CRE Grows in Brooklyn

NEW YORK CITY-With its coolness factor rising daily and the buzz on its residential areas soaring, Brooklyn’s CRE market apparently has caught up. Investment sales in the borough of kings hit a staggering $4 billion last year, marking a 106% year-over-year jump from 2011, according to Ariel Property Advisors‘ Brooklyn 2012 year-end sales report, released Monday.

Sitting pretty as the place to live, residents or wanna-be-residents sent pricing in the multi-family segment into the upper reaches, says Jonathan Berman, Ariel VP, in the research announcement. “Multifamily properties in prime Brooklyn locations are quickly catching up to Manhattan prices and a slew of institutional level sales saw prices approaching $1,000 per square foot,” he says. “This is a sign that investors not only believe in the strength of the rental market, but can see these buildings as lucrative conversion opportunities in the future.”