The Real Deal - New York Real Estate News

Knotel to tap former top WeWork exec as CEO

Posted: 22 Mar 2021 03:20 PM PDT

Knotel is bringing on a WeWork veteran to help straighten out the bankrupt flex-operator. Former WeWork vice chairman Michael Gross will join Knotel as its chief executive, the Wall Street Journal reported. Gross’ first order of business will be to reduce Knotel’s significant losses. The company already plans to close a number of its locations as part of its bankruptcy restructuring. A judge last week approved Newmark’s purchase of Knotel. “I see bankruptcy not as

Morgan Stanley plans “full return” to office

Posted: 22 Mar 2021 01:30 PM PDT

A flood of companies have announced remote-work plans for beyond the pandemic. Morgan Stanley, however, is eying a more traditional model. “We plan a full return to the Midtown office when it is safe to do so, but we expect some flexibility for employees to work from home during some of the week,” a Morgan Stanley spokesperson told Commercial Observer. “Those arrangements will vary widely based on the employee and job.” The investment bank certainly

Brooklyn luxury condo contracts catch up to townhouses

Posted: 22 Mar 2021 12:50 PM PDT

After weeks of townhouses reigning supreme, the number of luxury contracts for condos in Brooklyn made a comeback. There were 21 signed contracts last week for properties asking $2 million or more in the borough, according to Compass’ weekly report. The total sales volume sat at $66.7 million, compared to $81.7 million the week before across 24 deals. While last week’s biggest deals were predominantly for townhouses, this week’s report was a mixed bag, with

How the “Big Three” iBuyers stack up

Posted: 22 Mar 2021 12:30 PM PDT

Until recently, iBuying was largely a two-horse race. Now, Offerpad’s decision to go public in a $3 billion SPAC deal has put rivals Opendoor and Zillow on notice. The deal, with a blank-check firm backed by Zillow co-founder and former CEO Spencer Rascoff, was announced last week. Generally speaking, iBuying still represents a fraction of the U.S. housing market. The business, which emerged just a few years ago, uses algorithms to price homes and make

Comic Strip Live’s Upper East Side building up for lease

Posted: 22 Mar 2021 11:00 AM PDT

After more than 45 years of laughs, Comic Strip Live appears to be going dark. The building at 1568 Second Avenue, the longtime home of the comedy club, is being marketed for lease by Winick Realty Group, according to the brokerage’s website. The venue encompasses 4,366 square feet spread out across a ground floor and a lower level. The club was co-founded by Bob Wachs and Richie Tienken, and originally opened in 1976 as the

Here’s where Trumpworld has put down roots in South Florida

Posted: 22 Mar 2021 10:15 AM PDT

When Donald Trump left the White House on Inauguration Day, skipping his successor’s ceremony, he flew to South Florida, which has become a base of sorts for his inner circle since election results became widely accepted. Facing a hostile reception in the ex-president’s previous home state of New York, the former president and his wife, Melania, have opted to spend their post-White House lives in Florida. Others in his orbit, such as former Trump campaign

There are more agents than homes for sale

Posted: 22 Mar 2021 09:30 AM PDT

For-sale home inventory is shrinking in the hot housing market, but the number of residential real estate agents is rising. Just 1.04 million homes were on the market at the end of January, down by 26 percent from a year ago. The figure is the lowest on record since 1982, the Wall Street Journal reported, citing the National Association of Realtors. In the same month, the NAR had 1.45 million members, up 4.8 percent. Michael

Developer Tomer Dafna hit with involuntary bankruptcy petition

Posted: 22 Mar 2021 09:05 AM PDT

It’s collection time for accused fraudster Tomer Dafna. More than two years after the investor and developer was indicted for participating in a mortgage fraud scheme, the industry players Dafna borrowed money from are coming out of the woodwork to recover funds they claim they’re owed. Two of Dafna’s creditors filed a petition for his involuntary Chapter 7 bankruptcy last week, citing $1.3 million in claims, court records show. But that number could balloon to

Home sales drop in February as inventory remains at all-time low

Posted: 22 Mar 2021 08:21 AM PDT

The spike in home prices may have finally caught up to eager buyers. Existing home sales fell 6.6 percent in February to a seasonally adjusted rate of 6.22 million from January’s rate of 6.69 million, according to the National Association of Realtors’ monthly report. It’s the first month-over-month decline since November, and it affected every region NAR tracks except the west. Analysts expected last month’s rate of sales to drop, but forecasted only a 2.8

VC-backed brokerage Side gets $150M in funding

Posted: 22 Mar 2021 07:30 AM PDT

Guy Gal’s proptech product Side has gotten another financial boost. The startup has raised an additional $150 million in a round led by Coatue Management, Bloomberg News reported. After the latest funding round, the company is valued at $1 billion, according to the firm. Previous rounds have brought in investments from ex-Trulia president and COO Paul Levine and Patricia Nakache of Trinity Ventures. “The real estate market is kind of ripe for change and innovation,”

Waldorf Astoria Miami, planned as the tallest resi tower south of Manhattan, launches sales

Posted: 22 Mar 2021 07:00 AM PDT

The developers of Waldorf Astoria Residences Miami, planned as the city’s tallest residential tower at 100 stories, are launching sales, The Real Deal has learned. The luxury project, at 300 Biscayne Boulevard, will be the highest skyscraper south of Manhattan at 1,049 feet tall, the developers said. Property Markets Group, Greybrook Realty Partners and Hilton are partnering on the tower. It will mark the first Waldorf Astoria development in South Florida. The building, with 360

After 2-year drought, 425 Park Ave snags new tenant

Posted: 22 Mar 2021 06:05 AM PDT

An office building that saw leasing pause well before the pandemic may finally be turning a corner. Hellman & Friedman has recently signed a 15-year, 27,800 square-foot lease at 425 Park Avenue, developed by L&L Holding Company, the New York Post reported. The private equity firm plans to move from its current location at Lever House, just a few blocks away at 390 Park Avenue, later this year. The Hellman & Friedman deal ends the

iBuyer competition debunked, and inside the digital closing revolution

Posted: 22 Mar 2021 05:30 AM PDT

Not all iBuyers are created equal Zillow co-founder Spencer Rascoff made his thoughts on iBuying clear last week, when his SPAC struck a $3 billion deal to take Offerpad public. Yes, Offerpad will compete with Zillow, the company Rascoff left in 2019. Yes, it will also compete with Opendoor, the iBuying market leader that went public in a SPAC deal last year. As the three jockey for market share, here are some key differences. Opendoor:

Here’s what tenants are paying at Macerich’s Kings Plaza mall

Posted: 22 Mar 2021 05:00 AM PDT

When J. C. Penney announced that it would close nearly a third of its stores following its bankruptcy last year, the list included a store at Brooklyn’s largest enclosed shopping center — the Kings Plaza mall in Mill Basin. Retail giant Macerich has owned the four-story super regional mall since 2012, when it paid $751 million to acquire the property from Vornado Realty Trust in one of the largest commercial real estate deals of that

A housing “cattle call” as sleepy markets spring to life

Posted: 22 Mar 2021 04:30 AM PDT

For five months, Monica Barnes has been trying to buy a home in downtown Salt Lake City. She recently offered $370,000 for one listed at under $350,000. She sweetened the deal with an escalation clause to show she was willing to up her bid if someone else came in higher. It wasn’t enough. Another buyer put up $395,000 and guaranteed to cover any gap if the appraisal value came in higher. So Barnes is back

Housing advocates pressure lawmakers to ban no-cause evictions, rent increases

Posted: 22 Mar 2021 04:00 AM PDT

A ban on no-cause evictions and rent increases are among the latest tenant protections housing advocates are calling for in the state’s budget. With less than two weeks until the budget deadline, Housing Justice for All and the Right to Counsel NYC Coalition are calling on lawmakers to go further than the rent relief proposals they rolled out last week. Specifically, the groups want the budget to bar no-cause evictions and rent increases for five

Cerberus Capital, Stonemont Financial form $1B domestic industrial venture

Posted: 21 Mar 2021 11:00 AM PDT

Stonemont Financial Group and an affiliate of Cerberus Capital Management LP have formed a joint venture to invest in the white-hot logistics sector. The partners want to buy as much as $1 billion worth of industrial real estate, according to Commercial Property Executive. So far, the two firms have purchased properties in Illinois, Florida, Mississippi and Tennessee. They did not disclose their total investment in those properties. Stonemont manages around 15 million square feet of

More Americans are buying homes in Tel Aviv

Posted: 21 Mar 2021 09:00 AM PDT

The pandemic has sent some Americans with the means searching for bigger homes and more space. But some are also looking abroad, and an increasing number of Americans are buying homes in Tel Aviv, Israel’s Mediterranean metropolis. Nefesh B’Nefesh, an organization that helps people relocating from the U.S. and the U.K., found that applications from American citizens to Tel Aviv were up 126 percent last year compared to 2019, according to the Wall Street Journal.

Huge Soho loft seen on “The Real World” goes in contract

Posted: 21 Mar 2021 06:00 AM PDT

A historic Manhattan home that architect Philip Johnson once called “the most beautiful loft in Soho” is finally in contract after several years and a handful of price cuts. Edwina Sandys, Winston Churchill’s granddaughter, is set to sell her loft 565 Broadway, according to the New York Post. The apartment went into contract with a final asking price of $5.5 million. The 6,500-square-foot loft has quite the pop culture history: Gen Xers may recognize it