When It Comes To Multifamily Properties, The Sun Is About To Shine Brighter On Sunset Park
Brooklyn is undeniably one of the hottest destinations for multifamily properties, with the asset classes’ steady returns and capital preservation being significant draws. As some regions become overwhelmed with supply, investors will likely turn their attention to neighborhoods that are poised to become the “next big thing,” and Sunset Park is high on their list.
In the first three quarters of 2018, New York City’s biggest borough recorded 284 multifamily transactions consisting of 372 properties, totaling approximately $2.75 billion in gross consideration, according to Ariel Property Advisors’ Investment Research Division. On a year-over-year basis, transaction and building volume held steady, but dollar volume soared 71% due to a noticeable increase in large and institutional caliber sales.
For the past three years, Brooklyn has comprised almost 50% of NYC’s multifamily transaction volume. So far in 2018, the borough has constituted roughly 46% of NYC’s 500 multifamily sales.