In the third quarter of 2023, Manhattan saw a decrease of 40 percent in new development contracts signed compared to the previous quarter and a decline of 30 percent from the same period in 2022. According to Brown Harris Stevens’ analysis, the average price for these contracts was $3.7 million, which is a drop of ten percent from Q2 but an increase of nine percent from Q3 last year.
Chelsea was identified as the most active neighborhood in Manhattan during this time, with 500 West 18th Street being named as the top-performing building. In Brooklyn, there were also fewer new development contracts signed (215) compared to Q2 – representing a decline of42percent- with Williamsburg being noted as themost active neighborhood and710 Metropolitan Avenue asthe most popular building.
Queens experienced similar trends with only102newdevelopmentcontractsbeingsignedinQ32023andatotalcontractsalesvolumeof$103million.Thisrepresentsa45percentdeclineincontractssignedfromQ22023.LongIslandCitywasthemostactiveneighborhoodwhile45-30PearsonStreetwasidentifiedasthemostactivebuilding.
The numberofnewdevelopmentcontractsbeingsecuredbyNewYorkerssawadecreaseinthethirdquarterof2023.ThesedeclineswereobservedacrossManhattan,Brooklyn,andQueenswithChelseaandWilliamsburgemergingasmostactiveneighborhoodsand500West18thStreetand710MetropolitanAvenuebeingthemainperformingbuildings,respectively.Inaddition,LICwasnotedashighlyactiveareaforQueenswiththebuildinglocatedat45-30PearsonStreetgainingattention.TheseobservationsarebasedonananalysisconductedbyBrownHarrisStevensonthenewdevelopmentmarketduringthisperiod.
