Commercial transactions in NYC continue to see a steady increase in Q3 2012, reaching their highest point since the 2008 market meltdown. PropertyShark’s Quarterly Commercial Real Estate Report for NYC shows there were 914 sales closed this quarter, up 9% over the previous quarter and 25% over the same quarter last year.
The total sales volume was $6.06 billion, representing a modest growth of 4% compared to Q2 2012 and a not-so-modest drop of 36% year-over-year. In Q3 2012 the segment with the most encouraging activity continued to be the office spaces, bringing $3.66 billion in sales, up 22% quarter-over-quarter.
What’s noteworthy, however, is that 2 major office building sales accounted for almost 20% of the total commercial sales volume for the entire quarter (just over $1.2 billion together).
Here are the first two largest commercial sales of Q3 2012:
450 Lexington Avenue, Manhattan, NY.
#1. 450 Lexington Avenue, Manhattan, NY.
Sale price (Source: The Real Deal): $720,000,000
Sale date: September 10, 2012
The scoop: The 910,000 square-foot Midtown office building was bought by Long Island-based RXR Realty after an agreement was closed at the beginning of July, according to The Wall Street Journal. The building was valued at $600,000,000 in 2006, when it was purchased by Dubai-based Istithmar World Capital, and it has an almost full occupancy rate.
25-01 Jackson Avenue, Queens, NY
#2. 25-01 Jackson Avenue, Queens, NY
Sale price: $481,093,581
Sale date: July 18, 2012
The scoop: The iconic One Court Square, the tallest building in Queens, was purchased by a group of Israeli investors from giant investment trust SL Green at $350 per square foot, according to The Real Deal. The tower is leased entirely by Citibank until 2020.
The other major commercial transactions can be checked out in the report.
The break-down by borough places Manhattan in first place (75% of total sales) and Queens, not Brooklyn, in second place, because of the One Court Square transaction.