Manhattan Loft Guy

March 2007

Mar. 31, 2007 - slippery sales data in NY Times at 80 Warren St

they do the best they can with what agents tell them, right?

Tomorrow’s NY Times (available today on-line and for home delivery subscribers) features a Tribeca loft in the Residential Sales Around The Region section. The data are … not so accurate.

A penthouse duplex at 80 Warren Street is said to have been on the market for 6 weeks at $1.95mm and sold for $1.9mm. Sounds like a cool unit, with a terrace and skylight, but the actual listing history is very different.

Our inter-firm data base shows that the penthouse was first offered for sale in July 2006 for $2.5mm, then dropped to $2.35mm in September and $1.95mm in October, before having a signed contract in late November.

Yes, that is six weeks after the last price change, but the sucker was on the market for nearly 20 weeks – a datum at least as relevant to a buyer as knowing it had been six weeks since the last price change.

cutting to the chase, cutting through the pain

Kudos to the owner and agent (James Attard at Tabak), by the way, for aggressively adjusting the price to get a sale. On the one hand, they ‘only’ got 76% of their original asking price. On the other hand, they got it sold. I think last Fall was a much tougher market for sellers than this Spring, but they couldn’t know that last fall.

Bottom line: don’t believe everything you read. (d’oh)

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Mar. 31, 2007 - buyer’s tango for one: buy it, but without overpaying

what’s The Market Price if you set the market?

The dialogue with Larry this week in Jagger’s Law of Imperfect Lofts / life is compromise (sigh) and a buyer’s experience this week got me to thinking about buyer behavior in a Manhattan real estate world in which no one (a) wants to pay more than they ‘have to’ to have an offer accepted, or (b) likes bidding wars. (Can the real estate world in America be any different? nahhhh)

The problem, of course, is that buyers don’t know what the seller really wants (will take) and it can be difficult to determine if other buyers are really interested (and at what prices). When I get to the point of having a good rapport with buyers I will tell them that the only way to be sure what the market price is for a loft they want is to have someone else buy it. (It takes a moment for that to sink in, most times.) So they know that when they get to an apartment they want to own, they have to trust me to interpret the market data and the mumbles of the seller’s agent, and then do the best they can within whatever needs, resources, options and limits they have.

My buyers this week had bid unsuccessfully on a couple of places, then saw two new places at Sunday open houses that were similarly attractive in terms of location, size, condition and (more or less) cost. With disclosure in both places, they bid The Full Ask on both, as both seemed to be pretty popular on Sunday and had prices that were reasonable based on the comps. One immediately had other similar bids (and would likely get more), while the other wasn’t nearly as hot (and was financially more practical for them).

They bid on Monday, putting as much pressure on the seller as we could (“we have another bid out there”) and got an accepted offer on the second one late that same night. Small hiccup on Tuesday when the seller re-opened the business terms (asking for no mortgage contingency; no surprise there), which the buyers swallowed.

even decisive people can have second thoughts

Bigger hiccup on Wednesday, when the seller’s agent called with the dreaded “we had two offers above ask last night” phone call. Here’s where it got interesting.

The seller, bless his heart, was not interested in a bidding war so long as my buyers matched the slightly-higher-than-ask new price. Agent, bless her heart, had an acceptably calm answer to my question “what do I tell my buyers if you come back to me tomorrow night with yet another higher offer?” (“he wants to do the deal with your people; have them sign in a hurry”).

My buyers, bless their hearts, recognized that this is the way it can go sometimes and stepped up to the additional cost. They also said “now we don’t have to worry that we paid more than anyone else would have”. Bingo.

We kind of lucked into a situation in which they got to buy the apartment without a full-fledged bidding war, yet they have the outside comfort that the price reflects the market.

bidding has a strong emotional aspect / needing a Walk Number

It is mere Negotiations 101 that any party in a negotiation has to have a Walk Number and to be prepared to act on it. It is the rare buyer (or seller) who can actually do that, however.

Going back to Larry’s comment on Jagger’s Law of Imperfect Lofts / life is compromise (sigh), in that instance those buyers got out-bid by $175,000 long after their offer had been accepted, long after they had done their green-eye-shade work on Cost + Needed Renovations. They were also dealing with a loft that had been on the market long enough for us to believe that the market did not think it was worth as much as the asking price. (With the eternal and repeated proviso that “you never know when another buyer will come out of the woodwork”.)

So when it because apparent that they would be fighting for the loft at at least $200k more than they had figured (in great detail), those buyers walked away. I think they emotionally set the value for them at their Cost + Renovation, and had the resources to keep looking – no matter that the market price for that loft demonstrably changed.

Had they started their bidding in a competition, they might have proceeded differently, but they were not overtly in a competition from the start. They accepted that they would let someone else ‘overpay’ for that loft. They stuck to their Walk Number, bless their hearts.

Being a buyer is hard….

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Mar. 30, 2007 - Chelsea's Merc merchandise / 5 open houses

the condo that branded Chelsea above 23^rd St

The Chelsea Mercantile building at 252 Seventh Avenue is the project that - in my opinion - created a market for high-end apartments above West 23^rd Street that had not existed before this huge former Veterans Administration office building was converted to residential lofts seven years ago. Without the Chelsea Merc there would be no Chelsea Atelier across the street at 245 Seventh Av (2001), no Chelsea Royale across the street at 200 W 24 St (2005), and none of the other condo developments nearby as well. (The Cass Gilbert at 130 W 30 St is a less successful attempt to move that high-end market into another fringe residential area.)

The Merc set the local standard high on amenities, space and finishes at what were stratospheric prices (above $700/ft). Many original owners were new to "downtown" and to lofts. It attracted people from uptown who did not consider themselves Soho or Tribeca people.

The units are *very* finished "lofts" - though far from 'classic' lofts. (Yes, there is a an industrial past; yes, the ceilings are high and the windows large; yes, the spaces are "open" but not all that open.) But let's not quibble; most people consider them lofts (to quibble, see the Tao of Lofts - essential features); there are a bunch for sale (15!) and five open houses on Sunday in the building.

Without much further ado:

12Z	861 sq ft studio	$995k	3:30 - 5
4S	955 sq ft 1 BR	$1.175mm	11 - 12:30
4L	995 sq ft studio	$1.185mm	12:30 - 2
3T	1,140 sq ft 1 BR	$1.45mm	11 - 12:30
PH-J	1,628 sq ft 2 BR	$2.495mm	2 - 3:30

Â© Sandy Mattingly 2007

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Mar. 28, 2007 - the grey-beard tour / open houses at … ummm … ‘mature’ listings

These three lofts have all been around for a while. With noon starting times for open houses Sunday, it is a bit like the early dinner seating (5:30?) in Miami. Hit all three and be home by 1 PM.

240 W 23 St #1B, on the market since September. Asking $1.249mm for 1,350 sq ft in a One Bed Wonder ground floor duplex with 12 foot ceilings. (What is a One Bed Wonder?) Susan Sears (formerly of her own firm, now with Corcoran) knows lofts; she calls it “stunning”. I am not seeing “stunning” in the pix, but maybe she’s right.

This unit faces south (into the block, not to 23^rd Street), so it should be quiet. Layout is a little funky, with a “bonus” sleep loft off the main level and the bedroom level apparently below grade (and with only a powder room on that level; can that be full??). They started this at $1.395mm in September, dropped $100k a month later, with a $50k drop in February. Seller is patient (so far), market’s not jumping on this baby.

Open House Sunday 12 – 2

Unit 3 at 158 W 23 St, on the market since November. Asking $1.559mm for 1,865 sq ft. The price had been $1.595mm, so I wonder if the change this week is just a transposition error…. As I said about this one last week in the 1.6 open house tour: “Can’t see much from the pix and web other than the exposed brick, old-fashioned steam radiators, hardwood floors and high ceilings (11 ft??), and they ain’t bragging about the kitchens, baths or much of anything else”

Open House Sunday 12 – 1

Unit 5D at 240 East Houston has been on the market since November. Asking $1.65mm for 1,087 sq ft ($1.75mm until this week). It has at least one very cool feature: a private roof deck (though I am not sure that deck and the fireplace justify asking more than $1,500/ft near Avenue A – but the hammock might…).

Open House Sunday 12 – 1:30

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Mar. 27, 2007 - serious price drop in the way far East Village / 735 E 9 St sheds 12%

it can cost a lot to walk-up

I touched on the 4th floor walk-up “extremely unique loft environment” (4FW at 735 East 9^th St), when it was new to market only two weeks ago (new at 9th + D / double secret probation above $1,100/ft). Apparently, they are listening to the dreadful marketing sounds of silence, as the price has dropped from $1.4mm to $1.225mm (for 1,215 sq ft and “[f]eatures too numerous to mention”). This change brings the price to just about $1,000/ft.

a price change that can change expectations

That is what I call a serious price drop, one that can change the market for a property, rather than a death-by-small-increments approach that so many owners and/or agents use. (See puzzling price policy / slow death near Union Square and more price pain on 16 St /if you knew then what you know now….)

Kudos to Mary Ann Cotter at Corcoran for stepping up to the need for a beyond-cosmetics price change. Given the neighborhood and the walking-up, $1,000/ft still seems high to me, but I will be curious to see if this grown-up step gets to a contract. There’s still a lot I don’t get about this listing, though (hence the Animal House reference in the title of my new-this-week on this one, new at 9th + D / double secret probation above $1,100/ft).

Open House Sunday 1 – 2:30

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Mar. 27, 2007 - gimme a B at 7 Essex / 7B is new, 6B and 8B might be going

one good price leads to…

I talked about a new (in 2003) loft building outside the classic Manhattan loft neighborhoods when I featured open houses off the beaten (loft) track / 454 W 46 + 430 E 10 + 7 Essex two weeks ago.

Unit 6B at 7 Essex Street had been for sale for $1.3mm but has had an accepted offer since February (maybe there is a problem with that sale??). 8B has been for sale since July (most recently for $1.65mm) and has an accepted offer for three weeks (maybe there is a problem with that sale also??). Now 7B is on the market at $1.715mm, an optimistic premium above the 8B asking price.

Obviously, 7B has the same 1,574 sq ft footprint and essentially the same views as 8B and 6B. Makes it seem as though the market penalty for 6B’s unusual décor is in excess of $300k.

The 7B owner will feel lot better about the market if 6B and 8B really do get contracts signed soon….

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Mar. 26, 2007 - guessing about the new one at 29 W 15 St (why?)

7^th Fl at 29 W 15 St (new last week) is an intriguing possibility, in part because of the guess work required to assess the condition.

Priced right at $1,000/ft (said to be 2,250 sq ft, asking $2.25mm, with $1,589/mo in maintenance), it is a classically Long-and-Narrow loft with five side windows. All the plumbing is in the middle, so it is along walk in your jammies from the rear bedrooms (the floor plan shows only 1.5 baths).

Parnell O’Connell at Brown Harris hints that this is a renovator’s special (“[t]here are no columns, providing maximum flexibility for a purchaser to remodel to suit their own needs”), which is consistent with there being only one photograph on the web. (Would be nice if they were more direct about that, no?) Could that be electrical wiring running under the rug in the living room (sole) photo?? What is that floor made of (concrete?)?

The third floor changed hands in January 2005 for $1.325mm (marketed as being 1,900 sq ft, btw), so the 7^th floor is charging quite a premium for about 40 feet of height. They say the light is “excellent”, but the higher floor unit I have been in at this address could not be described as having wonderful light (maybe it is the layout).

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Mar. 23, 2007 - the 1.6 open house tour

Sunday 12 - 1

158 W 23 St #3

$1.599mm and $1,594/mo (condo)

1,865 sq ft of classic Manhattan loft Long-and-Narrow type, but it has two side windows for a second “bedroom” (more a guest room, with French doors into the master bedroom and an [open?] doorway to the kitchen). Can’t see much from the pix and web other than the exposed brick, old-fashioned steam radiators, hardwood floors and high ceilings (11 ft??), and they ain’t bragging about the kitchens, baths or much of anything else.

On the market since November ($1.649mm).

Sunday 1 - 3

143 W 13 St #204

$1.595mm and $1,592/mo

This is hardly a classic loft, and some might argue it is not a “loft” at all. While it is adapted residential space, it is not of the traditional loft-from-industrial-use provenance.

I suspect that most people who walk this block only once in a while do not even realize that it is not still a church. Very Greek revival, indeed. The result is some tall but small spaces, such as this 1,100 sq ft layout with 14 foot ceilings and three levels. (When you look at the floor plan, remember to mentally slide the sleep loft section on top of the lower floor – match the stairs and you will see what I mean.)

Laurie Dietz at Corcoran is not saying, but I think this one looks into the middle of the block; if so, it is very quiet. Serene, even.

Laurie has a church “penthouse” in the building in contract, 1,300 sq ft with private deck off an asking price of $1.995mm. Spaces like this are so unusual, they are a nightmare for appraisers. #205 looks to be bigger, and sold in June 2005 for $1.66mm.

New to market this week.

Sunday 2 - 4

160 Chambers St #3

$1.635mm and $1,500/mo

Fourth floor walk-up in former firehouse (again, not of the traditional loft-from-industrial-use provenance). This looks like very cool space, rewarding the walk up. (And an elevator is coming.)

They’re not saying, but looks to be about 1,300 sq ft of the Long-and-Narrow variety. Though they are saying it could “easily” become a 2 bedroom, it looks like a classic One Bed Wonder to me (what is a One Bed Wonder?), especially with just the one bathroom. (Need some fancy drafting for 2 real bedrooms.) Don’t know why they are saying “centrally Located” in “lower Tribeca” (central to the edge?), but it is a convenient location for transportation of all kinds, for sure, for sure. The block is undergoing … change. Massive change. Good news (long term), for sure, for sure, especially after that elevator comes in.

New to market this week.

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Mar. 21, 2007 - new “loft” is not a loft – just a big 1 BR at Stewart House

when is a “loft” not a loft?

When a one bedroom apartment with an open floor plan, big windows and high ceilings is in an apartment building (indeed, in a classic white brick 1960s former rental) it is not a loft. No matter how big the windows or how high the ceilings, or how open the floor plan. (For what makes a loft a loft, see the Tao of Lofts – essential features.)

So, sorry but #1D at 70 E 10 St is just not a loft – it may be “loft-like” but it is not a loft. It is new this week, and billed by Norman Horowitz at Halstead as a “loft”, but it is just a very large (1,100 sq ft) one bedroom apartment with what might be a nice price for the space (but still a one bedroom) of $929k (maintenance ‘only’ $823/mo).

Loft lovers need not apply.

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Mar. 21, 2007 - two new at 1,200 sq ft / 10 Bleecker + 2 Prince

that didn’t last long

I was going to say about #3A at 10 Bleecker St that if you love that neighborhood (nearly at Bowery) you will love this 1,200 sq ft space for $1.249mm. 11 foot ceilings and huge windows, exposed brick but central air, new kitchen and (1.5) baths. No floor plan on the web, but looks sweet for the price if you want to be in that area.

It came out to us on March 17, it looks terrific, but it looks gone. Contract went out already, probably yesterday. But maybe if you rush….

SoHo pricing two blocks south

#4B at 2 Prince is still available, but you are asked to step up to SoHo-appropriate pricing for these 1,200 sq ft, asking $1.475mm. It is on the same east-west block as 10 Bleecker (Elizabeth and Bowery), has a spacious nearly square layout with nine windows (mostly north and south), and a terrace.

Again, central air plus bricks, new kitchen and baths (2 full). Ceilings are ‘only’ nine feet, however, so not so loft-y. On the market since the weekend, and still available.

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Mar. 16, 2007 - lofts recently in contract

The seven resale lofts below showed up yesterday in our inter-firm data base as In Contract. A list that resets each day, so it is potentially an interesting snapshot of the Manhattan loft resale market. (Note to self: do these things every once in a while.) Not sure if this really is an interesting snapshot, but perhaps time will tell.

First thing that jumped at me is that three of seven were first listed only in February this year. Over the last six to nine months, I think most people would agree that getting got contract within about four weeks is pretty successful marketing, and reflects that at east some sellers and at east some buyers are getting more in synch.

One of the more mature listings here is the third of three “D” line listings at 55 Hudson St that I blogged about four months ago (Tribeca trifecta on the market / if you need a "D", 55 Hudson is for sale) and updated five weeks ago (two Ds down / only one of 55 Hudson’s fraternal triplets remains) to go into contract. It may be significant that of the three similarly priced layouts in the same “D” floor plan, the 1 Bedroom layout was the last to get into contract.

The most mature listing here (176 Broadway #9F) took 16 months, but succeeded off the same asking price as they started at in November 2005. One wonders if the sellers became more negotiable at that asking price than they were originally, or if the marketplace of buyers became more accepting of the asking price as a reasonable price. Similar story of asking price stability -- without the zig-zags -- at 118 E 25 St 7th fl and at The Lions Head, 121 W 19 St #7D (both on sale since October).

	Asking (earlier)	Quoted size	Came to market on
118 E 25 St 7^th fl	$2.595mm	3,800 sq ft	Oct 12, 2006
16 Hudson St #5E	$1.875mm	1,500	Feb 9
55 Hudson St #6D	$1.835mm ($1.865mm)	1,600	Oct 29, 2006
808 Broadway #3ML	$1.8mm	1,700	Feb 22
121 W 19 St #7D	$1.299mm	1,134	Oct 14, 2006
176 Broadway #9F	$995k ($1.025mm) ($995k)	1,600	Nov 9, 2005
67 E 11 St #518	$765k	700	Feb 17

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Mar. 15, 2007 - Jagger's Law of Imperfect Lofts / life is compromise (sigh)

Mick Jagger was uncharacteristically understated back in the day:

You can’t always get what you want/

but if you try – sometimes /

you just might find /

you get what you need

I don’t think he was singing about Manhattan lofts, or whether he has been a Manhattan loft buyer since 1969. But if he were, he would probably delete the word “always” in the first line quoted above. Which is a roundabout way of saying that all buyers I have ever worked with have had a different Learning Reality Curve than they anticipated.

gotta get those MICKs

All well-prepared buyers have a sense of the market, usually derived from some period of watching listings, focusing on neighborhoods, features and prices they think they prefer. For loft buyers in Manhattan the key variables are often location, size, light and/or views, amenities, level of finishes, and price (not necessarily in that order, of course). You could call these the Most Important Criteria, or MICKs for short.

It is my belief that the way buyers look at listings contributes to Jagger’s Law of Imperfect Lofts. And it is my belief that this Law is valid at any price point -- $3mm buyers are as likely to be as frustrated by Jagger’s Law as $1mm buyers – as no one will get all of their MICKs. (Though they just might find that they get what they need.)

Even sophisticated and knowledgeable buyers need some awkward collisions with the reality of what is actually for sale in order to give up on the mythical perfect loft.

I will illustrate with real buyers who are recently in contract for a loft at a price point that is beyond what a lot of loft buyers are looking to spend. I will keep them anonymous, so they should quibble with me in private emails (if they must) to preserve their anonymity.

This history will take a long while to relate, because I want to be specific (and I am pretty wordy in general). But if you want to skip to the bottom line it is this: buyers need not be picky, cheap or indecisive to fall prey to Jagger’s Law of Imperfect Lofts because all lofts are imperfect.

why imperfect?

Informed and reasonable buyers will see lofts that are at some (or even many) of the right values (the right price, size, location, finishes, light, space, location) but they are simply not going to see a loft that hits on all of those criteria – it’s The Law. Because if a loft has great light, and large space, and high finishes, and good location – compared to other lofts that are candidates – it is going to be priced higher. Usually, priced out of the comfort zone.

Informed and reasonable buyers see lofts they can afford in person or on the web with great light and views; they want that. But they don’t want it in that building, or in that layout, or with those finishes, or at that price. Then they keep that light and views in mind in the mental file labeled What We Like And Can Afford. That is human nature.

Informed and reasonable buyers see lofts they can afford in person or on the web with great space and layout; they want that. Into the file, without the limitations.

Informed and reasonable buyers see lofts they can afford in person or on the web with great baths and kitchen; they want that. Into the file, without the limitations.

Informed and reasonable buyers see lofts they can afford in person or on the web in a great light location; they want that. Into the file, without the limitations.

If you doubt this, follow my buyers….

First off, these buyers have been in Manhattan long enough to know loft neighborhoods (they have lived in several). They were flexible about neighborhoods and significantly more flexible about buying a ‘fixer-upper’ than most loft buyers. And they did not need to have the level of services and amenities in the newer loft developments (i.e., they did not have to have a concierge, or a pool, or a lobby cold room, or a business center). But they wanted “a lot of room” (2,500 sq ft, at the start) and lots of light, and they wanted something that is already (or can be turned into) beautiful space.

They were willing to spend up to $3mm to get it. If you think that someone should be able to find the perfect loft at this price, you are like them. And you will share their frustrations in that search.

the MICKs for these buyers

space (2,500 sq ft more or less)
very good light (views would be a plus)
high level of finishes (or the reduced price to renovate to get it)
‘nice’ neighborhood (a slippery concept)
some loft-y ‘character’
under $3mm

dollars short, days late (or, too early) at The Capitol

The first loft listing they got serious about was #701 at 236 W 26 St, but it had a layout that would have to be re-figured for them and it was just too early for them to commit to anything that was not ‘perfect’. It was certainly big enough at 2,717 sq ft, had terrific light with huge windows and three exposures (the longest being dazzling south), and it had a high level of finishes throughout. The asking price was in their range at $2.56mm, though maintenance was a bit high for a non-doorman building, at $2,680/mo.

But the loft was set up so beautifully as a one bedroom (a One Bed Wonder!), though with the capacity to be two or three bedrooms without a lot of work (some but not a lot). When we saw it it had been on the market almost two months, without having gotten an offer. While they were considering making the proverbial low-ball offer and discussing between them the pros and cons, the market caught up to them. In a few days, there were multiple offers and the loft seemed destined to go well above the asking price (it hasn’t closed yet). This activity both energized them (“other people like it too”) and enervated them (“we don’t want to get in a bidding war”).

At the end of the day, the space was great, the size was adequate, the light fantastic, the price was do-able, the location was okay (but do-able), the level of finishes was quite high enough and the ‘feel’ was terrific. But there was just a little too much work to be considered quickly and they were not quite ready to make the compromises necessary to act quickly to see if it could be bought within their comfort zone.

They never bid here, but I wish I had a dollar for every time one of them later said to me “if we could only have gotten 26^th St….”

OK layouts + light at 15 W 17 St

The floor-through lofts being converted to condominiums at 15 West 17 Street presented at least two possibilities. These Long-and-Narrow layouts had at least a few windows along one long side on the upper floors and the convenience of being so close to Union Square.

The penthouse had the best light (though more sky than ‘views’), a fireplace, an efficient layout (2 bedrooms plus an office or guest sleeping area) and private outdoor space on the roof. The finishes, kitchen and baths were more “okay” (according to their tastes) than ‘wow’, but that was a workable element. At $2.975mm for 2,221 sq ft, this was just within the dollar comfort zone – though they expected to pay less if they were to bid.

The 10^th floor unit presented a fascinating set of possibilities. It had nearly as good light as the penthouse just above it and could be sold raw (not just unfinished, but exposed wiring, gouged concrete floors, and plumbing risers without any plumbing raw).

But the light on both 10 and 11 just wasn’t good enough to overcome a merely “okay” layout on 11 or the possibility of creating something wonderful from scratch on 10.

light and more light at The Glass Farmhouse, but remote

I always think of the West 30s for people who say they want light, so I took one of them to see an absolutely remarkable (but odd – there’s always a catch) concrete floor and minimalist look duplex loft at the Glass Farmhouse, unit 9G – 10G at 448 W 37 St (no longer on the market, no web listing to view). Big windows with 13 foot ceilings and three exposures, showcasing the Empire State Building and the Hudson River (how’s this for beautiful marketing: “180 degree views allowing you to watch the sunrise behind the Empire State Building in the morning and set over the Hudson in the evening”), and a well-executed minimalist vibe could have overcome the need to replace the circular stair with a real stair, and the money was again right ($2.495mm for 2,638 sq ft), but it was clear that one of them would never live in that neighborhood. Alas.

views but dark bedrooms on Lafayette, if they’ll sell

The other one and I went to a candidate for gut renovation at 237 Lafayette – a neighborhood they both love. Unit 8W had very good light and big Soho views, but with only one and half exposures, would only make sense if the bedrooms were interior. A major stumbling block, but one that might have been resolved, as the space had sufficient potential otherwise and the neighborhood was prime. Price ($2.575mm for 2,200 sq ft) was high compared to the work to be done, but the real problem was that the “seller” was ambivalent (or worse) about selling (one of those “they don’t really have to sell” nightmares). Indeed, before it was finally crossed of the list, it went off the market.

very promising over Great Jones St, but …

They found “it” at 684 Broadway, Unit 5E, which led to three very frustrating weeks. The unit was a very primitive loft (probably ‘renovated’ last about 25 years ago), so was a good candidate for a gut renovation, and priced accordingly. It has a long run of very cool pivoting windows along Great Jones Street, just about clearing the low rise buildings to the south and giving very good light. With 3,000 sq ft there was quite enough space, with a reasonable asking price of $2.5mm as a place to start negotiating.

The problem was that they would want to put the kitchen on a wall that had no obvious plumbing lines in it, though the agent “believed” that it could be done. Indeed, the agent quoted the managing agent as saying it could definitely be done. But the managing agent could not confirm that when I asked directly.

They bid on the basis of needing a “reasonable assurance” that the kitchen could be moved to that wall and their lawyer commenced due diligence while we attacked the kitchen location problem by getting a plumber to visit and (literally) drill holes in the wall. (The seller was very accommodating, obviously.) The plumbers were unable to be definitive without opening up a much larger part of the wall – despite the fact that two floors below had a kitchen on that wall -- but the buyers were willing to chance it (with a back-up renovation layout in mind) so they signed the contract. At which point the seller got an offer that was sufficiently higher ($195,000) that the buyers withdrew.

At which point we realized that #3E -- the same unit two floors below (with the kitchen in the ‘right’ place) -- was available for sale at $3.1mm. More than they wanted to spend, but possibly 'done'.

Did I mention that nothing is ever perfect? The change in altitude from 5^th floor to 3^rd eliminated the rooftop views, but not so much light; the original pivot windows on 5 were not available on 3 (but were replaced by quiet City Windows); sellers in #3E put in a sauna (who needs -- or wants to pay for -- a sauna?); the bedroom array was not quite as they would have built it in #5E; and there was some (not-very-usable) essentially dead space. But the owners had done a nice renovation, the kitchen was in the right place, their lawyer had already done the due diligence, and the buyers had already made a certain emotional connection with the building and neighborhood.

Having done the math on what it would have cost to buy and build out #5E, they bid on #3E, prepared to raise. And within a few days were not only out-bid but out bid at a level that did not mesh with their own financial calculations of value.

beautiful in beautiful downtown Soho

The buyers licked their wounds, took their learnings, and went soon afterwards to #4W at 46 Mercer St, a loft they had seen on line but which went off the market, then came back. It is just big enough, with 2,500 sq ft (the 14 ft ceilings help a lot), the Soho location is prime, the kitchen and baths looked plenty good enough on the web, and the asking price of $2.9mm was (barely) within their comfort zone, though reasonable compared to the local market.

They liked it enough to see it three times, and to linger each time. But at the end of the day the lack of light in the bedrooms (in the back) was a deal-killer for these buyers. They could have lived with the somewhat tweak-able kitchen and 2d bath, and they loved the front room with the huge Soho-outside-the-window windows (the fireplace was a nice touch). But they would not compromise on light for the bedrooms in this package. That one is still on the market.

Laight has light, but issues

The 7th floor at 68 Laight St did not suffer from a lack of light in any corner. 2,400 sq ft with four exposures, 14 windows, and 2 skylights full of the some of the best light Tribeca has to offer. Plus, some definitive loft ‘character’ and the possibility of private use of the roof. But the ask was a bit high at $3.075mm; there would be at least some ‘issues’ associated with improving and using the roof; the building is very self-managed; and the purchase cost plus renovation calculation was a little out of whack. They agonized, they dithered. They passed. That one is also still on the market.

is NoMo perfect?

When the asking price for the three week old listing at 20 North Moore St #8E dropped from $3.4mm to $3.2mm I thought it was worth a suggestion. For these buyers, this address is about as good as it gets. The headline of the web description (“breathes with light and clarity”) spoke to these buyers immediately. The finishes suggested by the photos and web copy sounded more than sufficient.

We arrived at 10:50 for a Thursday 11 – 1 open house with both buyers (despite the promise from one of being unavailable due to work pressure). At ‘only’ 2,400 sq ft, it did not quite meet their MICK on space, but the space had enough of the feel of ‘space’ due to the light, windows, and elevation. All other MICKs were hit as well -- except the price was still ‘too high’ for what they wanted to spend.

But that price limitation had been set before they had seen everything in the market that might have fit them. So they made a very strong bid at 4:30 that same afternoon, strong enough to be accepted that evening. Having once been burned by an owner receiving a better offer after they signed the contract, they moved heaven and earth (and lawyers) to sign the contract on Monday. Done deal, awaiting closing.

An almost perfect loft. Sigh.

so what about a $1mm buyer?

If you are still with me yet doubt that buyers at $1mm will have a different experience, I have not made myself clear. Bounce me here, and let’s talk about that.

Jagger’s Law of Imperfect Lofts has not been repealed. No sympathy here.

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Mar. 15, 2007 - new at 9th + D / double secret probation above $1,100/ft

too numerous features to mention go unmentioned

Surprised as I was yesterday by a loft listing at 10^th St and Avenue C, here’s another one that is new this week one block south. Unit 4FW at 735 East 9^th St is said to be 1,215 sq ft of “extremely unique loft environment”, with “[f]eatures too numerous to mention”.

These unmentionable features must really be something to justify an asking price of $1.4mm (low, low, low maintenance of $547/mo) in a 4^th floor walk-up nearly at Avenue D. Pix look nice (as you’d hope at this point) but it is hard to go on pictures. The bathrooms are Waterworks and there is the tantalizing description on the Corcoran website “Custom … click below to see more”, but there is nothing live to click.

LakeWobegon lofts

In a world in which the average price per foot for Manhattan lofts was $1,083 in the most recent quarter (see the most recent quarterly market report from Miller Samuel), 4 flights up at this location does not seem to me to be above average. But perhaps for the community of artists in the immediate area there are special valuations….

The 1,600 sq ft unit next door at 4RW is in contract off an asking price of $980k, but I can’t find it on Corcoran’s site (same agent as 4FW). 4RW was sold as unlimited potential, so figure it was a gut renovation. Even at $200/ft for a renovation and a full ask purchase, this unit would be $100k less than 4FW with 33% more space. (If that is this listing description [it doesn’t seem to be] maybe 4RW is only 1,300 sq ft, but still….)

more head scratching

In looking for hints about 4RW next door I clicked on what appears to be the prior listing for 4FW, sold by the same agent (in her Closed Sales list). Our listing data base shows that 4FW was offered for sale for $875k last year. The pictures for that closed sale are the same as the pictures for the current sale with the unmentionable details. Here is the link to the closed sale of this same unit in June. Same pix, same floor plan, different text (not so much bragging, not so many dollars).

It gets more confusing…. Property Shark shows the sale price as $825k with a May 16, 2006 closing date. Property Shark also shows a building permit for 4FW issued in August 2006, so maybe they did all this unmentionable work after the May 2006 closing, but the Corcoran website historical listing pix are wrong. Maybe.

N.B., our building information for this address shows “0%” as the deductible portion of the maintenance, while Corcoran is silent on this point. If you go, ask about deductibility and 80/20.

Open House Sunday 1 – 2:30

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Mar. 14, 2007 - open houses off the beaten (loft) track / 454 W 46 + 430 E 10 + 7 Essex

not a Tribeca or Soho tour

I noticed three open houses on Sunday in neighborhoods far from the typical loft neighborhoods in “feel” if not in blocks.

gumbo or soufflé?

454 W 46 St is one of the peculiar buildings that – once you visit – will stick in your mind. I always thought the inner courtyard of “The Piano Factory” was more like New Orleans, but Abigail Agranat of PruDE things it Is more Parisian; since she is selling #1-ES we’ll go with “Parisian” for now. They are asking $995k, with maintenance of $974/mo.

Open House Sunday 1 – 2

This 1 bedroom + 1 bath unit is only 1,045 sq ft and has been “extraordinarily renovated by award winning architect Salcedo”. The space qualifies as a (small) loft because – in my view – it has the former industrial usage and open space. Other units in the building are much larger, though I can’t recall if the ceiling heights on other floors are higher than these on the first. But it is a loft building, so this must be a loft.

The last first floor sale that I see was #1BN last June, $1.19mm for 1,275 sq ft.

Props to anyone who can tell me what that thing is in the second-to-last picture … a hummingbird house??

send in the lawyers (clowns are optional)

I don’t think of the Area Formerly Known AS Alphabet City as a loft area, though certainly there have been many commercial enterprises there in the last 100 years. There is an opportunity to buy a full floor in a very different kind of loft building way past Tompkins Square Park at 430 E 10^th St 4^th fl .

As Sandra Douglas at Corcoran says, “[a]n absolute rarity”: 3,600 sq ft with 11 foot ceilings, plank floors, rustic columns and many steps (this is a top floor walk-up). Walking the steps aside, it may not be for the fain-hearted, as Sandra advises that the “”. So bring a lawyer wearing comfortable shoes.

Open House Sunday 1 – 2:30

Asking $2.195mm with $1,100/mo in maintenance. Need I point out there is no doorman? One of the more unusual loft listings of recent memory.

extra pickles with that?

Speaking of areas with a long-time business presence that are not conventional loft neighborhoods, there is a new loft building (2002 is new for this nabe) with an open house at 7 Essex St #5A. Near 10 foot ceilings, big windows and an open living + dining area apparently qualify this one as a “loft”, though I won’t quibble over such an interesting address for a loft.

Open House Sunday 2 – 3:30

Ernie Goldberg at Corcoran claims there are “breathtaking” Manhattan Bridge and downtown views to go along with the de rigueur chef’s kitchen and espresso-stained oak floors in this boutique loft. They offer no neighborhood discount for being five blocks east of the Manhattan Bridge: $1.65mm for 1,554 sq ft, with monthly charges of 1,239/mo.

The only recent sale I see in the building was #6A last September at a lusty $1.659mm. This one -- #5A -- has been for sale since August. #6B was the subject of some (gentle?) fun on Curbed back in December in the That’s Rather Hideous feature. It hasn’t sold yet, but there is an accepted offer on that one (same 1,554 sq ft but rather different … ummm ... decoration, asking $1.3mm).

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Mar. 14, 2007 - is it a One Bed Wonder? / keeping secrets at 249 W 29

3,000 sq ft with 1.5 baths

I missed the 11^th fl at 249 W 29 St when it came out the week before last. It has many appealing classic Manhattan loft features, including 4 exposures, 28 windows, central air conditioning, and a “huge” master suite. While it has a “second bedroom / den”, that room seems to be interior. More critically for the One Bed Wonder category (what is a One Bed Wonder?), there are only 1.5 baths. Most people with 3,000 sq ft just do not want whoever is sleeping in the “den” wandering in to that huge master suite to take a shower.

Hard to say, for sure, for sure, as there are no pictures or floor plan on the Atco web site. When Stribling had it for sale for most of 2005, they called it a one bedroom.

$1,000/ft?

They are asking $2.95mm (maintenance is a healthy non-doorman $3,289/mo). Always difficult to assess values without information about condition, of course, but #3N got almost $900/ft when it closed earlier this year (1,600 sq ft for $1.42mm), while #2E got $725/ft (2,000 sq ft for $1.425mm in December). Mathew McKay at Corcoran described #3N as “absolutely flawless” in his listing description and that unit has an “amazing” 250 sq ft terrace. Of course, the 11^th floor should have much better light and has 4 exposures – which may be enough to support $1,000/ft.

Cute that Atco assigns this address to the Manhattan “section” of the “middle Westside”.

Open House Sunday 1 – 4.

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Mar. 13, 2007 - new at 100 Greene St / uber chic for uber bucks

no verbal overkill

Looks as though Richard Orenstein at Halstead commits no BrokerSpeak Crime in labeling his new Manhattan loft listing at 100 Greene St 2d fl as "uber chic". This is one seriously dressed (though "mint & minimalist") loft.

glass bedroom walls!

Though it has some layout limitations, the 14 ft ceilings and nearly floor-to-ceiling windows and the use of glass walls in the two bedrooms dramatically open up the space. (My bedroom is never neat enough for a glass wall, but most folks are neater than I am.) That view and light through the bedroom glass walls are major components of the "absolute serenity" of the place. (Presumably, the glass walls [and curtains?] are as sound-resistant as a standard sheetrock wall.)

The layout is classic Long-and-Narrow, though at 23 feet wide, a bit wider than some. There are no side windows, but those front and back windows are awfully large - and the rear windows contribute light through those glass bedroom walls.

midnight milk is a short walk

The mezzanine office is an interesting visual element, with that lovely stair. Interesting result of the design choice was to have the kitchen adjoining the bedrooms, so there will be no place to escape the party. This is the second new loft listing today with at least one bedroom right off the kitchen (new at 241 W 36 St / $1,000/ft butâ€¦??) - a coincidence, I am sure.

They are asking $2.8mm (maintenance is $2,025/mo) for 1,800 sq ft "on SoHo's finest block". That is quite a premium to charge even for the neighborhood and renovation, but probably worth it to the right buyer (assuming the renovation is as nice and the light as plentiful as it looks).

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Mar. 13, 2007 - new at 241 W 36 St / $1,000/ft but…??

funny layout, full price

Peter Browne at Stribling has been making a pretty good Manhattan loft living in the West 30s for many years. His new listing at 241 W 36 St is #10F, is a nearly square loft with two long exposures in 1,800 sq ft, asking $1.85mm (maintenance of $1,518/mo). Maybe there are more pix coming soon, but I am having trouble reconciling the pictures and layout with the modifier “stunning”.

What are the yellow lines on the floor plan (glass brick walls?)? What are the two semi-circle doors? Does the curbed line represent a wall or a beam? Unless a beam, how do you get into the den? The second bedroom is (a) not very large and (b) behind the kitchen.

All things considered, I think this price is rather aggressive. This neighborhood does not generally command a premium. Peter’s other listing in the building is #6R, which is 1,700 sq ft asking $1.3mm and was on the market before with another firm.

I am also scratching my head over what the typo could have been that came out as “near Bryant Park”. Also wondering what the upgrade of “separate freight elevator with super attendant” might mean….

[1:30 PM weirdness update: Not sure what is going on with this listing, as it disappeared from the Stribling web site pretty much immediately after I finished reviewing it. Also Peter’s #6R listing in the same building….]

[3:30 post-weirdness update: both listings are back; both links work again; guess it was just a Stribling-dot-com hiccup]

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Mar. 12, 2007 - new this week 258 Broadway – is it #3B?

so new

This new Corcoran listing from Emily Stein at 258 Broadway has not hit our listing system yet, but I did get an email from her about it on Saturday, so it is still quite fresh as a Manhattan loft for sale.

what is that thing?

Said to be 1,100 sq ft with one bath and no bedrooms (text says it has a home office, however), it might be #3B (as the floor plan hints). Best I can tell from the pix, the home office is the bottom of ‘that (metal beam?) structure’, on top of which is a sleeping loft. But Ms. Stein’s not saying (yet). There is a renovated kitchen with the usual suspects (“top of the line appliances with Italian granite countertops”). She says “beautiful northern light”, so maybe it is not the third floor.

marginal One Bed Wonder

That could qualify as a One Bed Wonder (what is a 1 bed wonder?), except that there’s not much surprise in being a One Bed in only 1,100 sq ft of loft space. So I won’t count this unit in that category.

They ask $1.175mm (maintenance $1,313/mo), which is a bit aggressive for 1,100 sq ft, as I see that the 1,400 “designer renovated” sq ft #6E sold last May for $1.298mm, #6D (1,088 sq ft) sold for $900k in November, #5D in March 206 for $$950k, and #7E (1,900 sq ft that needed renovation) sold for $1.62mm in July.

Presumably, an open house to be set for the weekend.

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