Dear Clients and Friends,

November’s 834 new listings supply was an expected seasonal decline from the prior month and slightly below November 2023 levels. Interestingly, the number of new contracts signed in November 2024 (while still less than the prior month) was actually ~34% higher than November 2023. We believe this robust year-over-year increase underscores a greater willingness to transact now that the uncertainty of the election has passed. 

Although current listing supply levels are not too far below historical norms, based on our experience, apartment inventory feels more limited for active buyers. This is largely due to a significant percentage of purchasers focusing on the small subset of homes that are well-located, well-priced, and (ideally) renovated. New development also shows a similar targeted demand focus, with well-executed projects in prime locations selling at a brisk pace (and sponsors typically not negotiating off the asking price though they may be more flexible on ‘back-end’ concessions when structured properly), versus legacy projects that missed the mark and just aren’t garnering interest.

The luxury market (sales $4M+) had 124 contracts signed in November, up from 103 last month. Even the shortened week of Thanksgiving showcased strong performance with 19 contracts signed, a 10-year record for the holiday week. The highest priced contract was #52E at 50 West 66^th Street, a new development unit with Central Park views and a last asking price of $54.5 million or $7,850/square foot.

Finally, we wanted to mention two recent developments which highlight a continued commitment to NYC as a destination to live and work. Firstly, in November the city enacted a new regulation which requires 1-9 unit buildings to deposit their refuse on collection days in designated covered receptacle bins instead of just the typical outdoor black garbage bags. While this may seem like a minor step, the 1-9 unit building category comprises ~95% of NYC’s building share and ~41% of its housing share – so it’s actually an impactful move to enhance overall curb appeal. Secondly, Manhattan office leasing surpassed 30 million square feet YTD for the first time since 2019 before the pandemic!