New York’s real estate market beats to an entirely different rhythm to any other in the world. Here, we have everything; fast-paced transactions with property which changes hands rapidly sitting next to ancient buildings which have been held by the same families for generations. The recent sale of the family’s Greenwich Village portfolio perfectly represents the antique side of New York – the low-velocity, long cycle of property which rarely changes hands and are often the architectural and cultural heritage of the city.

This rare Village portfolio encompassed seven residential buildings which had been held by the same family for over 60 years. The portfolio was managed by the two brothers who ran the hands-on operation from their Greenwich Village office in their West 10th Street building. The owners were retiring and were selling simply because the investment had run its course.

Old Family – New to Market

The seven buildings which made up this West Village portfolio were the first the family had ever sold; the brothers inheriting the portfolio as the 4th generation of owners. They interviewed the range of brokers throughout the city to select the right partner with whom to entrust the sale. Above all else, the client was looking for a very high level of confidence from their team.

Optimizing Pricing

The New York Multifamily team achieved very well for the client both in terms of the financial results for each building and the timely manner in which the transactions were processed. This type of old-world New York real estate presents an excellent long-term acquisition for an investor in an area where opportunities rarely present themselves. This kind of rent-stable property rarely changes hands and is great for those who want to realize steady value over a long period of time.

Joe Koicim detailed what he felt was the critical point which made this deal go so well for everyone involved. “The splitting up of this portfolio was the key to the deal.”, he said. “We advised them to sell the properties individually in order to achieve premium pricing.”

NYM was able to optimize pricing by offering the buildings to a range of buyers, quickly establishing 5 different profiles for the seven different buildings. “By splitting the portfolio, we were able to produce the best and highest paying purchaser for each property. Each investor recognized the value of the property and was willing to pay the premium price to secure it. For example, we were able to source a buyer for Perry Street that closed in one day for $18,000,000, in cash. With no financing and no diligence due. That’s pro.”

The team also achieved full asking price on a West 10th Street asset. Joe explained that the family kept good accounts, which helped him with accurate forecasts and financial planning. He finished by saying, “We know the importance of client-broker relationships at this level. I’m thrilled that we managed to go beyond the client’s expectations and achieve very well for them at the time when they had decided to realize their very, very long-term investment. The family and the portfolio were a pleasure to deal with.”