In spite of a global economic recession, the last five years have seen a nearly unprecedented rise of investment real estate sales in New York City. Due in large part to an influx of money from foreign investors, property in Manhattan is a more valuable commodity than ever.
Evidence of this dramatic swing in the real estate market can be found in the renewed development of Upper Manhattan. Last year, investment sales figures in Upper Manhattan spiked from $2.17 billion in 2013 to a whopping $3.2 billion – nearly a 50 percent increase in sales volume in just one year.
So what’s driving investors to properties in Upper Manhattan? Multi-family properties constitute the bulk of the sales in Upper Manhattan last year. Likewise, we can attribute much of the growth in the area to its appeal as a great place to live. Whereas upper-middle class families left cities in pursuit of the suburbs in the 1970’s, rising energy prices and declining crime rates have guided twenty first century families back to centers of urban development such as Manhattan.
Economic analysts have identified a number of variables that make this area particularly desirable for high-end investment. Convenient public transportation, proximity to public parks, and easy access to Midtown make the neighborhoods in Upper Manhattan ideal sites for reliable investment returns.
By all accounts, New York City has established itself as a hub of real estate investment opportunity. As long as New Yorkers continue to call the city home, the growth trend is likely to continue into the foreseeable future.
For further updates on the NYC real estate market, stay tuned for more information from Robert Khodadadian of Skyline Properties.