Manhattan apartment seller takes $12 million loss on Billionaires’ Row condo

One57 constructing within the skyline of New York City as seen from the Rockefeller Center Observation Deck.

Roberto Machado Noa | LightRocket | Getty Images

The seller of a luxurious condo apartment on Manhattan’s Billionaires’ Row took a loss of at the very least $12 million to dump the property, in keeping with public filings.

The 4,500-square-foot condo at 157 W. 57th St., or One57, went into contract final week after being listed for $22.5 million, in accordance the Olshan Luxury Market Report, which tracks Manhattan gross sales contracts. The buy value is unknown, and brokers declined to remark on value or the id of the patrons or sellers.

The apartment was bought by the seller in 2014, on the peak of the Manhattan actual property craze, for $34 million. Assuming that it offered for under the itemizing value — which is probably going within the present market — the seller took a loss of about $12 million or extra.

“This is the best buyer’s market I’ve seen,” mentioned dealer Ryan Serhant, who suggested the patrons and not too long ago launched brokerage and advisory agency Serhant. “The smart purchasers are taking advantage.”

The multimillion-dollar loss highlights the dramatic declines in worth and the wealth destruction skilled by patrons who paid high greenback for the glamorous super-towers in-built midtown Manhattan. One57 was the king of condos in 2014 — it was the tallest residential constructing within the metropolis on the time, hovering greater than 1,000 toes, with a screening room, artwork atelier, personal health middle and a Park Hyatt on the decrease 18 flooring. The penthouse of One57 was offered in 2014 for $100.5 million to tech billionaire Michael Dell.

Even earlier than the pandemic, One57’s fortunes have been turning. An even taller condo tower was rising subsequent door and there was a glut of latest condo flats in midtown. State and native tax modifications in 2017 made issues even worse. Resale costs at One57 started to slip. Then got here the coronavirus pandemic, and New York City residents moved to the suburbs. Apartment gross sales in Manhattan fell 46% within the third quarter, with common costs dropping anyplace between 5% and 10%.

An apartment on the 88th ground offered in May for $28 million, which was $19 million lower than the seller paid in 2014.

The unit that went into contract final week, 58A, on the 58th ground, has three bedrooms and 4½ loos, with a sweeping dwelling and eating room overlooking Central Park. It’s been on the marketplace for greater than six months with the itemizing value dropping from $24.8 million to $22.5 million.

Serhant mentioned the patrons are New Yorkers.

“They’re local,” he mentioned. “They’re excited about the prospect of buying a trophy home at a discount.”

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