Ben Shaoul, a Manhattan condo developer, is hoping to move his condos quickly. This is to stay ahead of competition where lower-priced units are being in demand after a four-year construction boom where only the wealthiest buyers remain.
Magnum Real Estate Group led by Shaoul just placed two of their projects in the market where there is an insufficient number of apartments for less than $3 million.
"Our entire business plan here is velocity," Shaoul said in an interview. "Sell the buildings out this year, be done this year, deliver this year. This product is not available right now in the marketplace, so let's get it delivered in 2016 before anyone comes around in 2017."
Magnum is preparing to open sales at the Luminaire in Gramercy and the 389 E. 89th St. on the Upper East Side formerly known as Post Toscana Both properties are former rental towers that were bought in 2014. These properties are now being renovated to become a condo.
The Upper East Side property will be available on the market starting on Monday. It has two-bedroom apartments with asking price that starts in $1.58 million for a 1,098-square-foot unit, based on the documents submitted at the attorney general's office in New York State. The 1,315-square-foot three-bedroom unit costs $1.95 million, while the most expensive unit is a 1,860-square-foot penthouse that has a children's playroom and landscaped rooftop terrace, priced at $5.25 million.
Fourteen out of 156 condos at 389 E. 89th St. are currently on the market, according to Curbed. Price starts at $880,000 for a 629-square-foot one-bedroom unit to $3.03 million for a 1,582-square-foot three bedroom unit. These price points are considered as "attainable luxury" in the current landscape of new development.
Two-bedroom units at the 103-unit Luminaire range from $1.75 million to $2.73 million while one-bedroom units start at $950,000. The most expensive unit is a 1,982-square-foot bedroom with a 1,265-square-foot terrace that costs $4.95 million.
