Thanks for the msg Arjun, love the commentary and opinion!
I think when you look at real estate from a global standpoint there are only a few cities in the world where high net worth individuals will congregate and move their capital. Yes Hong Kong, London, Paris, Dubai and New York. These are truly global cities with NY being the most multicultural of them. With that being said in this day and age of free information and advanced connectivity the world is a much smaller place. Investing and keeping up to date with your global investments is not as difficult as it was 5-10 years back. Hence a traditionally illiquid investment such as real estate has become much easier to invest in, more liquid and hence more valuable.
I believe Manhattan continues to have appeal for a variety of reasons. Strong US legal system that protects asset ownership, multicultural, great cuisine, nightlife, easy of transportation, low crime rate, and a city thats constantly reinventing itself.
Now whats the issue with NYC real estate and wheres the opportunity? The problem lies in the low inventory of apts in NYC. The new developments that are coming online are catering exclusively to the ultra wealthy. The cheapest new developments are starting in excess of $3M an apt! The opportunity I'm seeing is that there are a few condo conversions that are priced below $1M mark and accessible for middle to upper middle income earners. Im looking for peope who are interseting in co investing along with me in these condo conversions.
Full disclosure I am a licensed real estate agent in nyc and i do currently own multiple investment properties in the city.
