A recent sale in our building? The available studio on the first floor closed in early December. Apartment 1U went for $84,200 which is $65,800 under the original asking price of $150,000.
Why so low? I am told it was a cash sale, which may have helped the buyer in negotiations. I’m also told that the buyer is a local man whose family has lived in the area for generations.
I looked at the space in person when it was first offered. Although a very nice size for a Brooklyn studio, It’s pretty small for a purchase. What I mean by that is– Apartments of that size seem more like something you rent than something you buy. I’m guessing the sponsor was willing to deal knowing that another offer might not come in any time soon.
Apartment 1U opens into a nice sized foyer, which I think would make a great space for clothes storage and a desk. The bathroom is the expected size, but is in classic sponsor-bathroom disrepair. The living/sleeping space is a similar size to most of our living rooms but with a tiny alcove kitchen attached. Nice floors, front facing.
To give you a sense of what a steal this sale is, let me tell you about the studio I bought just over two years ago. Mine is roughly 150sf bigger than apartment 1U making it pretty big for a Brooklyn studio. It has a large separate kitchen (similar in size to the kitchens in the O and B lines). The deal went down at $183,000. Yes– that’s almost $100,000 more than apartment 1U. Ouch– that smarts!
Personally, I’m mixed about the sale price of apartment 1U, but leaning toward the positive. There is no denying that it’s low. We all know it casts a bit of a shadow on sale prices. That said, if this is a sign of the sponsor’s willingness to continue being more reasonable in his negotiations and thus selling off his shares– I am all for it. I think we can afford to ride out low sale prices in this market. It’s not like it’s a good time to put our places on the market anyway, right?
