Harlem MF Sale Hits Record PSF Price

Located at 1700 Lexington Ave., the property falls within the C0 class, which is classified as a one-to-four unit apartment building. The sale sets a new record price per square foot within this building class in the neighborhood—a 9.2% price-per-square-foot increase over the neighborhood's previous record of $556 per square foot for the 2007 sale of 405 East 118^th St., a nearby 2,520-square-foot apartment building in the same class.

As the more affordable option compared to other centrally located neighbors like Midtown or the Upper Eastside, East Harlem pricing continues to increase, with experts indicating that it has not yet hit its peak.

“While certainly an exciting milestone for Auction.com, the winning bid's true significance is that it was considered a fair market price for both the buyer and seller,” says Rick Sharga, executive vice president of Auction.com. “This sale price is indicative of current market trends as the pricing in this neighborhood continues on an upward trajectory.”

The 3,552-square-foot building features four market rate units, including two two-bedroom and two one-bedroom units. The ground floor unit can be converted for retail use, offering the buyer an additional investment opportunity as the local retail market continues to strengthen along with rent growth. Built in 1890, the property is situated three blocks from the No. 6 subway line stop, providing easy access to Midtown Manhattan.

“It was fantastic to see the power of technology, and the role it plays in commercial real estate, through this transaction with Auction.com, which resulted in an experienced, New York-based buyer with retail experience acquiring the property,” says Carlos Olson, associate director at Eastern Consolidated, who represented the seller in the transaction. “The Manhattan property's location—in close proximity to restaurants, retail, parks, and the subway—in addition to the apartments' flexible month-to-month leases, made this a very attractive opportunity.”