ORION Condominium

HILARIOUS! Here's a rental history:

01/16/2009 Listed in StreetEasy by Prudential Elliman at $9,000.
02/03/2009 Price decreased by 17% to $7,500.
02/11/2009 Price decreased by 27% to $5,500.
03/02/2009 Price decreased by 9% to $5,000.
03/17/2009 Price increased by 10% to $5,500.
04/22/2009 Price increased by 9% to $6,000.
05/17/2009 Listing is no longer available.
07/03/2009 Re-listed by Prudential Elliman.
07/03/2009 Price increased by 8% to $6,500.
07/30/2009 Price decreased by 3% to $6,300.

The same apartment to buy: $1,950,000

Down Payment $390,000
Mortgage Amount $1,560,000
Mortgage Payment $8,858
Total Monthly Payment $10,079

http://www.streeteasy.com/nyc/rental/453426-condo-350-west-42nd-street-clinton-new-york

A similar sized apartment to rent for $4,500:

http://www.nybits.com/apartmentlistings/29a9e31731da67957b61818e6e173a09.html

Not as high a floor, but with a huge balcony.

And another one for $3997:

http://www.nybits.com/apartmentlistings/8236e8f68861ebaa888d240e5d3c505d.html

Not that I'd live anywhere near there, but....

I wonder why Krugman didn't rent?

What's the deal with the valuations here? It looks almost all of these units are price well above peak 2006 levels at a time valuations should be 21% lower.

Any insights? Am I dreaming or did I really get "priced out of the market forever" as my broker said?

one of the smaller units recently did OK. 59B didn't do as well, although i don't know when the contract was signed and some would say not half bad, all told, but still certainly not well above peak 2006 (which wasn't peak, btw, that came later). listing prices don't mean much.

11/30/2006 Previous Sale recorded for $1,639,382.
10/08/2008 Currently Listed in StreetEasy by Prudential Elliman at $1,900,000.
12/15/2008 Listed in StreetEasy by Prudential Elliman at $1,905,000.
02/12/2009 Price decreased by 11% to $1,700,000.
02/17/2009 Price increased by 6% to $1,795,000.
04/03/2009 Price decreased by 5% to $1,700,000.
05/11/2009 Price decreased by 6% to $1,600,000.
06/25/2009 Price decreased by 0% to $1,595,000.
08/22/2009 Listing entered contract.
10/15/2009 Listing sold.
10/15/2009 Sale recorded for $1,485,000.

I think NY metro peaked June 2006, but stayed high until early '08. I mean, the only thing I can think of is that the prior closing prices were pre-construction prices. Could that be?

peanutian, 46B closed for $1.76mm in 05/08. i'm fairly certain prices continued to rise through early to mid-08. and the first six months or so of closings probably had a fair amount of pre-construction pricing. this building was very strange, sold out almost immediately if i recall, despite the location. lots of brokers purchasing, i believe, lots of foreign, investor and corporate purchasing. this was one of the examples the brokers used to trot out earlyish days to describe how "hot" the market was.

Peanutian,

the Orion was the right building in the right place at the right time. When I wanted a condo in Midtown West six years ago, I felt like my choices were the Vendome (where I bought) and Worldwide Plaza. All the CPS-area view buildings are from the eighties and feel like it. So to put a modern view tower in Midtown West -- especially as all the law firms were moving their offices over there -- was a smart move, and the building sold out very quickly as a result.

I don't think that makes its pricing -- which has softened -- "typical" of the broader Manhattan market.

BTW, rentals in the building have come down on the order of 30 percent over the past year. I am generally pro-owning, but I agree with the renters as far as the Orion's concerned.

ali r.
{downtown broker}