NYC Real Estate Assessed At $1T
New preliminary tax rolls reveal rising values for both residential and commercial properties have brought New York City’s total market value for taxable property to $1.072T for the fiscal year beginning July 1. This is a 10.6% increase from the $969.4B reported earlier.
Midtown Manhattan Vacancies To Rise As Large Offices Empty
According to a draft report by Savills Studley, about 21M SF of Midtown Class-A offices—about 14% of the total market—will be available by 2017. At 11.8% in Q4’15, Midtown office availability has already begun approaching the pre-recession-era peak, Bloomberg reports. The rise in vacancies has been caused by a variety of factors, including new constructions like Hudson Yards.
Another Tall Tower South of Central Park?
Cushman & Wakefield has released renderings for another massive tower on Billionaire’s Row south of Central Park. Called “the 6 Hotel,” the 700-foot tall mixed-use building would feature 18k SF of retail spread over six floors, 53k SF of residential and commercial space and 19k SF devoted to “additional air rights.
Goldman Sachs To Shell Out $5B To End CMBS Investigation
Goldman Sachs CEO Lloyd Blankfien says the massive firm will pay $5.06B to end federal and state investigations of its underwriting and sale of mortgage-backed securities from 2005 to 2007. The investment banking giant will pay $2.3B in civil penalties, $875M in cash payments, and $1.8B in consumer relief to settle all claims. According to Law 360, the payout will lop off $1.5B from Goldman Sachs’ after-tax earnings. Goldman Sachs is the latest in a line of big banks to settle with the Department of Justice for very similar MBS investigations since 2013. Other settlements have included JPMorgan Chase ($13B), Citigroup ($7B), Bank of America ($17B) and Morgan Stanley ($2.6B, which cut profits by 46%).
WeWork Begins Testing Its First Residential Offering
About 80 WeWork members and employees have moved into 45 apartment units in WeWork’s first "coliving" space at 110 Wall Street (which also serves as Bisnow’s HQ). The project will eventually house about 600 people on 20 floors. Along with living accommodations, residents will have access to community events like fitness classes and potluck dinners, cleaning and laundry services, and a digital social network—all of which can be coordinated through a mobile app.
Macy’s Considers Adding A Tower To Iconic Herald Square Store
Macy's is considering placing a tower (or two) on top of its famous 34th Street-Herald Square location. The struggling retail giant has been looking for ways to profit from its real estate holdings, but will have to check local zoning laws if they wish to pursue this project.
REBNY Gala on Jan. 21
The Real Estate Board of New York is holding its 120th Annual Banquet Thursday night at the New York Hilton. Honorees this year include The Brodsky Organization managing partner Daniel Brodsky, the Stacom family, Douglaston Development chairman Jeffrey Levine, and Savills-Studley senior managing director William Montana, among others. Bisnow will be there in force, and tickets are still available for New York real estate’s premier event of the year.