Manhattan Investment Sales Rebound Strongly from 2021 Levels
Manhattan investment sales strongly rebounded from the COVID-19 pandemic in 2022 despite headwinds from rising interest rates and economic uncertainty during the second half of the year, according to Ariel Property Advisors. The transaction count was the highest since 2016 with 419 deals totaling $20.9 billion in sales, a 40% increase in dollar volume from 2021.
“Multifamily, commercial and office asset classes all showed significant increases,” said Howard Raber, director, investment sales at Ariel Property Advisors “However, the market softened significantly during the second half of the year once it became clear to investors that elevated interest rates and inflation would persist longer than hoped.”
Founding partner Michael Tortorici added that multifamily properties remained the most transactional of all asset classes in Manhattan, with 58% of all transactions. “This underscores both the market’s appetite for cash-flowing assets and its long-term faith in Manhattan multifamily investments, despite near-term challenges.”
Pictured: 685 First Ave., a Manhattan apartment property that traded for $388 million in the fall of 2022.
Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces.
Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications.
Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).