a tale of two Ones in Tribeca, Worth vs. York

sounds like the Wars of the Roses
York against Worth. New uber-condo against 6th floor walk-up. $1,091/ft against $757/ft. $1,065,000 against $1,059,581, which is the only way these two Manhattan lofts are close to each other. (Unless you consider 6 blocks in Tribeca close.)  Yet they both win: we’re number One, we’re number One!!

the winner from York
When the Manhattan loft #5A at 1 York Street (did someone earn a bonus for naming this condo “One York”?) closed on February 25, it was the first resale to close in this 2008 new development since Enrique Norten himself was involved in unloading #6D 9 months ago.

#5A is one of the small ones here, perhaps the smallest unit in this high-amenities, high profile building, at “976 sq ft”. The babble on this one (written for out of towners??) says that “[a]partments are selling at approx 2000 per sq foot” at One York, which the last sponsor sale did (#9B at $2,242/ft). But this one … not so much. The clearing price of $1.065mm clocks in at (ahem) $1,091/ft. Are they supposed to feel like the poor relations? Or the most clever of all unit owners??

Whatever, the recent sellers might feel a little poorer, having purchased #5A on July 24, 2008 (that’s spelled p – e – a – k, right?) for $1, 218,005. Particularly as they spent the nuclear winter on the market at $1.35mm (from February 2009 into January 2010). They got some separation from that market by staying off the market until June last year, and returning at $1.199mm had to help. The babbling syntax is a little confusing (to say the least) but it is clear enough that a tenant has been here for at least part of the time since 2008, and that “owner financing available” does suggest an investor mind-set.

This one did not work out so well, however (barring a rental miracle over the last few years). Nonetheless, we’re number One!! Meanwhile, one block west and a few down, #6R at 1 Worth Street comes from a different era.

the winner from Worth
When #6R cleared at $1,059,581, one could say that The Market viewed it as an equivalent value to #5A at 1 York, but they are far from equivalent lofts. #6R is “1,400 sq ft” of classic loft space, with wood-beamed ceilings, original brick walls, flooring that appears to range from very old to ancient, exposed utilities, and a funky mezzanine. Oh, and stairs. Not just the ones to the mezzanine, but 5 flights form the sidewalk to the loft.

The evident listing history on StreetEasy is a little weird, apparently because agents don’t always update their paperwork. (Sigh.) In fact (per the inter-firm data-base), the loft had been offered at $1.25mm from September 23 into January by a different firm, when PruDE took over at a new price of $1.15mm. The marketing in the Fall at $1.25mm was intense: there were 12 (traditional) open houses in 3+ months. I appreciate what the PruDE team was trying to convey with “OPEN HOUSE DAILY BY APPOINTMENT!” (and they listed daily open houses in the data-base), typically from 8 AM to 4 PM, but with 3 listing agents and an office (literally) around the corner those are not really ‘open houses’. But I quibble…

Something in 2011 created the urgency to make a deal (perhaps a change in goal by the seller?): the contract was signed by February 8 (per our data-base, though SE says the next day) after negotiations that must have started by or immediately after the last “scheduled open house” on January 30, within four weeks of the new firm and new price.

The #6R seller should be happy with clearing at $757/ft. The last sale at 1 Worth was one flight closer to the sidewalk, with finishes that are a major upgrade than the rather … errr … primitive #6R (“two renovated baths, chef’s kitchen with Wolfe Range and Grill”), and 3 exposures instead of one. #5F sold quickly in a very chilly market (new on April 20, 2009, contract May 19, closing September 2) at $1.2mm for “1,500 sq ft” (and even $800/ft).

The #6R seller should feel like a winner (we’re number One!!), both in comparison to #5F and to the sellers at One York who got essentially the same money for a very different loft just three days earlier.

a postscript on changes in latitude in Tribeca
The notice address for the One York #5A buyers is 34 Desbrosses Street, the unfortunately named luxury rental Truffles Tribeca, way west and a little bit north of One York, where there is a “900 sq ft” 1-bedroom available for rent for $5,295/mo. If that is what they were paying (they probably paid less), the monthlies at One York of $1,076/mo leave $4,219/mo for mortgage payments to be even on a cash basis to support about $700,000 in mortgage (theirs is probably higher). Interesting math.

Of course, they have traded proximity to the Hudson and the esplanade for Canal Street and the tunnel.

[UPDATE 3.10.11: my post today short York v. tall tower / NY Post offers part of the (temporary) sculpture garden story is about NY Post article today is a mash note for One Tork development’s ‘magic words’ that tamed cursed Canal Street (really!), without mentioning proposed development across the street]

© Sandy Mattingly 2011