At a recent taping of The Stoler Report, I was on a panel discussing the investment sales market in New York City and Michael Stoler asked us what we thought the best opportunities were in the market today given that many participants feel we are at or near the top of the present cycle.
I mentioned four areas where I saw opportunity. The first was any prime property in the Manhattan submarket. It is clear, even if we are at the top of the cycle, that if prime properties are not overleveraged, they will perform very well over the long run as we have seen the peak of each successive cycle significantly exceed the peak of the previous cycle. Another area where I see opportunity is anywhere in the outer boroughs around major transportation hubs. Affordable and workforce housing is essential for the future of the city and increasing zoning density is really the only way to effectively get there. Pragmatically, the City Planning Commission will increase densities around transportation hubs, which will increase property values there. Read More