Manhattan Luxury Sales Surge to 4-Month High

The Manhattan luxury real estate market experienced a notable surge in activity during the week of September 28 to October 4, with 30 contracts signed for properties valued at $4 million and above. This figure represents the highest transaction count since the week ending June 14, indicating a strengthening of the high-end market. Olshan Realty's weekly luxury report detailed that this total was 13 more sales than the preceding week. Condominiums led the market, with 21 contracts signed, significantly outselling co-operative apartments, which saw 7 contracts. This trend aligns with historical patterns, as condos generally do not require the extensive board approval process associated with co-ops and are often priced higher. The average asking price for condos signed last week was $9.3 million, compared to $5.4 million for co-ops. The week's transactions also included one "condop" and one townhouse. Among the notable properties was a penthouse at 500 Park Avenue, listed for nearly $10 million. This uptick in luxury sales occurred against a backdrop of persistently tight inventory in Manhattan. A market report from Compass indicated that the residential market demonstrated resilience in the third quarter, despite a substantial decrease in new listings. New listings fell by 28.4% year-over-year, marking the lowest third-quarter figure in nearly a decade. Overall inventory levels were down 10.9% compared to the previous year. Despite these inventory constraints, closed sales in the third quarter increased by 2.7% year-over-year. The Compass report highlighted that the most significant growth was observed at the higher end of the market, with contracts for properties priced at $20 million and above rising by 75% to 14, and contracts exceeding $20 million doubling to 13. The highest-priced sale in the borough last week was Unit 9S at 70 Vestry Street, a 4,355-square-foot, four-bedroom, 4.5-bathroom condo with two terraces located in a waterfront building in Tribeca. While the property was listed last month for $34 million, the final sale price was not yet disclosed. The market's performance, particularly at the luxury segment, suggests a robust demand that is overcoming supply challenges.