Who loves Bed-Stuy more; well-experienced homebuyers or nerdy preservationists? The prices paid for properties in the historic neighborhood suggest the answer is BOTH.
Ban Loew, an agent at Halstead, told the Brooklyn Eagle, townhouses on Bed-Stuy’s “great blocks” are selling for around 10 percent more than their asking prices.
Around two years ago, institutional purchasers such as Dixon Advisory USA were very invested in the neighborhood. So much so that the institution has a property fund listed on the Australian Securities Exchange which owns Brooklyn rowhouses and other metro New York residential real estate.
According to Leow, Dixon was in the habit of outbidding other potential Bed-Stuy homebuyers. But now institutions are more selective with what properties to buy and are more willing to negotiate. In 2016, townhouses in Bed-Stuy sold for $1.2 million to $2.6 million.
Prices vary from block to block. For example, homes in Stuyvesant Heights and west of Malcolm X Boulevard command higher prices. Proximity to trains is what makes a difference in pricing. “Bed-Stuy East will see a surge in pricing as some of these prime areas … are not affordable anymore,” Leow said.
The past election had an effect on the sales market, which slowed a little in the summer, Leow said. Now that the election is over, consumer confidence is back and the Bed-Stuy townhouse market is expected to be “stable” in 2017.
Here’s an example of Bed-Stuy deals that were done — or lined up — in 2016:
– City Finance Department records indicate 114 MacDonough Street was bought for $1.85 million. The 1890 French Neo-Grec house was acquired by members of the Calcott family of Berkeley, California.
– An LLC with Junhui Jia paid $1.5 million for 103 Hancock Street. The 1880s-vintage Neo-Grec brownstone is located in the Bedford Historic District and was built and owned by Susanna Russell.
– American actor, singer, dancer and Civil Rights activist Lena Horne’s property at 519 Macon Street, is in contract. The asking price according to Corcoran’s website was $1,899,999. The house was built in 1890.