From Downtown to Bushwick, Sales and Rentals Increase
By Dennis Holt
Brooklyn Daily Eagle
BROOKLYN — A new report shows that almost $1.4 billion changed hands in the third quarter of this year on buying and selling residences in Brooklyn. This is about $200 million more than was spent in the second quarter of this year and more than $300 million more than in the third quarter of 2010.
The report was published by Prudential Douglas Elliman and involved 2,219 properties. The sales involved condos, co-ops and one- to three-family houses.
In a separate report produced by Ariel Property Advisors, Brooklyn saw 36 multi-family transactions consisting of 39 buildings with a dollar value of almost $117 million. To be included in this report, a property has to have at least 10 housing units. The sales volume was sharply more than in the last quarter and the third quarter of 2010.
In yet a third report, the data show that rental prices have continued to rise since September in Brooklyn, with one-bedroom units seeing the greatest rent increases. The “hot” locations right now are Williamsburg and Bushwick.
These reports, and others, reflect new growth in the housing markets in Brooklyn as the country continues to shake off the effects of the great recession and residential units, once stalled, begin to appear for sale in neighborhoods.
The Elliman report shows that $648.8 million was spent on 984 one- to three-family houses. Some $523.4 million went for 834 condos, and $167.7 million was spent on 396 co-ops. In each category, third quarter results were higher than second quarter numbers.
Four general Brooklyn regions are broken out in the Elliman report. As usual, the market leader is the Downtown Brooklyn area, including the brownstone communities, with $496 million in sales that include properties in DUMBO, Red Hook and Gowanus.
The second largest market was southern Brooklyn, which is dominated by individual houses and generated $449.3 million in sales. Williamsburg and Greenpoint showed $271 million in sales, and eastern Brooklyn came in with $177.7 million.
Another sign that the Brooklyn housing market is turning around is the dollar volume for sales of development sites. This came to $161 million for the first three quarters of this year compared to $91 million for all of last year.
In October, The Wall Street Journal and The New York Times came with two large real estate catalogs and one more modest insert that showed what the firm of Halstead, Brown, Harris and Elliman had for sale. These inserts were very expensive four-color publications and would not have been produced unless the firms believed they would bring an adequate return on their investment.
With no duplications evident, 84 housing units in Brooklyn were shown, involving total asking prices of more than $111 million. Most of these were in the brownstone neighborhoods.
To no one’s surprise, the two brownstone communities that dominated the listings were Park Slope, with $36 million, and Brooklyn Heights, with $23 million.
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