MNS, the Brooklyn real estate firm published their second quarter 2014 Brooklyn New Development Market Report. 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 2014 (04/01/14 – 06/30/14). All data summarized is on a median basis.
The total number of New Development Sponsor sales in Brooklyn jumped up 84.5% from 1Q14. The following neighborhoods did not account for any New Development sales during this time: Kensington and Prospect-Lefferts Gardens. The sharp increase in the number of sponsor sales in Brooklyn is likely due to an excited New Development condominium market this past spring season. Median sales pricing in all of Brooklyn increased 19% from the previous quarter and Median Price per Square Foot increased 24% compared to 1Q14.
- The total number of new development sponsor sales in Brooklyn jumped up 84.5 percent from the first quarter.
- The sharp increase is due to a robust new development condo market this past Spring.
- Sponsor sales in Brooklyn Heights accounted for 13.33 percent of all new development sponsor sales in Brooklyn. The median PPSF and median sales price in Brooklyn Heights has increased every quarter since 4Q13.
- One bedroom and three bedroom units represented 25 percent and 44 percent of all sales in Brooklyn during 2Q14, respectively.
- There are 48 New development condominiums being developed in Williamsburg and the nabe will continue to see high growth margins throughout this year and next.
- Median sales prices in all of Brooklyn increased 19 percent from the last quarter and median pricing per square foot increased 24 percent.
- Highest new development sale: 360 Furman Street – Apt. 1302, Brooklyn Heights – $4,991,561
- Highest new development sale PPSF: 75 Columbia Street – Apt. 1A, Cobble Hill – $2,937 PPSF
- Year-over-year median PPSF: Up 29.7 percent
- Quarter-over-quarter PPSF: Up 23.6 percent
- Year-over-year median sales price: Up 26 percent
- Quarter-over-quarter sales price: Up 19.1 percent
- Largest quarterly upswing: Williamsburg
- PPSF from $821/SF to 1,244/SF
- Sales price from $1,185,761 to $1,767,338
- Largest quarterly downswing: Boerum Hill and Cobble Hill
- PPSF from $1,020/SF to $700/SF
- Sales price from $952,807 to $661,080
- Neighborhoods where the majority of 4Q13 inventory was sold per unit size
- Studios in Brooklyn Heights: 20 percent
- One bedrooms in Greenpoint: 32 percent
- Two-bedrooms in Bed Stuy: 23 percent
- 1,500+ SF in the Brooklyn Heights: 25 percent
Dumbo continues its very low inventory (especially new development) and only had 1% of total new development sales in Brooklyn in Q2 2014. Dumbo’s median sales price for new development was $1,616,425 (from $750,000 in Q3 2013). Median price per square feet for new development in Dumbo is $1,141 (vs $948 for all Brooklyn).