The Real Deal - New York Real Estate News

TRD INSIGHTS: These are the 4.3M homeowners now in forbearance

Posted: 15 Jun 2020 02:30 PM PDT

Forbearance requests inched up only seven basis points for the week ending June 1, marking another period of relative stability in the mortgage market, according to figures released by the Mortgage Bankers Association. Mortgages in forbearance made up 8.53 percent of servicers’ portfolios for the week, up from 8.46 percent for the week ending May 24 and from 8.4 percent for the week before. Roughly 4.3 million homeowners are now in forbearance. By investor type,

City board to decide this week whether to freeze rents in stabilized apartments

Posted: 15 Jun 2020 02:08 PM PDT

The city’s rent board is poised to vote Wednesday on whether to freeze rents in stabilized apartments. The Rent Guidelines Board will consider four different proposals for stabilized apartments and lofts. Three of the proposals seek to freeze rents, while one, put forward by landlord representatives on the board, calls for a 2 percent increase on one-year leases, and a 5 percent hike on two-year leases. Based on last month’s preliminary vote, a proposal by

Another one bites the dust: 24 Hour Fitness files for bankruptcy

Posted: 15 Jun 2020 01:23 PM PDT

The national gym chain 24 Hour Fitness has become the latest company to file for bankruptcy in the wake of the coronavirus pandemic. The firm said in its filing that it has landed $250 million to help reopen some of its locations and expects most to be open by the end of June, according to CNN. However, it will reopen as a smaller chain after permanently closing 100 gyms in 14 states. It has about

Realogy drops non-compete suit against Compass

Posted: 15 Jun 2020 12:27 PM PDT

Realogy is dropping a lawsuit it filed against Compass and a former employee so that it can focus its energies on a bigger case against its competitor. Last year, Realogy sued Compass and a former finance employee who allegedly broke a non-compete and shared private documents with the startup brokerage. In a June 10 decision, a New Jersey judge granted Realogy’s motion to “dismiss the case with prejudice.” In the same ruling, the judge denied

Scant progress for tenants in wake of rent-law win

Posted: 15 Jun 2020 12:15 PM PDT

During a May 14 video conference with Housing Justice for All, Sen. Michael Gianaris rattled off examples of his solidarity with the tenant group, including pushing a bill to cancel rent and criticizing the governor for weakening an eviction moratorium. Meanwhile, he declined to address a group of small landlords, relegating them to a Zoom call with an aide. “What we initially came out with is not necessarily the final draft,” legislative fellow Jennifer Weintraub

Losing the narrative: Mayor’s signature issue slipping away

Posted: 15 Jun 2020 11:15 AM PDT

Five months into his mayoralty, Bill de Blasio blasted out a press release that quoted 80 elected officials, developers and advocates praising his new $41 billion housing plan. He’s been taking victory laps ever since to celebrate its progress. But Vicki Been, his deputy mayor for housing and economic development, acknowledged last fall that some New Yorkers aren’t buying it. In fact, many have come to believe that the hundreds of thousands of new apartments

Manhattan luxury contracts hit 12-week pandemic high

Posted: 15 Jun 2020 10:15 AM PDT

As New York City entered its first phase of reopening last week, Manhattan luxury contracts hit a new high. There were seven contracts signed for properties above $4 million — the highest number in 12 weeks, according to the latest market report from Olshan Realty. The first phase of the reopening means that construction has now resumed, while in-person showings remain prohibited until phase two. Donna Olshan, who authors the market report, said there wasn’t

The REInterview: How flex space could upend supply-demand dynamics in the office market

Posted: 15 Jun 2020 09:40 AM PDT

Riddle me this, landlord: In the midst of a pandemic and what many believe will be a severe and deep recession, how do companies go about predicting their long-term needs for office space? Andrew Kupiec is the CEO at Hana, CBRE’s wholly-owned flex office space provider that launched in late 2018 and has space in five locations across the U.S., including Silverstein Properties’ 3 World Trade Center. The Real Deal caught up with Kupiec and

Brooklyn luxury market sees seven deals for second week in a row

Posted: 15 Jun 2020 08:30 AM PDT

Brooklyn’s luxury market is inching its way back to normalcy: It just had its second week in a row of seven sales, the most since the pandemic started. Deals that went into contract last week were for properties asking a total of about $17.5 million, according to the latest sales report from Compass of homes in the borough listed at $2 million or more. The previous week, seven contracts were signed for homes seeking about

Hotels are reopening. Will anyone come?

Posted: 15 Jun 2020 08:01 AM PDT

Hotels across the country are starting to reopen for business, but guests who show up will face a very different environment. General managers need to persuade guests that they will be safe staying at their hotels thanks to measures like social-distancing guidelines, checking employees’ temperatures and more intense cleanings, according to the Wall Street Journal. The Gaylord hotel brand, for instance, is now spending between $10 million and $12 million on new safety procedures. Staffers

First black “Bachelor” for ABC comes from real estate world

Posted: 15 Jun 2020 07:30 AM PDT

The newest “Bachelor” isn’t just the first black man to hold the role in ABC series history. He also comes with a background in real estate, courtesy of CBRE. Matthew James, the 28-year-old who ABC announced on Friday would be its next bachelor, works as an associate at CBRE, where he provides brokerage and transaction management services to several different firms, according to CBRE’s website. He spent the beginning of his real estate career leading

Cuomo puts Manhattan, Hamptons on notice for re-closure

Posted: 15 Jun 2020 07:02 AM PDT

Careless millennials in Manhattan and reckless rich folks in the Hamptons might ruin reopening for everyone, Gov. Andrew Cuomo warned this weekend. “Don’t make me come down there!” he tweeted Saturday in response to a video showing a crowd of mostly maskless young adults gathering in Manhattan. Turns out he was serious: On Sunday he said complaints were pouring into his office about a lack of social distancing in Manhattan and the Hamptons, and that

Is Brooks Brothers the next retail bankruptcy?

Posted: 15 Jun 2020 06:15 AM PDT

Brooks Brothers might be the next major retailer to go through bankruptcy. Authentic Brands Group and Simon Property Group are in talks to buy the chain if it files for Chapter 11, according to Bloomberg. Simon, the biggest mall landlord in the country, has a strong interest in keeping its major tenants alive, while Authentic has a history of buying established brands in tough situations. High-end retailers like Brooks Brothers were facing a tough market

Why did Airbnb give in to de Blasio?

Posted: 15 Jun 2020 05:50 AM PDT

Airbnb and the de Blasio administration announced Friday a settlement to the lawsuit the company filed when the city demanded lots of information about its hosts. But the agreement gives the city all that information. That raises several questions — some answerable today, others which won’t be resolved for months, if not years. What was the company thinking? Two years ago, under pressure from the hotel industry and affordable housing advocates, the City Council and

Goodwill commits to its Downtown Brooklyn space for the long term

Posted: 15 Jun 2020 05:35 AM PDT

After a long search for space, Goodwill has renewed its 30,800-square-foot lease for its highly trafficked workforce development hub in Downtown Brooklyn. The long-term deal provides options for the nonprofit — founded in Brooklyn in 1915 — to remain on the full third floor of 25 Elm Place for up to 20 years at fixed rents. The property is in the middle of downtown Brooklyn on a block bounded by Bond and Fulton streets. It

Ved Parkash purchase makes TRD’s mid-market i-sales list

Posted: 15 Jun 2020 05:00 AM PDT

The $10 million to $30 million sector of New York’s investment sales market saw three deals last week, including a multifamily building purchase by controversial landlord Ved Parkash and the $26 million sale of a commercial building in Queens. Here are the details: California-based LBA Realty purchased 58-38 47th Street in Queens for $26 million from LDT Enterprises. The commercial property in Maspeth spans 7,500 square feet, according to the city. It is home to

TRD Insights: Can CLOs recover from the pandemic?

Posted: 15 Jun 2020 04:30 AM PDT

One of the fastest growing segments of the commercial real estate financing space has been commercial real estate collateralized loan obligations. But the strong growth trajectory for CRE CLOs has been cut short by coronavirus as the broader CMBS market has shut down. Last year, CRE CLO issuance rose to $22.4 billion across 31 deals, according to a new report from Trepp. That was a 26-percent increase from the $17.7 billion across 21 transactions in

The Closing: Kathryn Wylde

Posted: 15 Jun 2020 04:00 AM PDT

Kathryn Wylde, president and CEO of the Partnership for New York City, considers herself an activist. She and her organization represent some of the biggest names in real estate, including Blackstone, Vornado and Tishman Speyer. The nonprofit advocates for pro-business policies that encourage investment in infrastructure and economic development, and helps finance projects and initiatives through a separate $150 million fund. Wylde now oversees a staff of 45 people and serves on a 100-plus-member board