New York Metropolis’s new growth market continues to be a story of two markets.
Contracts signed for brand spanking new condos in Manhattan asking $10 million or extra practically doubled within the second quarter from the identical time final 12 months to 38 from 21, marking the second consecutive interval the place the high-end market made up half of all offers signed within the metropolis, in response to Brown Harris Stevens Growth Advertising and marketing.
The 56 contracts signed final quarter marked a report for any interval this decade.
“The $10 million plus market is having a banner 12 months,” stated BHSDM’s Robin Schneiderman, regardless of various components that appear like they’d muck up the luxurious market within the metropolis, together with a pied-á-terre tax that went into impact on July 1, excessive mortgage charges and financial shocks from the warfare in Iran.
Not included in BHSDM’s tally was one of many prime contracts signed all quarter, an $80 million deal signed at Zeckendorf Growth and Atlas Capital Group’s 80 Clarkson in June. This quarter, the notoriously quiet venture released info on its first 22 contract signings, though these offers all occurred earlier than 2026.
Total, contract exercise within the quarter fell 17 % from final 12 months to 311 and contract quantity was $1.5 billion, barely above the 10-year common of $1.4 billion for Manhattan.
Though common sale costs jumped within the quarter due to the shift in the direction of luxurious properties during the last 12 months, common new growth closing price-per-square-foot was up solely barely to $2,131 from $2,053 through the second quarter of final 12 months.
In the event that they construct it, it should promote
New growth analysts have cited the town’s dwindling new growth stock as the principle offender behind a lackluster market in 2026.
Within the second quarter, 112 new models launched which left provide on the finish of the quarter at roughly 3,100 models, round three-fifths of what the typical accessible stock has been during the last decade.
Nearly 40 % of obtainable models are concentrated in 5 buildings, 4 of which launched gross sales 5 or extra years in the past.
Regardless of the sturdy efficiency from the highest finish of the market, the best-selling buildings from the quarter nonetheless tended to be lower-priced tasks.
Associated Corporations’ Strathmore growth at 400 East 84th Road introduced in 38 contracts final quarter at a median asking value of over $1,700 per sq. foot, in response to Marketproof. A Corcoran Sunshine staff launched gross sales there in October.
In line with a Serhant New Growth report, months of remaining provide — a ratio of obtainable models to contract signing — is close to 4 months for models asking $3 million or much less, a sign that the weak contract numbers for cheaper buildings are a operate extra of provide points than weak demand.
“We want some new stock to see what the state of the market is,” Schneiderman stated, including that when well-priced new condos enter the market they “get absorbed at a wholesome tempo.”
Gradual time in Brooklyn
Brooklyn noticed contract signings fall to 222 from 230, in response to BHSDM.
However the borough noticed consumers gravitate in the direction of luxurious choices, pushing contract quantity to rise within the quarter to $450 million from $391 million.
Provide expanded within the borough because the 331 new models launched within the quarter outpaced contracts signed.
Two Bushes’ One Domino Sq. put 12 models into contract within the quarter, in response to Marketproof. One Domino Sq. and Naftali Group and Entry Industries’ Williamsburg Wharf tasks on the Williamsburg waterfront have been main drivers of exercise within the luxurious new growth market during the last 12 months. In June, a penthouse at One Domino Sq. scored a contract for a penthouse asking $7.8 million, which might be a sponsor sale report within the neighborhood if it closes at that value.
In Queens, contract signings have been down by greater than half to 40 within the quarter, in response to Marketproof. The borough has seen offers dry up this 12 months as buildings that launched gross sales in earlier years like Century Growth Group’s Vesta and RYBAK Growth’s The Austin have been a number of the best-selling buildings within the borough.
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