Staying on top of the trends in the real estate market, especially in the tri-state area is very important to The Advance Group.
-I found an article in Crains today that left me feeling positive about our market and our industry and I wanted to share it with you.
Pricey Property Deals Bounce Back in First Half
Written by By Theresa Agovino
Big price tags returned to Manhattan's commercial sales market in the first half of the year, with the most expensive deal in the period valuing 1221 Sixth Ave. at $1.28 billion. That is more than three times what 1334 York Ave.—the costliest property purchased in the first half of last year—fetched. What's even more intriguing about the deal that leads Real Capital Analytics' top property sales for the first half of 2010 (see chart, Page 17) is that the Canada Pension Plan Investment Board purchased only 45% of the tower.
“Noncontrolling stakes are not very liquid, so when people buy them, it is a positive sign,” says Dan Fasulo, a managing director at Real Capital. He notes that investors' increasing willingness to lavish tens or even hundreds of millions of dollars on a stake in a property in which they won't be in the driver's seat suggests a firming of confidence in the market's strength.
Interestingly, the list's second and third spots were also captured by deals involving the purchase of noncontrolling stakes. Rockpoint Group bought 49% of 299 Park Ave. in a transaction valuing the building at $630 million. And RXR Realty bought a 49% stake in 340 Madison Ave. in a deal that puts the value of the building at $570 million.
In the first half of the year, there were 16 deals valuing buildings at more than $100 million, compared with only five in the first half of last year
Full Article at this link- http://www.crainsnewyork.com/article/20100725/REAL_ESTATE/307259994
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