Aug. 8, 2023 By Ethan Marshall
The real estate agency M.N.S. recently released its development sales report for the second quarter of 2023, which revealed not only a large increase in the sales volume of units, but also an increase in the median price per square foot in Queens.
According to the report, the sales volume of units sold in Queens increased in terms of revenue by 56.74%, from $164,077,512 in the first quarter to $257,170,075. The number of sales also increased, from 181 in the first quarter to 277 this quarter, making for a 53.04% increase.
The median price per square foot had a 10.5% increase from the first quarter, up from $1,175 to $1,298. The median price for a unit also rose 15%, from $724,000 to $832,524.
Despite the increase in median price per square foot and for a unit increasing compared to the previous quarter, both represent a decrease compared to the second quarter of the previous year. The median price per square foot dropped from $1,362 to $1,298, while the median sales price fell from $1,068,350 to $832,524. Two of the main reasons for the annual price lowering were due to a larger amount of sales of studio and one-bedroom apartments and less sales in areas of Queens with higher prices.
The Tangram House South Condominium at 133-27 39th Ave. in Flushing saw the highest sales price during this quarter. A unit ended up being sold for $3,020,253. The highest price per square foot sold in the quarter was for a unit in Skyline Tower at 23-15 44th Dr. in Long Island City. The unit sold for $1,929 per square foot, totaling $1,295,991.
A majority of the units sold this quarter were located in Long Island City. Of the 277 units sold, 169 of them were in Long Island City. However, there were actually less units in Long Island City sold when compared to the second quarter of 2022, contributing to the lower annual price. Of the units sold, 31 were studios, 162 were one-bedrooms, 77 were two-bedrooms and 7 were at least three-bedroom units.
Flushing experienced the largest market up-swing this quarter, while the largest down-swing occurred to Ridgewood. The median price per square foot in Flushing increased from $1,054 to $1,190, while the price in Ridgewood went down from $918 to $820 per square foot. The median sales price increased in Flushing from $740,662 to $770,299 and decreased in Ridgewood from $578,750 to $530,000.
The square footage of a unit is typically indicative of what type of unit it is. Studios are usually less than 550 square feet. One-bedroom units often range from 500-750 square feet. Two-bedrooms commonly range from 800-1,000 square feet. Three-bedrooms or more can range from 950 square feet to more than 1,500 square feet.
M.N.S. offers a unique insight into the new development market through their tracking of stalled construction sites on a quarterly basis. This acts as a great indicator of where development in general is moving. M.N.S. finds neighborhood price per square foot analysis, average sale prices, unit type sales trends, overall price movement, neighborhood inventory comparisons and absorption rates.