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If At First You Don’t Succeed, Try Another Price Cut

Two reports from Curbed Hamptons in New York. “Just last month, we featured the the extremely private oceanfront home on nearly 36 acres of reserve at 42 Old Montauk Highway in Montauk. At the time, the home was listed for $48 million, but after a recent price cut, the property is now asking $39.5 million.”

“We’ve featured the pondfront Sagaponack home at 443 Sagg Road a few times in the past: Once when it came on the market back in 2016 for nearly $15 million, and then again about a year ago when it relisted for the same price.”

“Shortly after relisting, the price went down to $13.75 million. Now, almost a year later, its received another price cut. Under Bespoke Real Estate, the property is on the market for $11,995,000.”

From Curbed New York. “The penthouse at Nomad’s opulent 212 Fifth Avenue has seen all sorts of price fluctuations over the years. In its latest outing on the market, the 10,000-square-foot condo is now asking $62.8 million, an $11 million drop from its previous asking price of $73.8 million, in November last year.”

“The Crown Penthouse, as this massive condo is officially known, first appeared on the market in 2016 for $68.5 million, making it one of the most expensive homes for sale at the time (it’s still one of NYC’s most expensive homes for sale even after the latest price cut).”

The Real Deal on New York. “If at first you don’t succeed, try … turning your condo project into a rental? That’s the approach Cohen Goldstein Investment Strategies is taking with its condo development at 318 East 81st Street. The project is now being marketed as a ’boutique collection of six full-floor rental residences’ — and some previous sales listings have been taken down.”

“In a condo plan filing last year, the developer was aiming for a $25 million sellout. Four units were listed for sale in August, with prices ranging from $3.7 million to $4.5 million, StreetEasy shows. Now the building’s five active listings are rentals.”

“The change comes as the market slowdown has been particularly tough on high-end condos. The slump in the sales market has driven some would-be buyers to take refuge in the rental market while they wait for prices to come down and tax law changes to play out. Subsequently, owners are increasingly listing properties for both sale and rent. So far this year, through Sept. 1, the number of homes listed simultaneously for sale and for rent increased 51 percent to 1,087, according to a recent report citing StreetEasy data.”

The Boston Business Journal on Massachusetts. “Millennium Tower’s grand penthouse is now listed for $45 million, a figure that would smash the previous record for a residential sale in Boston. Private equity billionaire John Grayken set that record in 2016 when he paid $35 million for the 13,256-square-foot penthouse.”

“Of course, a listing price does not necessarily telegraph a final purchase price. The Millennium Tower penthouse had initially been listed at $37.5 million prior to Grayken’s $35 million purchase. And the most expensive residential listing in Massachusetts — a 14-acre Brookline estate — has dropped from $90 million to $69 million since first being listed in 2016.”

This Post Has 13 Comments
  1. Sure is a lot of sawin’ and a slashin’ going on. Larry Yun might want to reconsider his “no bubble” call.

    ‘the most expensive residential listing in Massachusetts — a 14-acre Brookline estate — has dropped from $90 million to $69 million since first being listed in 2016’

    DONG!

  2. “…home was listed for $48 million, but after a recent price cut, the property is now asking $39.5 million…”

    Quite a haircut (~18%), even among the uber-rich.

    The local taxing agencies [ie. property tax] must be getting pretty nervous.

    Where are the big [tax] bucks going to come from to pad all those civil servant salaries and pensions?

      1. Wake me

        We tried Oxy, by golly we tried.

        Buying a house at a stratospheric price while sacrificing decades of earnings to pay the loan shark as the house hurtles into decrepitude should be sufficient wakening.

        1. Heh, in late 2011 when I bought, middle class housing had dropped 35-40% from 2006 peak and even then end consumers weren’t bidding. That was enough woke for me.

  3. Here’s some news from Scottsdale. Peter Lynch’s 14+k sqft mansion going up for auction! Currently listed at $9.5M. According to Zillow the price started at $15M in 2008 and has been reduced and relisted multiple times since then.

    The first link is the “news article”, more like marketing attempt. No mention of price cuts.

    https://azbigmedia.com/stunning-scottsdale-estate-being-sold-to-highest-bidder/

    https://www.zillow.com/homedetails/27341-N-102nd-St-Scottsdale-AZ-85262/67757765_zpid/

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