New York City is known for being one of the hottest real estate markets in the world; where the battle for tenants has escalated between luxury properties. Marble countertops, sweeping views and porcelain bathrooms with expensive fixtures are just some of the weapons of choice developers use to lure possible tenants.
High end apartment buildings have become increasingly popular as a way to draw renters to Brooklyn’s hip and expensive rental market. What is surprising is that the presence of these luxury buildings has done little to curb prices. The average rental cost in Brooklyn is well above $3,000 per month (Douglas Elliman shows).
At least a dozen new high-end apartment buildings hit the Brooklyn market in 2016, this according to a report by Curbed; and more are on the way. With so many buildings in the market, how will they compete to get the attention of potential tenants?
Real estate developers like Gotham Organization has been doing special events for residents over the years; like rooftop concerts with guests like Lady Gaga, in one of their properties in Manhattan. David Picket, president of the Gotham Organization, told CNBC they are attempting to do the same in Brooklyn. “Staying on the cutting edge of the luxury building market, which rents units for a median price well above average — around $6,000 —is sort of like an arms race”
Gotham’s new development is called “The Ashland” and it is planned to open in Fort Green. The concept behind Gotham’s Ashland centers around food and entertainment in a space called Gotham Market at the Ashland. Here, tenants can order a variety of food from vendors around the neighborhood and in the building and spend time eating together in a communal space. The market will offer wine tastings and pop-up booths inside the market.
Picket explained why this is the focal point of the amenities package; stating “There’s nothing quite as communal as breaking bread and sharing a meal… It’s the way we bring our tenants together because we feel that community in our buildings is important,”
But that isn’t all the Ashland has to offer. A bar area, concerts, movie screenings, views of the city, a gym with classes included, and much more are part of what this complex has to offer.
Gotham’s Ashland isn’t the only project targeting high-end living in Brooklyn. 365 Bond Street, in Carroll Gardens is also another complex that is offering a very attractive selection of utilities.
365 Bond Street “actually feels like a really unique boutique hotel, and feels quaint even though it offers all the amenities,” said the senior vice president of development at the Lightstone Group, Scott Avram; who oversees the development 365 Bond Street.
Despite all the wonderful experience developers are creating for tenants, the price of admission doesn’t come cheap. The prices range from $3,000 a month for a one bedroom and $6,600 for a two bedroom.