NY housing deal crumbles and rents are on the rise

Welcome to Traded’s weekly newsletter where we give you the top New York CRE news and deals to start your morning ahead of the curve, in 5 minutes or less ☀️☕💰

What We’re Serving Up Today

• The stalled NY housing deal and the potential fallouts

• Mixed reviews on the future of office

• What’s on the horizon for Brooklyn developments

• A $1.2B NY construction loan portfolio has been sold

The DIRT 📈

Daily Interest Rate Tracker

What You Need to Know 🗞️

1. 🏛️ NY Housing Deal Crumbles, Developers in Limbo: The deal had huge incentives for developers, landlords, and eviction protections for tenants, but it fell apart at the 11th hour due to Gov Hochul’s refusal.

2. PacWest Offloads $1.2B NY Construction Loan Portfolio: In a bold, strategic move, PacWest is selling its NY construction loan portfolio to Cain International, following a string of strategic asset sales to regain stability.

3. 💰 Manhattan Rents Keep Breaking Records: For the third consecutive month, apartment rents have smashed records, hitting a median of $4,395 in May. Meanwhile, Brooklyn's not left out, marking a new high in rents.

4. The Tale of Two Office Outlooks: JLL CEO predicts “the worst is over” while PGIM CEO says an office purgatory is looming. What’s your take?

5. Brooklyn's Overlooked Waterfronts: Developers are eyeing Brooklyn's waterfront neighborhoods as the next frontier for rental housing and condo projects, driven by a desire to capitalize on growing demand for more space, greenery, and amenities.

6. CRE Warnings from Goldman CEO & Treasury Secretary: Solomon and Yellen expressed concern ahead, both flagging remote work and higher rates straining banks. Solomon said the write-downs should remain manageable for larger banks, while smaller institutions may face greater challenges.

Closing Time 💰️

This Past Week in NYC: 43 deals closed over $2M… 28 deals over $4M… 17 deals over $8M… 7 deals over $20M… 3 deals over $60M… OVER $590M in closed transactions… Get to work 💥 

Trending from last week

One More Thing…

OVER AND OUT!

Want more content? We don’t blame you. You can find more at traded.co 

HAPPY TRADING! …we’ll be back next Tuesday 😈