Edward
January 16th, 2003, 10:01 PM
NYC real estate values gain 9 pct despite slowdown
Reuters, 01.16.03, 1:57 PM ET
NEW YORK, Jan 16 (Reuters) - New York City real estate proved a solid investment as values rose 9 percent, according to the city Department of Finance, bucking the fickle economy whose shabby performance has clipped tax revenues.
Both homeowners and commercial property owners benefited as the total value of their property hit a staggering $468 billion, according to preliminary assessments.
One-, two- and three-family homes -- and some condominiums -- gained 13.6 percent.
Family homes proved much more desirable than rental buildings and most cooperatives and condominiums, which chalked up a more modest 3.7 percent gain.
Though that increase exceeded the inflation rate, office buildings, hotels, factories, garages and the like saw their values rise by 6 percent.
The latest estimates will be finalized in May and take effect on July 1.
A list of well-known landmark buildings showed a few exceptions to the generally rosy picture. For example, the Woolworth Building, located downtown near City Hall, saw its estimated market value fall to $70 million from $73.8 million.
In contrast, 1 Liberty Plaza, which is located just across the street from Ground Zero and which was used as a temporary morgue on Sept. 11, saw its value leap to nearly $387 million from just over $323 million.
A finance department spokesman was not immediately able to say whether the preliminary assessments were adjusted to reflect the attacks that destroyed the World Trade Center, explaining any market uncertainty that resulted might have been taken into account last year.
Some midtown landmarks leaped in value, such as the Chrysler Building, whose assessment rose to $241 million from $186 million.
The jagged pattern of the gains -- the Sony Building, for example, saw its value only rise $3 million to $208 million, might have been produced by factors that were specific to each building, the finance department spokesman said.
The AOL Time Warner building, which will occupy the west side of Columbus Circle when completed, is the most expensive property in the city, assessed at $820 million.
Many homeowners and commercial property owners should face stiff tax hikes.
Property owners already have been socked with an 18.5 percent increase in property taxes that went into effect in January.
Copyright 2003, Reuters News Service
Reuters, 01.16.03, 1:57 PM ET
NEW YORK, Jan 16 (Reuters) - New York City real estate proved a solid investment as values rose 9 percent, according to the city Department of Finance, bucking the fickle economy whose shabby performance has clipped tax revenues.
Both homeowners and commercial property owners benefited as the total value of their property hit a staggering $468 billion, according to preliminary assessments.
One-, two- and three-family homes -- and some condominiums -- gained 13.6 percent.
Family homes proved much more desirable than rental buildings and most cooperatives and condominiums, which chalked up a more modest 3.7 percent gain.
Though that increase exceeded the inflation rate, office buildings, hotels, factories, garages and the like saw their values rise by 6 percent.
The latest estimates will be finalized in May and take effect on July 1.
A list of well-known landmark buildings showed a few exceptions to the generally rosy picture. For example, the Woolworth Building, located downtown near City Hall, saw its estimated market value fall to $70 million from $73.8 million.
In contrast, 1 Liberty Plaza, which is located just across the street from Ground Zero and which was used as a temporary morgue on Sept. 11, saw its value leap to nearly $387 million from just over $323 million.
A finance department spokesman was not immediately able to say whether the preliminary assessments were adjusted to reflect the attacks that destroyed the World Trade Center, explaining any market uncertainty that resulted might have been taken into account last year.
Some midtown landmarks leaped in value, such as the Chrysler Building, whose assessment rose to $241 million from $186 million.
The jagged pattern of the gains -- the Sony Building, for example, saw its value only rise $3 million to $208 million, might have been produced by factors that were specific to each building, the finance department spokesman said.
The AOL Time Warner building, which will occupy the west side of Columbus Circle when completed, is the most expensive property in the city, assessed at $820 million.
Many homeowners and commercial property owners should face stiff tax hikes.
Property owners already have been socked with an 18.5 percent increase in property taxes that went into effect in January.
Copyright 2003, Reuters News Service