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    Home»Real Estate News»Why New York’s New Development Fell Flat in 2025

    Why New York’s New Development Fell Flat in 2025

    Team_WorldEstateUSABy Team_WorldEstateUSAJanuary 9, 2026No Comments4 Mins Read
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    Consumers searching for new condos in 2025 confronted a steep climb. 

    New improvement contract signings had been down 11 % in comparison with 2024, in line with Marketproof data masking offers closed in 2025. 

    The perpetrator for the lackluster contract numbers was not an absence of demand, in line with Marketproof CEO Kael Goodman, however a dearth of fascinating buildings. 

    “It’s all a perform of the product,” he mentioned. “If the product is sweet, folks will purchase it. If the product is much less fascinating, even in this kind of market, it simply sits there. 

    That phenomenon was seen within the sturdy gross sales figures a variety of newer buildings posted, mentioned Stephen Kliegerman, president of Brown Harris Stevens Advertising Improvement. Alternatively, when patrons can’t discover a appropriate condominium, they haven’t been taking the subsequent smartest thing. 

    “Consumers are ready a bit bit to have both product in areas that they’re extra involved in, or sizes or worth factors,” he mentioned.  

    Each Manhattan and Brooklyn felt the stock squeeze. 

    In Manhattan, contract signings fell 12 % yearly to simply over 1,400, in line with BHSDM. Regardless of the dip in contracts, whole stock within the borough fell roughly 13 % to simply beneath 3,600. 

    The deal quantity within the borough fell by 3 % to $6.5 billion, pushed by what BHSDM estimates is almost $1 billion in gross sales at 80 Clarkson, the ultra-luxury downtown providing from Atlas Capital Group and Zeckendorf Improvement. In December, the constructing inked a $129 million deal for a number of items, which might be a downtown document if it closes at that worth. 

    The constructing has but to report gross sales numbers, however even including in its estimated contracts makes a boring 2025 look solely a lot rosier. 

    In Brooklyn, there have been simply over 1,000 new improvement contracts signed, 6 % down from 2024, in line with BHSDM. On the similar time, the provision of latest condos within the borough fell 19 % yearly to simply above 1,300. 

    In contrast to Manhattan, the place pricing has been practically flat over the past 10 years, Brooklyn’s worth per sq. foot rose 44 % in that point to $1,385, pushed by an outsize variety of gross sales occurring at expensive waterfront developments like Two Bushes’ condominium at One Domino Square and Naftali Group’s residential providing at One Williamsburg Wharf. 

    A shock prime performer

    Consumers searching for one thing new discovered it, in a approach, at 125 Greenwich Street, the top-selling constructing within the metropolis in 2025, in line with Marketproof. 

    Generally known as The Greenwich, the 272-unit condominium re-launched gross sales in 2024 following a turnover within the improvement staff and a constructing rebrand in 2023.  

    A Douglas Elliman Improvement Advertising Staff led by Stacey Spielman put 64 items into contract in 2025, in line with Marketproof. The gross sales efforts possible benefitted from steep worth drops, with newly listed items asking on common 25 % lower than they had been earlier than 2023. 

    However the constructing additionally hit some noteworthy milestones, promoting its first handful of items asking no less than $4 million, together with a 79th-floor asking $5 million, or roughly $3,000 per sq. foot, in line with Marketproof. 

    Glacier Equities and InterVest Capital Companions’ mission at 720 West End Avenue netted 59 contracts, proper behind The Greenwich. 

    Each buildings’ success this 12 months proved “that when you discover your worth level issues do transfer rapidly,” in line with Kliegerman. 

    In Brooklyn, One Domino Sq. scored 49 contracts for over $130 million, in line with the report from BHSDM. 

    No reprieve in sight

    Regardless of the lackluster numbers in 2025, there’s no signal that 2026 — and even 2027 — will likely be any higher for patrons. 

    In Manhattan, BHSDM initiatives a mean of just below 1,300 items to come back on-line in every of the subsequent two years, lower than the full contracts signed this previous 12 months. 

    In Brooklyn, the state of affairs is much more stark. Within the subsequent two years, BHSDM initiatives a mean of roughly 580 items to be delivered, regardless of the borough averaging over 1,000 contracts per 12 months. 

    If deal numbers fall quick once more in 2026 although, don’t blame patrons, mentioned Kliegerman. 

    “We imagine very, very firmly that there’s a whole lot of demand for product, however that the dearth of latest product is definitely creating much less transactions, not that patrons aren’t involved in buying,” he mentioned.

    Learn extra

    New York new development has a looming inventory crisis


    Inventory Issues Continue To Plague New York City’s New Dev Market

    Low inventory, hidden contracts drive new dev swoon


    No new launches? No problem for new dev market






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