July 26th, 2012
MNS, the Brooklyn real estate firm published their second quarter 2012 Brooklyn New Development Market Report (pdf). MNS’ New Development Market Report tracks the market trends with a quarter-over-quarter and year-over-year comparison throughout Brooklyn on both a citywide and neighborhood basis. New development data was compiled from the Automated City Register Information System (ACRIS) for sponsor sales that traded during the Second Quarter of 2012 (04/01/12 – 06/30/12). All data summarized is on a median basis.
Included in this research are walk-up and elevator new development condominium buildings, as well as new conversion condominiums if the sales were applicable sponsor transactions. Excluded from the report are all cooperative sales.
Some highlights of the Brooklyn report include the following:
- Williamsburg was home to more than 30% of total new development sales for the borough, and continues to house the most inventory across all unit types of any other neighborhood.
- The highest sales price paid for a new development and per square foot was at On Prospect Park in Prospect Heights for $5.1M and $1,497/SF respectively. The neighborhood also boasted the largest jump in quarterly sales pricing.
- The Edge, Northside Piers, One Brooklyn Bridge Park, and On Prospect Park – together were responsible for 45% of the borough’s total new development sales, measured by dollar volume.
- Amid the surge in pricing in Brooklyn, head to Carroll Gardens: this neighborhood saw the greatest decrease in median sales price since last quarter.
The Second Quarter 2012 Brooklyn New Development Market Report reveals substantial growth, as a handful of developments boosted total sales volume 155% to $232M from $91M in 1Q12 and increased the results of a still-very-strong quarter. Presented by MNS, the report discloses that quarter-over-quarter there was an 8% increase in median price-per-square-foot and a 15% jump in median sales price.
MNS also states “Historically, Brooklyn Heights has been the priciest neighborhood as it is one of the most mature, beautiful and desirable neighborhoods. What we find here is a strain for inventory, and everything large and expensive has not only sold but sold quickly. So the drop in median sales price from $1.1M last quarter to $970K this quarter is not a sign of the market, but again, an indicator of lack of inventory.”
For the full report, go to MNS.