A decline in high-end new development closings brought the average apartment price down from last quarter’s record level in Manhattan. At $1,735,628, this figure was 2% higher than a year ago and the second highest average price on record. The median price of $970,000 was a 7% improvement from the first quarter of 2014. The price increases over the past few years, combined with low inventory led to 8% fewer closings than a year ago.
Resale apartment prices alone remained strong, with the average of $1,530,943 up from both the prior quarter and a year ago. The median resale price reached a new record of $900,000 in the first quarter, and was 6% higher than 2014’s comparable period. Sellers are currently receiving 98.3% of the last asking price for their apartments and have not been forced to adjust prices in most cases.
While the average new development price fell over the past year, this is attributable to a decline in closings at the highest end of the market. On a per square foot basis, the average new development price is actually up 2% from a year ago. Midtown saw the most new development closings in the first quarter, with 25% of the activity.
The full version of the report can be found on the Halstead website, at the link below: