DOWNTOWN MANHATTAN CONDO PRICES SURGE AS
APARTMENT SALES HIT 10-YEAR HIGH IN 2004


Prices for Condos South of 42nd Street Outpace the Rest of Manhattan, Hit Median Price of $667,000; Median Price for Coops South of 42ndStreet Rise 19%

New York, NY – Mar. 10, 2005 -- Median prices for condominiums south of 42nd Street exceeded other geographic areas of the borough for the first time in 2004, reaching a median sales price per unit of $667,000. The increase was predominantly driven by condominium sales south of 14th Street, where prewar condos surged to a median price of $1.275 million. This information is according to reports released today by the Real Estate Board of New York (REBNY).

“For the first time since REBNY has been tracking apartment prices, the Downtown median sales prices for condominiums, which includes apartments south of 42nd Street, have been higher than both the Upper East Side and West Side,” said Steven Spinola, REBNY President. “The prewar condo units in this area surged to a remarkable price exceeding $1.1 million, clearly demonstrating the desirability of the area.”

Median condominium sales prices for the East Side reached $630,000 in 2004, up from $608,000 the year before. On the West Side, median prices for condominiums hit $650,000 per unit, an increase from $590,000 in 2003.

Median cooperative sales prices south of 42nd Street increased to $475,000 from $400,000, while median sales prices for East Side cooperatives increased to $741,000 from $645,000. In Northern Manhattan, cooperative median sales prices climbed to $397,000 from $350,000.

REBNY also reports that the number of apartments sold in Manhattan hit a 10-year high in 2004, with 9,481 recorded condominium and cooperative apartment sales. The number of sales increased 33% compared to 2003, with a total number higher than any year since 1995.

REBNY’s Cooperative and Condominium Reports, the most comprehensive available for the Manhattan market, noted a 39% increase in the number of cooperative sales to 4,190 from a year ago, and an increase of 29% for condominium sales to 5,291.

“These reports -- which are Manhattan’s most comprehensive because they incorporate data from all of the major brokerage firms both large and small – have shown the highest number of sales in 10 years. The reports continue to demonstrate that rising prices across the board and modest interest rate increases have not dissuaded homebuyers from jumping into the New York real estate market,” added Mr. Spinola.
For condominiums, the addition of five major condominium developments in Manhattan, most notably One Central Park and 1400 Fifth Avenue pushed up prices on the West Side and Northern Manhattan. Overall, the average sales price for condominiums rose 19% to $969,000 and the median sales price increased 12% to $640,000.

The cooperative report had the following additional findings:

Neighborhood
• Downtown average sales prices climbed 31% to $680,000.
• The East Side increased 15% in both average and median sales prices to $1,266,000 and $741,000 respectively.
Apartment Type
• All bedroom categories had double digit increases. Studios were up 18% to $446,000; two- and three-bedrooms rose 12% to $1,122,000 and $2,248,000 respectively.
• Average sales price for a prewar cooperative unit Downtown rose 29% to $743,000.
Price Per Room
• The average price per room increased by double digits for all Manhattan neighborhoods. Downtown and Northern Manhattan had the largest gains, each 28% higher than 2003, to a price of $188,000 and $111,000 respectively.
• Average prices Downtown continued to climb with the cost per room for a prewar unit rising 24% to $197,000 and postwar cooperative apartments up 29% to an average price of $175,000 per room.

The condominium report had the following additional findings:

Neighborhood
• The West Side average sales price rose 34% to $1,096,000; the median price of $650,000 represents a 10% increase.
• The average sales price for Northern Manhattan climbed 27% to $307,000.
Apartment Type
• West Side postwar apartments saw their average sales price increase 34% to $1,162,000.
• Pre and postwar units Downtown increased 26% to an average sales price of $1,447,000 and $721,000 respectively.
Price Per Square Foot
• A prewar unit in Northern Manhattan costs an average of $445 per square foot, an increase of 58% from 2003. The median price per square foot in the neighborhood was $371, 54% higher than last year.
• Postwar units on the West Side and Northern Manhattan saw their average price per square foot rise 27% to $953 and $385, respectively.

About the Cooperative Report
The Real Estate Board of New York compiles its annual report through confidential surveys provided by the city’s major residential brokerage firms. Individual brokers submit cooperative transfer data, which is not available to the public. REBNY then publishes this condensed version of its survey to help buyers and sellers determine current fair market values. The full report is circulated exclusively among the participating brokers who provide the sales data.

About the Condominium Report
The Quarterly Condominium Report is compiled by REBNY from recorded condominium transfers.

About REBNY
As the oldest and most influential real estate trade association in New York City, The Real Estate Board of New York represents major commercial and residential property owners and builders, brokers and managers, banks, financial service companies, utilities, attorneys, architects, contractors and other individuals and institutions professionally interested in the city’s real estate. REBNY is involved in crucial municipal matters including tax policy, city planning and zoning, rental conditions, land use policy, building codes and legislation. In addition, REBNY publishes reports providing indicators of market prices for both the residential and commercial sectors.
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**To obtain a copy of the reports please contact Cara Marino at (212) 889-0808 x 25.