(11.4%) The Excelsior, a land-lease co-op at 303 East 57th Street, is facing a potential rent increase. R you wont even have to push an elevator button). Carnegie House is a coop located 100 West 57th Street, in Theater District, New York. You are incorrect about the landlease at 100 W. 57th. They paid $185mm for the land, which resulted in an assessment of ~$1mm per apartment. Lo and Ben Affleck finally find California dream house, Texas ranch of late oil tycoon T. Boone Pickens sells after $80M price cut, Britney Spears quietly sells Calif. home for a roughly $1.7M loss, Tom Sandoval breaks silence on Ariana Madix split amid cheating claims, Kelly Osbourne posts first photo of baby son as he hangs out with uncle Jack, Greys Anatomy alum Isaiah Washington retiring from acting: The haters have won, Max Scherzer's first look at the new pitch clock, Kellyanne Conway and George Conway to divorce, Canadian teacher with size-Z prosthetic breasts placed on paid leave. The Carnegie House, at 100 West 57th Street, is a fairly traditional co-op. But the co-op board was remarkably successful. All of a sudden the maintenance for everyone in the coop building will double. The board thus became a willing participant in Werners scheme to force residents to pay exorbitant additional sums to keep their apartments or to give them up so that Werner can put up a new building on the site. Carnegie House--what price psf is a good deal? The rent escalations are completely covered. Thanks for your input. Ft. per Sq. $469,900. Yet even such an old-school cooperative wants to keep up with the times, and if it can lower its electricity bills by 15 percent, so much the better. Zillow Inc. Sites 2006-2023 ZillowMade in NYCPowered by Bikes, Coffee, and Doughnuts. But after their son had twins, they decided to downsize in New York and buy a home closer to their grandchildren in Connecticut. Each apartment owner in a land-lease building pays a land rent thats wrapped into their monthly fees. With the clock ticking down on the ground lease expiration, apartment owners wasted no time to start bailing out right after the board sent shareholders a doomsday letter on June 14, 2019, and followed it up on June 19 of that year at a meeting that spelled out Werners terms. 312 West 49th Street #1RE. It is probably encumbered by a ground lease. Sale border-color: #b8b6b8; This site is protected by reCAPTCHA and the Google View information about 100 W West St, Williamsport, IN 47993. Who knows, though some residents seem to be purchasing their neighbors units as a bet on winning some concession. W 781 Fifth Avenue #1516. All rights reserved. If the ground lease expires and is renewed at a much higher rate, the monthlies can double or triple. in Lenox Hill No representation, guarantee or warranty of any kind is made regarding the completeness or accuracy of information provided. LIVE IN THE CENTER OF IT ALL!!! Probably not. .su-cta-content > :first-child { The assessments varied, with units on higher floors of the 39-story building paying more. Rising Costs a Concern for Land-Lease Building Owners Co-op apartment owners pay ground rent to Werner Group, which bought the land for about $270 million in 2014. All rights reserved. The 324-unit Carnegie House cooperative building is the ground tenant on the property. The co-op lent them the money at 5 percent interest until they could sell their units and use the proceeds to pay off their share. in Lenox Hill W This agency typically owns land for use for schools or educational offices, but will occasionally lease out unused land in this fashion. While the purchase moved the building and units into a more stable zone, it came with a high cost. But its a really full service building (i.e. WELL PRICED FOR A QUICK CASH DEAL!! (17 Easthaven Lane, White Plains, NY 10605), Listing by Compass Everything We Know About Ron DeSantiss Disney Takeover. $3,950,000. Ive had people come to me and say, Sell my apartment tomorrow, says DiOrio. W Find properties near 100 W West St. View more property details, sales history and Zestimate data on Zillow. The kitchen has been partially opened and enlarged, featuring custom cabinetry, marble countertops, tiled backsplash and top of the line appliances. Des Moines House RentalsSee all 23 apartments and houses for rent in the coop building) reverts back to the landowner if the lease is not successfully renewed. Of course, uncertainty has taken on a whole new meaning in 2020, and how things will look in 2025 is unknown. [But] our board has been sitting around for two years, using COVID-19 as an excuse and not making any counter offers and spending money on professional fees. Developer Danny Fitzgerald would like it if celebrities would stop partying in his celebrity party houses. Appraisals could definitely change from today to five years from now, says Fishman. in Hell's Kitchen A must for board directors, property managers, professionals and vendors! R Very competitive pricing for the location and unit sizes. Listing by Dolly Lenz Real Estate LLC (1301 Avenue of the Americas, New York, NY 10019-6022), Listing by McDonagh Real Estate (333 W 56th Street, New York, NY 10019), Listing by Compass (90 5th Avenue, New York, NY 10011-7624), Listing by R New York (641 Lexington Avenue, New York, NY 10022), Listing by Sherry Netherland Inc (781 5th Avenue, New York, NY 10022), Listing by RC Realty Group of New York Inc (260 West 91st Street, New York, NY 10024). However, that is a worst case scenario and Ive never seen anything reach that critical of a stage in NYC. For example, did you know that all Battery Park City condo buildings have the same land lease expiration date in 2069? Stay Away from NYC Ground Lease Co-ops - Digs Realty Carnegie House at 100 W. 57th St., at the corner of Sixth Avenue, is a 21-story, gray brick structure that resembles many other early 1960s, middle-class Manhattan apartment buildings. Sale It is unfortunate, but true., But some people consider land-lease apartments a buying opportunity. 152 West 58th Street #1A. Contact Message Joelle Pergolotti pergolotti realty llc NY State MLS Copyright 2022 NY State MLS. Theres no anticipating exactly how much the rent will rise when they do, but its likely to be a lot. I believe the reset is happening 2065. Will be an interesting case study. Also, since land-lease co-ops do not own their land, they do not pay real estate taxes. E Virtual Tour. Then lo and behold, last summer, there were issues going on with the extended family that owned the land, and there was a frothy market, so they decided to put it up for sale.. Response by loveson over 9 years ago Posts: 25 Member since: Jan 2012 Theoretically, a land lease could come to the end of its term without renewal, and the building would revert to the leaseholder. As for Trump Plaza, when Donald Trump built the co-op in 1983, he struck a deal with the landowner in which for 40 years, the building would pay a below-market annual rent of approximately $1.2 million. Such a unit in a normal co-op without a ground lease would fetch several million dollars. For Ukrainians in the diaspora, the past year has meant broken friendships, survivors guilt, and a new way of thinking about identity. font-size: 14px; 100 West 57th Street is an interesting case where the real estate family that owns the land sold it to another real estate family and not to the coop. If the city goes into a tailspin, then the rent goes down, but if the values stay as high as they are now, it could go up.. But while land-lease buildings can offer considerable savings on the sale price, their monthly maintenance fees are usually much higher than in comparable apartments. Appraisers are brought in to value the land, and both sides agree to a price based on that information. I talked him out of it. A few buildings got together with their government representatives and negotiated a compromise, and therefore got a smaller increase that was more affordable. But every set of factors and circumstances should be examined on a case-by-case basis before. I will say that the only coop in the city Im aware of that has a land lease that expires in less than 30 years is 575 Park Ave (I recall, may have forgotten the exact address). Only two blocks from Central Park and walking distance to the theatre district, Carnegie Hall and the Time Warner Center and close to all major transportation. .su-cta-content > :last-child { On the one hand, land-lease buildings have much lower entry points for purchase. The building, which is filled with a mix of younger families and older residents who have lived there for decades, finds itself in an unpredictable situation. Very often, the co-op buys the land at an exorbitant price (at a tremendous expense to its shareholders). Furthermore, PILOT payments are on a fixed schedule through 2035 and payments for ground rent are also on a fixed schedule through 2090 with change dates in 2090 and 2114. I originally looked at a unit in this building and thanks to your comment, I nixed it. Carnegie House 100 West 57th Street New York, NY 10019 Co-op in Midtown 324 Units 21 Stories 1962 Built Sales listings: 9 active, 2 in contract and 399 previous Rentals listings: 2 active and 171 previous Documents and Permits: 444 documents more about the building Price History Want to analyze this property with our Comps Report Generator? align-items: center; Its a coop with liberal subletting rule (i.e. This area is served by the New York City Geographic District # 2 attendance zone. condo rules) and some investors like this building as a result. NY Standardized Operating Procedures. Vigorous Smudging Almost Burned Down Bernie Madoffs Penthouse. There are possibly 4,000 square feet remaining. R I cant begin to tell you how many calls I get about these apartments, says Fishman. 446 East 76th Street is located in New York, New York. It takes a certain type of residency base to be able to come up with that kind of money! Brokerage services provided by Hauseit LLC and Hauseit Group LLC, licensed real estate brokers licensed to do business in New York and Florida, respectively, under license numbers 10991232340 and CQ1064175. The land lease was for 100 years, and the building had a 421A tax abatement until 2037, which provided significant monthly savings. Price decreased by margin-top: 0; .su-cta-action { Michael and Diane Schoeman received one of the support loans. As a subscriber, you have 10 gift articles to give each month. As a result, shareholders live in a perpetual state of fear that they will be uprooted from their homes, the suit claims. W 2 Bedroom RentalTwo bedroom apartments are ideal for couples and small Its luxury status seems modest compared with neighboring giants, such as the 1,550-foot-tall Central Park Tower to the west and 111 W. 57th St. to the east; units in both new projects cost up to $30 million. $250,000. This password will be used to sign into all, The Wings Office (and Furniture) Is for Sale, Boomer Dads Are Driving Real Estate Agents Nuts, The Look Book Goes to Housing Works Cannabis Co, Twitter Is Dumping Most of Its New York Office, 6 Stand-ups Analyze ChatGPTs Attempts to Steal Their Jobs. Interesting article. Sales history, mortgages, liens, and pre-foreclosures for 100 West 57th Street, New York. Sale Earlier this year, Mr. Cooper, who became the boards president, realized his objective, helping cobble together $190 million in cash to buy the land underneath the building. MLS# R613968. But as they tick down, problems may arise. Anyone know the Land-lease situation for Brooklyn Point? these boundaries. The buildings monthly maintenance charges were already well above the market, and this would have tripled it, essentially rendering the apartments without value, said Jonathan J. Miller, the president of the appraisal firm Miller Samuel, who advised Trump Plaza on the deal. in Hell's Kitchen Because some banks may not provide financing to potential unit purchasers if a building has a shorter remaining ground lease term than a standard 30 year mortgage. It is located in the Axtell Park neighborhood of Sioux Falls. 10 Reasons to Use a StreetEasy Expert Buyer's Agent, What You Should Know About Home Appraisals, 442-H New York Standard Operating Procedures. $550,000. $300,000. Homes for rent in Phoenix, AZ from a private owner 501 N 41ST Street, Phoenix AZ 85008 - 3/2 1- sqft 85008, Phoenix, Maricopa County, AZ DO NOT send money to anyone claiming to be the owner. While we cannot comment publicly on the interior workings of a building, if the reset is happening in 2065 as you say (this is unverified by Hauseit), then a prudent co-op board would want to renew the land lease soon. So: cash. The current offer from the land owner if accepted by the coop would require each . Printed from StreetEasy.com at 05:27 AM, Mar 4 2023. There are roughly 100 land-lease buildings in the city. There is perceived risk and that accounts for a portion of the discount. Our feeling was, taking a mortgage out was jumping from the frying pan into the fire. This payment resets at various points during the lease term, typically according to the market value of the land (without considering the value of the improvements). Key to the dispute is how the land should be valued. But the likelihood of the most expensive street in the world becoming (relatively) affordable or, at least, affordable enough for those shareholders who settled here years before the idea of buying the land was on the table seems small. Its much better to have you land lease payments be reset by CPI or some other similar metric. 100 W 57th St Unit 19-K, New York, NY 10019 - Redfin Printed from StreetEasy.com at 05:27 AM, Mar 4 2023. hi mssn, thanks, that's very helpful. This beautifully renovated one bedroom, 2 bathroom apartment is a combination unit with oversized rooms is priced for a cash buyer. Understanding the risks and potential costs upfront enables a client to decide if a real estate purchase in a land-lease building is a good financial investment for them or not, said Kostiw. justify-content: space-between; The lot that the building was built on is 200 feet wide and 150 feet long. (90 5th Avenue, New York, NY 10011-7624), Listing by AVENUE 8 INC .su-cta-action { Are there provisions for renewal? It has really high maintenance which just went higher. Another land lease, 100 W 57th Street (Carnegie House) is an interesting one. Submit your questions and comments here! 100 W 57th St #12L was last sold on Dec 28, 2016 for $380,000. 3801 N 50th Street, Omaha, NE. I always knew it was a spectacular building. The building itself is 197 feet wide and 144 feet long. W This listing is no longer available on StreetEasy, This listing has incorrect information/photos, This is a discriminatory or offensive listing. R Currently a land-lease building, the building is negotiating to buy the land. The largest price was $695,000 for an 1,800-square-foot penthouse with a terrace overlooking Sixth Avenue. Charles Atlas Wants to Redesign New York Citys AIDS Memorial Park, The artist (not the bodybuilder) answers Curbeds 21 Questions.. Sign up for email newsletters, alerts, and digital e-news to stay informed about what's happening in the co-op/condo community. The 250-unit Normandy, located at 140 Riverside Drive on Manhattan's Upper West Side, recently phased out its old-style bulbs. Home buyers should also be aware that banks will closely review mortgage applications for units in a land-lease building. This property is not currently available for sale. } at 5th Av, B 100 West 57th Street, Unit 19K, Manhattan, NY 10019 | Compass 315 West 55th Street #1D. I couldnt sleep for months. (According to several brokers we spoke to, tenants are supposed to be made aware of the land lease before moving in.) NO LONGER AVAILABLE ON STREETEASY ABOUT 5 WEEKS AGO. Its interesting that domestic buyers are afraid of land leases, whereas land leases are the norm in London and Hong Kong and buyers are used to it. Talk strategy with an expert who knows this neighborhood & price point. When I found out I was going crazy. As always, we recommend consulting one of our partner lawyers if you have any further questions: https://www.hauseit.com/real-estate-lawyer-partners/. in Hell's Kitchen Ground leases are relatively common in New York City commercial real estate. Well theres usually an initial period of built-in increases in rent, such as a 3% increase per year that is predictable. (100 West 57th Street, New York, NY 10019), Listing by Republic Realty There are a handful of reliably hazardous red flags in New York City: an empty subway car at rush hour, an empty restaurant on a Saturday night, and a-little-too-reasonably-priced apartments. The expiration of a lease is particularly fraught for land-lease co-ops that were once rent-regulated apartment buildings. 1302 Key Highway Baltimore, MD 21230 Prev Next Property Details MacKenzie Retail, LLC is pleased to present the opportunity to ground lease this. 446 East 76th StreetTransportation options available in Chicago include document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); This site uses Akismet to reduce spam. The information provided in the Google map can also be found after the school name heading. Will they win? About 100 West 57th Street, 19K, Midtown West, Manhattan, NY 10019. The building was first built in 1962 and is 61 years old. This odd situation came about when the landowner preferred to retain ownership of the ground went with renting the land instead of selling it to the developer. Development in Battery Park City started in the 1980s on landfill excavated from the original WTC construction in the 1970s. The listing agent for these homes has added a Coming Soon note to alert buyers in advance. Could be a recipe for job growth, could be the next Atlantic City dead zone. Doc rec date Doctype Document amount Party1 name Party2 name Link to doc with redirect; 05/29/2019 - R . What happens when a land lease expires? StreetEasy is a brand and registered trademark of Zillow, Inc. Zillow, Inc. has a real estate brokerage license in multiple states. Thats because they have to cover the ground rent. So how do land lease payments usually work? } With the buyout, tenants in the co-op faced a new land assessment, prohibitive for some. 100 W 57th St #17A, New York, NY 10019 | Zillow In our second item about them in a week, a consortium is paying $285 million for the land beneath Carnegie House, the 324-unit co-op at 100 West 57th Street. Park Towers South. The land underneath the Carnegie House co-op, located at 100 West 57th Street, just sold to a group of investors for $285MM, and the land underneath the Trump Plaza co-op on East 61st Street is currently on the market. at 57th St, N Still others could neither pay the assessment nor obtain a mortgage. The suit, filed on behalf of the other shareholders, claims that the board, rather than fight for shareholders interests, is playing ball with Werners illicit scheme to overcharge residents. I would also point out that its not just the risk of a land lease expiring that you need to worry about. AVENUE OF THE AMERICAS and 6 1/2 AVENUE. D But if the land under Carnegie House is still appraised at $260 million in 2025, it will likely boost the annual land rent to over $21 million about five times the current amount. $320,000. payment: $11,329/mo Get pre-qualified Request a tour as early as today at 5:30 pm Contact an agent Overview Facts and features Home value Price and tax history Monthly cost Rental value Nearby schools Similar homes Neighborhood Local legal protections Homes for you My lawyer and my realtor didnt tell me, he says. For agument sake, say an apartment sold for $1M in 1987 what would the annual selling price and % discount look like if projected to 2048? From your comment it seems like there is not, and there is real risk that the landlord takes the building back. 100 West 57th Street #16N The information provided in the Google map can also be found after the school name heading. https://www.hauseit.com/real-estate-lawyer-partners/. View more property details, sales history and Zestimate data on Zillow. No representation, guarantee or warranty of any kind is made regarding the completeness or accuracy of information provided. EOS. Street View Travel times Overview 7. There are a lot of older people in the building, and you can see how emotionally and physically stressed they become when they talk about it, says Michael Landon, who lived at Carnegie House with Sharma for three years. You do not want to mess with a ground lease co-op! Learn all the basics of NYC co-op and condo management, with straight talk from heavy hitters in the field of co-op or condo apartments, Professionals in some of the key fields of co-op and condo board governance and building management answer common questions in their areas of expertise. Listing by Brown Harris Stevens (445 Park Avenue 11th Fl, New York, NY 10022), Listing by Leven Real Estate (12 White Street #1, New York, NY 10013), Listing by Compass (90 5th Avenue, New York, NY 10011-7624), Listing by Marc Alloul, LREB (100 West 57th Street #11K, New York, NY 10019-3497), Listing by Corcoran (590 Madison Avenue, New York, NY 10022), Listing by NextStopNY (1033 Second Avenue, New York, NY 10022), Listing by Sotheby's International Realty (650 Madison Avenue, New York, NY 10022). 25 active sales ($681 per ft avg, $767,640 avg price) Terms of Use and Privacy Policy. In this case, the developer was able to renegotiate the land lease with the agency (i.e. Abigail Nehring The Carnegie House at 100 West 57th Street is very large cooperative apartment building of 324 units occupying the entire western block front from 56th to 57th Street, and an entrance to its spacious lobby on the Avenue of the Americas. Do you know the terms for renewal in that land lease agreement? If they dont have the Plan, they cam give you the name and numder of Usually there will be a lower limit on how low it can go, but often there wont be an upper limit on how high it can reset. This building is built on leased, not owned, land. And Frogmore Cottage has reportedly been handed over to Prince Andrew. border: 2px solid #3a3a3a; Williamsburg Is Entering Its Fifth Avenue Era. } these boundaries. in Sutton Place A few notable land lease buildings in NYC: 303 East 57th Street, The Excelsior, is a ground lease co-op building whose land lease term expires in 2064. The co-op had the right of first refusal, so it scrambled to find the money. Amy Zimmer of DNAInfo.com covers the Carnegie and other buildings, and offers five energy-savings tips. The co-op, at 167 East 61st Street, was on a land lease, which meant the building did not own the land on which it stood, and paid rent to a landowner. You\'ll receive the next newsletter in your inbox. They relisted the apartment for $6.595 million, raising the price because the building no longer had a land lease. $45,000, Sale The building is so wonderful in every way the staff is amazing, the community is great, its really one of the best places Ive ever lived in New York, but [Werner and Schron] have thrown the building into a chaotic state, and theyve added uncertainty. Investors dont like that, and that has depressed prices by a lot. margin-bottom: 0; One lovely co-op building at 100 W. 57th St. in Midtown, Carnegie House, is on a land lease. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal, financial or accounting advice. 1-2 Beds. There is a monthly assessment through 2/28/23 in the amount of $426.88. This area is served by the New York City Geographic District # 2 attendance zone. Required fields are marked *. As a result, its rather inconceivable that in 2069, the Battery Park City Authority, a government agency beholden to the people, will refuse to negotiate and kick out all the voters in Battery Park City. Your email address will not be published. Adam Rolstons Deco co-op looks across to the Palisades. multi-family (2-4 unit) located at 1786 New York Ave, Brooklyn, NY 11210 sold for $315000 on Dec 3, 2010. In a recent instance, co-op memberscobbled together $185 millionto buy the ground beneath the building from its owner. He added that the astronomical price Werner paid was based on a developer fantasy of what the site would be worth if it were vacant and able to support an all-new building. New York's Cooperative and Condominium Community, Carnegie House, 100 W. 57th Street, Midtown. The couple put their home on the market in 2014 for just under $5 million, and say they had two potential buyers before they learned of the land rent situation. Some banks were wary about giving mortgages to help pay the assessment, but the board was able to work out a deal with Wells Fargo, which wrote approximately $50 million worth of mortgages for building shareholders. Financing is 70% and there is no flip tax. Some of these warning signs may have shifted over the past few months (that empty subway car is suddenly welcome, for one) but the too-reasonably-priced apartment is tough to shake so when we saw 23 units, including $99,900 studio apartments and $299,000 two-bedrooms, available for sale in Carnegie House, a high-rise co-op on the Billionaires Row of 57th Street just below Central Park, our first thought was: Wheres the catch? . The building consists of studios, 1, 2 and 3 bedroom units. at 120 Broadway. This diminishes the leverage held by the co-op to negotiate favorable rental terms in a new lease. The Trump Plaza deal was anything but certain. The land underneath the Carnegie House co-op, located at 100 West 57th Street, just sold to a group of investors for $285MM, and the land underneath the Trump Plaza co-op on East 61st Street is currently on the market. 225 East 76th Street #E. This chic Manhattan apartment is an absolute steal Disclosure: Hauseit and its affiliates do not provide tax, legal, financial or accounting advice. Board president Richard Hirsch declined to comment. Leasehold condos are simply not allowed under NY law. The developer pays the ground lessor a fixed rental payment (like any other lease). At what price per sq. Usually, the co-op board and the property owner meet to discuss terms and renew the lease. .su-cta-content, This listing's school district is New York City Geographic District # 2. 7 Affordable Queens Neighborhoods for Renters, New Prospect Lefferts Gardens Condo Asks $539K. When you look at an apartment thats been on the market for 48 weeks, and is a great apartment at a good price, you need to understand that if you buy it and then look to sell, you will face the same set of circumstances. Q But the purchase automatically valued the land at $270 million, Werner said, claiming the rent should be based on that much higher price. 315 W 57th St, New York, NY 10019. So lets add one more tricky piece to the puzzle: land leases, particularly land-lease buildings. E 100 W 57th St #12L is located in Midtown, New York. This is great information. Carnegie House 100 West 57th Street, New York, NY 10019 - RealtyHop Verified Property Affordable Furnished Ready to Move Short/Long Term Easy Payment bhk . 100 W 57th St # 17A, New York, NY 10019-3328 is an apartment unit listed for rent at /mo. Finding someone who fits this exact profile, though, can be challenging and some shareholders fear they wont be able to offload their apartments in time for the reset. The buildings ideal location is only two blocks away from Central Park! Unlike some Carnegie residents, he has always wanted to buy the land. These buildings tend to have high monthly carrying charges because of the rental payments for the land. 100 W 57th St is a house located in Manhattan County and the 10019 ZIP Code. Key Highway BaltimorePlease note that the meters are in effect 24 hours The 452 sq. But by and large, it was the best thing that could have ever happened to Trump Plaza. 100 West 57th Street #16K in Midtown, Manhattan | StreetEasy Remember that land lease buildings are all co-ops, unless the landowner is the New York government. R Hauseit Group LLC co-brokes all listings in the Southeast Florida MLS. Obviously the lease payments will adjust over the life of a long land lease, but will they adjust periodically based on CPI (i.e.