TONY: Condos Turned to Rentals

99 Gold Street

This week’s issue of Time Out NY takes a look at buildings in NYC built as condos converted to rental buildings. We saw both 99 Gold Street and 133 Water Street go rental last spring. In the midst of a subprime-mortgage meltdown, overbuilding, and an increase in inventory of condos, condo developers are turning to rentals for several reasons. Developers who believe in a neighborhood will hold on to some rentals to keep a revenue stream coming in the future, betting on a rebound once the market gets hot again, or sell them later once an area becomes gentrified. Jed Walentas of Two Trees Management, was quoted and said “Our mission and our objective is to build rentals,” Walentas says (though his company does own three other condo properties, in Dumbo). “We like to own our real estate and invest in areas we really believe in.” Two Trees also intends to keep some units in their 110 Livingston Street building as rentals.

Current rentals at 99 Gold and 133 Water from

address sq. ft. beds, bath rent
99 Gold 672 0, 1 $2000
99 Gold 688 0, 1 $2800
99 Gold 785 1, 1 $2800
99 Gold 929 1.5, 1 $3400
99 Gold 1035 2, 1 $3400
99 Gold 1076 1.5, 1 $3600
133 Water 1163 2, 2 $4056
133 Water 1781 3, 2 $5000

{The new switcheroo, 29Apr2008, Time Out NY}
{99 Gold Withdrawing Offering Plan, Turning to Rentals, 25Apr2007}
{133 Water Street Received Their TCO, 16May2007}

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