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CRAINSNEWYORK.COM I MAY 6, 2024

REAL ESTATE

‘There is just no market at all’ Property investment sales for the first quarter were the second lowest for New York City since at least 2015 since at least 2015, according to data from Ariel Property AdviThe East Village site had a sors. There were about $2.9 bildesirable location, offered a lion worth of deals across 392 hefty 8,000-square-foot lot and transactions and 442 buildings last quarter overall, the brokerwas ripe for redevelopment. But 220 E. Ninth St. only age found. These were all sigfound a taker last winter — lux- nificant declines from the first ury builder Arcus Develop- quarter of 2023, when there ment, which paid $14 million were about $5.1 billion worth — because of a “fluke,” accord- of deals across 531 transactions and 690 buildings, the brokering to landlord David Berley. age found. City officials had The only recent shut down the parkBY THE first quarter that saw ing garage at the NUMBERS less activity than site after finding 2024 was 2021, when potentially dangerNew York was still ous cracks, a move Total amount of in the throes of the that cleared out the deals last quarter pandemic and just property's tenant compared to getting its vaccine and put it in play af$5.1 billion worth rollout underway. ter 40 years. Although the city's And the unusual in the first recovery remains indeal was one of the quarter of 2023. complete, most secfew to close in the tors of the real estate basically frozen investment sales market of the industry have improved or at the very least are not worse off past few months. “I have never seen it like than they were during the first this,” said Berley, 85, chairman quarters of 2022 and 2023, of the firm Walter & Samuels. when activity was much higher. “It’s a very odd time,” said “There is just no market at all.” Indeed, investment sales for longtime New York sales the first quarter were the second-lowest they have been See MARKET on Page 20 By Eddie Small

$2.9B

The property at 220 E. Ninth St. was one of the very few notable building sales during the first quarter of the year. | BUCK ENNIS

City Planning Director Dan Garodnick and Mayor Eric Adams at a rally | NYCMAYORSOFFICE/FLICKR

GETTING TO YES The mayor’s battle begins as the clock starts on a roughly seven-month review of his ‘Housing Opportunity’ proposal | By Nick Garber

resh off of a state budget that delivered longawaited housing reforms, a new battle begins over a city-level package that could significantly boost construction in the five boroughs, testing Mayor Eric Adams’ ability to push the policies through against likely opposition. After months of preparation, the Adams administration’s City of Yes for Housing Opportunity plan was formally referred on April 29 to the city’s 59 community boards, starting the clock on a roughly seven-month review that will culminate with a vote by the City Council near the end of the year. The housing plan is considered the most significant — and controversial — of the three City of Yes plans that the Adams administration is advancing separately, which all seek to loosen decades-old zoning rules. By allowing denser housing to be built nearly everywhere in the city, the administration says the rule changes could produce between 58,000 and 109,000 new homes over 15 years, putting a dent in the apartment shortage that has caused rents to soar. But much will depend on the whims of the City Council, especially members from low-rise districts

A proposal to legalize small apartments in garages and backyards is among the components of the mayor’s City of Yes for Housing Opportunity plan, which began its public review. | BUCK ENNIS

outside Manhattan who are likely to object to provisions that would legalize 3- to 5-story buildings near transit and remove requirements for new developments to have parking spaces. Council Speaker Adrienne Adams, who represents one such district See YES on Page 20

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WOMEN OF INFLUENCE EVENT Crain’s honors the leading ladies who are shaping New York.

CRAIN’S LIST See this year’s highest-paid hospital executives and doctors.

GOTHAM GIG Mets’ ballpark operations chief seeks to shake things up at Citi Field.

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