New York City’s new development market continues to be a story of two markets.
Contracts signed for brand new condos in Manhattan asking $10 million or extra almost doubled within the second quarter from the identical time final yr to 38 from 21, marking the second consecutive interval the place the high-end market made up half of all offers signed within the metropolis, in keeping with Brown Harris Stevens Growth Advertising and marketing.
The 56 contracts signed final quarter marked a document for any interval this decade.
“The $10 million-plus market is having a banner yr,” stated BHSDM’s Robin Schneiderman, regardless of quite a lot of components that appear like they might muck up exercise, together with a pied-á-terre tax that went into impact on July 1, excessive mortgage charges and financial shocks from the struggle in Iran.
Not included in BHSDM’s tally was one of many prime contracts signed all quarter, an $80 million deal signed in June at Zeckendorf Growth and Atlas Capital Group’s 80 Clarkson. The notoriously quiet undertaking in Could lastly released data on its first 22 contract signings, all of which have been inked in 2025.
Total, contract exercise within the quarter fell 17 p.c from final yr to 311 and contract quantity was $1.5 billion, barely above the 10-year common of $1.4 billion for Manhattan.
Though common sale costs jumped within the quarter due to the shift in direction of luxurious houses during the last yr, common new growth closing price-per-square-foot was up solely barely to $2,131 from $2,053 through the second quarter of final yr.
In the event that they construct it, it’s going to promote
Analysts have cited town’s dwindling new growth stock as the principle wrongdoer behind a lackluster market in 2026.
The second quarter noticed 112 new items launch, leacing provide on the finish of the quarter at roughly 3,100 items, round three-fifths of what the typical out there stock has been during the last decade.
Nearly 40 p.c of obtainable items are concentrated in 5 buildings, 4 of which launched gross sales 5 or extra years in the past.
Regardless of the robust efficiency from the highest finish of the market, the best-selling buildings from the quarter nonetheless tended to be lower-priced initiatives.
Related Companies’ Strathmore development at 400 East 84th Avenue inked 38 contracts final quarter at a mean asking value of over $1,700 per sq. foot, in keeping with Marketproof. A Corcoran Sunshine staff launched gross sales there in October.
In response to a Serhant New Growth report, months of remaining provide — a ratio of obtainable items to contract signing — is close to 4 months for items asking $3 million or much less, a sign that the weak contract numbers for cheaper buildings are a perform extra of provide points than weak demand.
“We’d like some new stock to see what the state of the market is,” Schneiderman stated, including that when well-priced new condos enter the market they “get absorbed at a wholesome tempo.”
Gradual time in Brooklyn
Brooklyn noticed contract signings fall to 222 from 230, in keeping with BHSDM.
However the borough noticed consumers gravitate in direction of luxurious choices, pushing contract quantity to rise within the quarter to $450 million from $391 million.
Provide expanded within the borough because the 331 new items launched within the quarter outpaced contracts signed.
Two Bushes’ One Domino Sq. put 12 items into contract within the quarter, in keeping with Marketproof. Together with Naftali Group and Entry Industries’ Williamsburg Wharf, the initiatives on the Williamsburg waterfront have been main drivers of exercise within the luxurious new growth market during the last yr.
In June, a penthouse at One Domino Sq. scored a contract for a penthouse asking $7.8 million, which might be a sponsor sale document within the neighborhood if it closes at that value.
In Queens, contract signings have been down by greater than half to 40 within the quarter, in keeping with Marketproof. The borough has seen offers dry up this yr as buildings that launched gross sales in earlier years, like Century Growth Group’s Vesta and Rybak Development’s Austin have been among the best-selling buildings within the borough.
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