THE STAR TOWER...compared to Hell's Kitchen as investment? HELP! ADVICE?!?!?!

Read some of the older discussions here, but I'm in the camp (as are MANY others here) that neither is a good investment right now. You are talking about the biggest bubble pop in the history of RE and we have only just begun falling.

But, if you really want to buy.... I'd probably go with HK. LIC was a huge bubble within the bubble with way too much inventory.

i'm in the other camp.. i've seen star tower, the building itself is unbeatable in term of amendities and proxity to subways (i think it's w/in 2 blocks to like 7 different lines or somethign ridiculous).

the draw back is the area.. tishmen is building a brand new building across the street, but there are still 2 strip clubs within 2 blocks.

First of all, thanks for all the input...I fell in love with star tower, amenities, and the prox to subway...but was always a hell's kitchen guy...love the arts and unpretentiosness, grit...

NYC says that prices will continue to fall...???

Tishmen, yes, is building, but what??? Blocking views???

I have 3 condos in AZ each with 20% down...question...would you take this money I was gonna invest in something new (hard earned $$$) and pay down these mortgages, or sit tight (they are down but not crazy) and keep investing? Thx, Eric

Manhattan below 96th, no matter how isolated or grungy, is always better than Queens, no matter how convenient or charming.

And the area by Star Tower is not charming.

Thanks for the candid thoughts....keep em coming!!!!...the guy at Star Tower said "it is all up and coming...yes, it is desolate now, but wait til the office buildings come, Tishmen, etc..." Does he have a point? Again, I just loved the subway line and pool, amnenities...but I am sure if I wait, and save more, I can get just the same below 96th St...

Do I pay down some of the mortgages of the 3 in AZ??? Or keep investing??? My acct said 2 things...do not buy unless it is a STEAL, and do not pay down investment properties now...

Thoughts?

Eric

Did you just wake up from a two year nap? Are you working on a comedy routine? Do you have relatives who could become your guardian so that you don't make any financial commitments?

I don't know when you bought in Arizona, or where exactly, but it's been one of the real estate disasters in the United States of America, so what used to be 20% down, is now often 20% gone. As for NYC, 9/10 sane non-broker people will be incredulous that you are thinking of buying now as an investment.

Jim...I bought a place in 2004 for $119K in AZ and flipped it in just 1 year for $215K!

Made 90K after closing costs!!!

1 year...in lil' ol' AZ...

Then bought the 3 in Scottsdale that I speak of now...

THEEEn the bubble popped...

I know all about AZ and what happened...easy on the sarcasm...I was just asking about paying down the 3 or investing at some historic lows...

The comedy routine is fine and made me 100K in cash after taxes/takehome in 2008...

EJO

Ok..but you have to admit it sounds a little strange to be saying "doing great in Arizona"..and "thinking of buying in nyc". Hence the sarcasm.

Oh well, I really don't know the specifics of your investment in Az but if you have no intention of defaulting there, then paying down the mortgage is a "yield" on cash that personally I think would exceed the investment return of the perilous nyc market.

Good point...

All 3 condos are down $30-40K...max...I am not sure what that means in the big picture...holding ground in AZ???

EJO16
about 3 hours ago
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Thanks for the candid thoughts....keep em coming!!!!...the guy at Star Tower said "it is all up and coming...yes, it is desolate now, but wait til the office buildings come, Tishmen, etc..." Does he have a point? Again, I just loved the subway line and pool, amnenities...but I am sure if I wait, and save more, I can get just the same below 96th St...

Do I pay down some of the mortgages of the 3 in AZ??? Or keep investing??? My acct said 2 things...do not buy unless it is a STEAL, and do not pay down investment properties now...

Thoughts?

Eric

Office Towers coming? Commercial RE is on the verge of collapse in the city, the next ball to drop and take down the economy. Tell your broker he's full of shit!!

LIC like Harlem and Financial District are your classic transitional neighborhoods. Speculation in them is high and prices get eviscerated in a downturn. The chance (and magnitude) of near-term loss given the established existence of a downturn is so high that given a levered investment you are most certainly better off waiting until a bottom is established.

Thanks...good stuff...