October was one of the worst months for new development sales in years, but that’s not stopping these builders.
Late this week, elusive developer Joseph Chetrit filed plans for a 20-story condominium project at 260 East 72nd Street on the Upper East Side. The development will span 190,000 square feet and include 53 apartments and 3,400 square feet of commercial space.
Chetrit has spent years piecing together the assemblage, made up of four lots on Second Avenue and East 71st and East 72nd streets. The parcels have appreciated handsomely as a result of the Second Avenue subway extension and sit in a transit land use district, so they could qualify for special zoning bonuses.
Earlier in the week, Eliot Spitzer moved to build his own ultra-luxury condo project on the Upper East Side. The former governor’s development firm, Spitzer Enterprises, filed for permits to replace its rental at 985 Fifth Avenue, which was built by Spitzer’s father, with a 26-unit condominium project. The 19-story, SLCE-designed project would cover 106,000 square feet and feature two setbacks with a limestone facade.
To build it, Spitzer would have to tear down an income-generating rental building. The 1,900-square-foot penthouse pulls in $30,000 per month, and a 20th-floor unit with Central Park views is asking $17,000 per month.
Both projects are betting on the city’s condo market turning around. New development sales nosedived in October, with contract volume down 20 percent from September and 36 percent from October 2019. Still, the ultra-wealthy have continued to buy, as they are less sensitive to rate hikes than the typical buyer.