The market for multifamily buildings in Brooklyn has been heating up over the last year. But the recent sale of 111 Kent Avenue in Williamsburg was stunning even in a hot market.
The buyer, American Realty Advisors, paid $55.5 million, or more than $895,000 for each of 111 Kent’s 62 apartments. The price paid per apartment is a record for such properties outside Manhattan, according to the data company, Real Capital Analytics.
But like any hot market the buying binge will come to an end, and there are already signs that it could be winding down. The chief factor is the diminishing supply of stalled condominium sites. “We are moving into the later innings of the distressed cycle,” said Dan Fasulo, a managing director of Real Capital Analytics. “With this game, there is only a finite amount of opportunities left, and the lack of supply is driving values through the roof.”
Read the whole article: A Rental Market Surge in Brooklyn – NYTimes.com.