The mild winter has meant a higher volume of activity than usual, both on the rental side and on the sale side. Potential buyers were able to visit the properties they were interested in without having to wear the heaviest coats. The number of condo units available for sale in Manhattan fell 3.2% between January 2011 and January 2012 according to the source StreetEasy.
The fact that the City has not seen much construction in recent years (compared to the middle of the last decade) is not a surprise. One of the elements that describe this situation is the number of Certificates of Habitability issued by the administration. In 2008 NYC granted 11,307 permits; from that high mark, the number dropped to 7,044 in 2011.
Mayor Bloomberg recently announced the introduction of a new digital plan review system that is intended to speed up the construction plan review process. I think it was the slower pace of the economy, rather than inefficiencies in the approval process, that allowed fewer permits to be issued. The presence of fewer available properties on the market, perceptible month by month, will soon accelerate the speed of prices that are already in an upward trend.
The current New York City administration has made improving dozens of miles of shoreline among its top priorities. Some of the planned projects deserve our attention both for their creative nature and for their added value to the environment.
Pier A is a Victorian-era structure in nearby Battery Park. The City is spending $36 million for its decommissioning, after which private developers will begin construction of restaurants, entertainment areas, and an outdoor public plaza. Potential dining options include: an oyster bar, a beer garden, and a high-end restaurant for the third and top floor.
Battery Maritime Building is the Beaux-Arts Ferry Station at the southern tip of Manhattan for departures to Governor’s Island (right next to the Staten Island Ferry Station). The building has already undergone improvements and is planned to be built with the addition of a boutique hotel (with approximately 50 rooms), an organic supermarket and a restaurant on the top floor from which the views of the bay will probably be incredible.
Pier 57 is located on 15th Street on the Hudson River near the High Line. Part of the project will be devoted to the outdoor market (it will be run by the same company that runs the Union Square market during the Christmas holidays). There will also be an area reserved exclusively as permanent space for the Tribeca Film Festival and a cultural center for the arts that includes a restaurant. The Hudson River Park Trust estimates that development costs could be in the $210 million range.
Pier 36 is Basketball City. The center is moving from its previous location on the west side. It will be understood by basketball courts as well as will offer various services related to the sport. There will be a space for the venue available to rent to anyone with the money.
Brooklyn Bridge Park Pier 1 is right across from the Wall Street area. The park part was finished in 2010 and further construction is due to take place with a hotel, apartment units and a restaurant with splendid views of the Manhattan skyline.
Domino Sugar Factory is located in Williamsburg. This former industrial complex will be transformed into a gigantic development. Over the next nine years, 2,200 apartment units are expected to be completed here. Some buildings will be built from scratch, while the existing ones will be converted into residences.
Cinema
This beloved form of entertainment has lost 22% of its New York theaters between 2001 and 2010. In the same period, Manhattan specifically has given up 11 of its 41 theaters (27%). It seems more and more difficult for cinema operators to find the right building for one or more screens. The space must be large enough with unbroken columns and the rent must be low enough for the project to be profitable. Lately, big box retailers are snapping up the properties that movie theaters might be looking for since they have fewer restrictions. Imagine how complicated a cinema can be in terms of sound engineering and regulations, traffic at night…
Consequently, the last major project in Manhattan was the Magic Johnson Theater in Harlem completed in 2000. Across the river, however, in Williamsburg, a few small movie theaters are springing up: Williamsburg Cinemas and Nitehawk (a movie + dine-in concept). are two examples that are committed to the growing young and modern population of the area that offers less commercial movie titles for a more sophisticated client.