been felt in South Florida’s luxury real estate and clubs, with golf memberships doubling or tripling in price. Miami now ranks 33rd globally for its millionaire population, up 78% over 10 years. Still, New York’s position at the top remains unmatched for now. Following it are the Silicon Valley region with 305,700 millionaires, Tokyo, Singapore, a fading London, Los Angeles, Paris, Sydney, Hong Kong and fast-growing Beijing.

New York’s Real Estate Roller Coaster: Navigating the Highs and Lows of the Housing Market

By Columbus International,29 April 2024

As the world’s financial capital and a global cultural beacon, New York has long been a real estate juggernaut. Its housing market encompasses everything from ultra-luxury Manhattan condos to family-friendly suburbs and bucolic vacation homes. This diversity fuels a perpetual churn of buyers and sellers, each with their own motivations and priorities. However, the pandemic triggered seismic population shifts, with New York losing 2.6% of its residents between 2020 and 2023 according to moving data.

This exodus has contributed to declining listings and sales statewide, even as certain pockets remain red-hot due to inventory constraints. Statewide, new listings plunged 22.4% year-over-year in Q2 2023, while closed sales dropped 22.6%. The median sale price of $405,000 represents a 1.8% annual dip but still outpaces much of the nation. Yet this macro view conceals a intricate tapestry of micro-markets, some scorching, others tepid. “All of these contribute to the diversity of the housing market,” says Jeffrey Decatur, a RE/MAX Capital broker. “There’s strong demand for luxury homes in Manhattan, while the tech hubs attract new buyers from around the world.”

For buyers and sellers navigating these currents, strategic timing is paramount. Higher mortgage rates pose affordability hurdles, while uncertainty surrounding the 2024 election could further dampen activity. Conversely, New York’s resilient long-term appreciation trajectory promises future upside. Ultimately, personal circumstances should guide decisions. “The one thing you don’t want is to think yourself into doing nothing at all,” Decatur advises. “When someone has to buy or sell, the water is fine. Jump in.” In this dynamic landscape, New York’s real estate opus continues its perpetual reinvention, redefining itself with every transaction as an indelible thread in the rich tapestry of the Empire State.

From Covid era to 2024, the return to the office in New York City is still a “work in progress”

By Columbus International,11 March 2024

After nearly four years since the initiation of pandemic-induced lockdown measures, New York City‘s journey towards a full return to office life remains a work in progress. Along this path, the city is approaching two significant milestones, one presenting a positive outlook while the other brings a more somber tone.

The first milestone involves office attendance rebounding to nearly 80 percent of its pre-pandemic levels. New York stands out as one of the top-performing markets in this regard, with workplace visitations in 2023 reaching 77.5 percent of the figures seen in 2019, as reported by Placer.ai. This marked a significant leap forward from the preceding year, witnessing a foot traffic surge of over 30 percent compared to 2022. (Placer.ai’s metrics gauge activity within a building, encompassing ground-floor retail spaces, rather than merely the presence of office workers at their desks.)

Despite this progress, as any office owner would attest, New York still has a considerable distance to traverse. However, the situation appears graver elsewhere across the country. In cities like San Francisco, Los Angeles, Dallas, and Washington D.C., office attendance figures for 2023 lingered at levels well below half of pre-pandemic norms. Only Miami has managed to surpass New York’s performance, with 78.1 percent of 2019’s office attendance levels. Despite frequent anticipations of a game-changing return-to-office wave, progress has been incremental. Optimism surged once more at the onset of the new year, fueled by headlines proclaiming that “90% of Companies Will Return to Office By the End of 2024.”

This narrative echoes previous predictions, such as those made by Resume Builder in late 2022, asserting that “9 in 10 companies will require employees to work from the office in 2023,” based on a survey of 1,000 major business leaders. However, the actual implementation of return-to-office policies has proven sluggish. Even among companies that have succeeded in recalling most of their employees to the office, the transition to a full five-day workweek onsite has been challenging. Nationwide, office attendance remains down by approximately 33 percent on Tuesdays, Wednesdays, and Thursdays, dropping by nearly 50 percent on Mondays and Fridays. Only a handful of firms adhering to strict return-to-office protocols continue to utilize office space at pre-pandemic levels.

Many have adopted a hybrid model, allowing for a reduction in their physical footprints. Consequently, despite the gradual progress of the return-to-office movement, office owners continue to face significant challenges. Manhattan’s availability rate reached a record high of 18.2 percent in February, as reported by Colliers, edging closer to another milestone: 100 million square feet of available office space.

Across the borough’s primary office districts, total office absorption plummeted by 1.43 million square feet, bringing the cumulative available office space to 98.05 million square feet. Thus, while forecasts may paint an increasingly optimistic picture of an imminent return to office normalcy, healthy skepticism remains warranted regarding the immediate prospects for improvement in New York’s office market.

Source: The Real Deal

Battle Royale on Fifth Avenue: LVMH Eyes Prime Real Estate Amidst Luxury Retail Frenzy

By Columbus International,30 January 2024

In the intense competition for coveted space on the world’s most expensive retail boulevard, international luxury fashion giants are set to clash. LVMH Moët Hennessy Louis Vuitton, the powerhouse behind iconic brands like Louis Vuitton, Christian Dior, and Tiffany & Co., is reportedly in talks to acquire 745 Fifth Ave., a 35-story tower gracing the renowned shopping avenue, according to sources cited by Bloomberg. The lower three floors of this Fifth Avenue gem currently house a Bergdorf Goodman men’s store, and LVMH is engaged in a fierce bidding war with other contenders vying for ownership, as reported by Bloomberg. Neither Bergdorf’s parent company, Neiman Marcus, nor Paramount Group, the owner of 745 Fifth Ave., responded immediately to Bisnow’s request for comments.

The building also accommodates tenants such as private equity firm Eurazeo and law firm Haug Partners, according to the building’s official website. LVMH, known for its aggressive acquisition strategy, declared a spree for retail properties last year, investing nearly $2.7 billion globally. This included securing prime locations on Paris’ Champs-Elysées corridor and a central London site, as reported by Bloomberg. LVMH CEO Bernard Arnault emphasized the company’s pursuit of AAA locations, stating during an earnings call, “We try to secure and buy the best possible locations for our companies. If you take Fifth Avenue in New York, we have three of the best corners there are.”

This rumored acquisition comes on the heels of a major move by Gucci’s parent company, Kering, which recently spent a staggering $963 million on a 115,000 square feet retail condo at 715-717 Fifth Ave. In the previous month, Italian luxury fashion house Prada made a substantial investment of approximately $820 million, acquiring adjacent buildings across the street. Both of these deals were orchestrated by real estate mogul Jeff Sutton’s Wharton Properties. The battle for supremacy on Fifth Avenue’s luxury retail landscape shows no signs of cooling down.

Source: Bisnow

Anagram Columbus Circle Luxury Rentals: 50% Occupied, Monthly Rents Soar to $26,000

By Columbus International,29 January 2024

A new 26-story luxury rental development in Manhattan, Anagram Columbus Circle, has reached the halfway mark in terms of occupancy just six months after opening for leasing. Situated at 1 W. 60th St., at the intersection of West 60th Street and Broadway, and in close proximity to Central Park, the upscale property boasts monthly rents reaching as high as $26,000. Global Holdings, the developer responsible for other prestigious residential projects in New York such as 15 Central Park West, has reported that Anagram Columbus Circle has drawn residents not only from various parts of the United States but also from overseas.

Leasing commenced in July, with a Global Holdings spokesperson stating to CoStar News that move-ins are currently underway, and all amenities are expected to be fully completed by spring. The rental units at Anagram Columbus Circle range from $4,660 for a studio to $26,750 for a four-bedroom unit, according to the spokesperson. Eyal Ofer, Chairman of Global Holdings, emphasized the sustained demand for premium rentals, citing the success of their previous projects like 15 Central Park West, Greenwich Lane, and 520 Park. The developer’s extensive portfolio spans over 10 million square feet of real estate, encompassing more than 120 properties and over 1,500 hotel rooms.

Anagram Columbus Circle features 123 residences, including three penthouses situated at the top of the building. Designed by INC Architecture & Design, the property is said to offer condo-level design and boasts 13,000 square feet of amenity space. The leasing success of Anagram Columbus Circle coincides with a CoStar analysis indicating a 2.9% vacancy rate in Manhattan’s Upper West Side, where the property is located. This vacancy rate remains near historic lows, making it one of the lowest among U.S. neighborhoods with at least 20,000 units. With asking rents of $4,950 per unit, the Upper West Side market is noted for its high prices within the New York metropolitan area. The low vacancy rate has provided landlords with the opportunity to push rents higher, according to the report.

Photo via Anagram

Lawsuit Alleges Conspiracy to Inflate Real Estate Commissions in Manhattan

By Columbus International,20 November 2023

On Monday, a legal action was initiated, accusing the Real Estate Board of New York (REBNY), along with over two dozen brokerages and companies, of collaborating to artificially boost commissions paid to agents involved in the sale of residential real estate in Manhattan. This proposed class action against the REBNY trade group, the Corcoran Group (HOUS.N), Douglas Elliman (DOUG.N), and others, comes in the wake of an October 31 verdict by a federal jury in Missouri, awarding home sellers $1.78 billion in a parallel case against the National Association of Realtors and multiple brokerages. The potential impact of this verdict, which a judge could triple to exceed $5.3 billion, has the potential to disrupt long-standing practices mandating sellers to pay commissions to buyers’ brokers.

The National Association of Realtors (NAR) is currently facing at least two other similar proposed class actions. In the federal court lawsuit filed on Monday in Manhattan, Monty March, the plaintiff, asserted that commissions on Manhattan residential sales persist at a stable 5% to 6%, even as home prices skyrocket, reaching an average apartment price exceeding $2 million by early 2022. March argued that sellers using REBNY’s listing service should not be obligated to pay 2.5% to 3% commissions to buyers’ brokers, especially when compared to lower commissions in “fully competitive” markets such as Brooklyn, where negotiations occur separately and average around 1%. REBNY’s General Counsel, Carl Hum, stated that the group is currently reviewing the complaint with its legal team and expressed confidence that the practices and procedures of its listing service “abide by all relevant laws.”

As of now, Corcoran and Douglas Elliman have not responded to requests for comments. March claimed to have paid inflated commissions when he recently sold property on Manhattan’s Upper East Side, with property records revealing the sale of an apartment for $5.6 million in July 2022. Commencing January 1, REBNY will mandate sellers, rather than their brokers, to directly remit any commissions to buyers’ brokers, aiming to enhance “transparency and consumer confidence in the residential marketplace.” March expressed uncertainty about whether this change would lead to lower commissions or potentially cause delays in sales as buyers’ brokers negotiate with sellers. The lawsuit seeks damages for sellers of Manhattan residential property over the past four years who paid buyer brokers’ commissions under REBNY rules.

Source: Reuters