The Market corrects a Cast Iron loft over-correction, as 67 East 11 Street loft sells above (reduced) ask

Aphorisms ‘R Us
Stop me if you have heard this before: if a seller sets a price that is ‘too low’ The Market has an opportunity to fix that price. When the little (“710 sq ft”) Manhattan loft #411 at 67 East 11 Street (the Cast Iron Building) sold on April 14 at $651,680, that principle was demonstrated (again):

How is that for a compressed time-frame? A significant price drop two weeks after coming to market, followed by a contract within 4 weeks at a modest premium to the then-ask. The seller gave it a shot at $1,000/ft but realized The Market would not offer that (adjusting for outdoor space, nothing in this building sells at that level). Biting the bullet by 11% tastes a little better when The Market deems that an over-correction.

You have to go back almost a year to find a public sale at 67 East 11 Street that did not involve outdoor space:

do your own darn math
I am not goign [oops, or to proofread, apparently] going to bother to do much math here, either to calculate the precise $/ft of these sales or to try to make an adjustment for the outdoor space on the 3 top-floor sales, as it is obvious (to me, at least) that the $918/ft achieved for #411 four weeks ago is a higher $/ft value for interior space than any public sale in the Cast Iron Building going back through 2010.

to repeat (again!)
Seller wanted more. Seller did not get more. Seller over-corrected. Market fixed that.

It is nice when it works.

Poster Children ‘R Us
If #411 is a Manhattan Loft Guy poster child for The Market Corrects Low Prices (Sometimes), it is the second poster child here recently. I hit that #711 sale on April 14 as a poster child with the caption “into (and out of) The Peak” (market changes, personified by 67 East 11 Street loft sale). I also used that #704 sale to bash Old Media in a post on April 3 when it (finally!) showed up in a New York Times feature.

© Sandy Mattingly 2011