Market Conditions in 10128>Question Details

Face, Both Buyer and Seller in 10128

During the period of construcyion of the 2nd ave subway are apartment values deteriating?

Asked by Face, 10128 Sat May 8, 2010

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One needs to also consider if the apartment is in the front of the building or in the back of the building. This will make a difference during construction. Also once the train is operational can you hear and/or feel the train go by. One added bonus is that they added the M15 Express buses up 1st Ave and down 2nd Ave to compensate for the delay with project.
0 votes Thank Flag Link Mon May 14, 2012
probably bad if you are on the low floors since construction always makes bugs and rats move around more..but i'm just speculating.
in the long haul though it'll probably appreciate more relative to not having a subway nearby. i suppose if you have a building that gets damaged from the drilling though not sure if they can make a claim on the city or if they will just sock each of the apartment owners with an assessment for repairs.
0 votes Thank Flag Link Tue Apr 12, 2011
I agree with Jenet, prices are not deteriating and unfortunately it has impacted the retail market dramaticly. Regarding the values of apartments, it has not effected it as most of us feared it might. On the contrary it's a great selling point for those selling. The subway line will be completed and those that purchased during the construction will be glad, for those that missed out will be kicking themselves. The construction is not all negetive, it can be seen as an opportunity when most are looking the opposite way. Best of luck and feel free to contact me for your real estate needs.

Tony Lara
Licensed Real Estate Salesperson
Rutenberg Realty
tlara@crrnyc.com
0 votes Thank Flag Link Sat Apr 9, 2011
I own an apartment at the corner of 2nd Ave and 72nd Street. A subway entrance is planned for mid-block on 72nd St. For me the construction is right there.

I have spoken to buyers who do not want to consider apartments so close to subway construction. This is short-sighted, I think, because it was reported in the New York Times that apartment values near subway entrances should rise approximately 15% when the subway is opened. (This number is the estimated loss to values because of 2nd Avenue's current distance from subway service.)

As I say often, real estate is an investment whether you like it or not. As an investor, I deliberately seek out properties that have such profitable externalities (to use the economics term for this). If your time horizon is relatively long--and it should be, or you shouldn't be buying--an externality like this becomes free money.

The construction has been less problematic than it looks, for me anyway, because the heavy work does not occur when most people are home.

Karla Harby, VP
Charles Rutenberg Realty
kharby@rutenbergrealtyny.com
0 votes Thank Flag Link Wed May 12, 2010
In my recent experiance showing customers they do not want to be on or near the construction on second avenue. I have also noticed a lot more inventory and price drops on and near second avenue. while values will go up when the construction is done most people do not want to buy while it is going on for obvious reasons. Of course if you are buying you can get a good deal there not so good for selling


klara madlin
klara madlin real estate
Web Reference: http://www.klaramadlin.com
0 votes Thank Flag Link Sat May 8, 2010
Face,
Good question. Not in my experience. The construction of the 2nd Ave. subway has negatively affected storeowners on 2nd Ave, because it blocks some foot traffic. It surely will increase value of residential units once the 2nd Ave. subway is completed. Right now the further East you go from Lexington Ave. and access to the #4,5,6 the lower the prices. That will change when subway access is better further east.
0 votes Thank Flag Link Sat May 8, 2010
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