Construction costs tumble in NYC

It's the end of the world.

A great way in the (well what do you call the last decade? the zeros? the new millenium?)to see emerging towns or neighborhoods for real estate particularly new construction real estate was to get a heads up on new store openings for Home Depot.

I guess we can do the same for those towns, neighborhoods to be hardest hit to now follow store closings.

bob420... as you know it...

bob420... but I feel fine....

w67, are you winning in the stock market? that seems to be where the action is today.

Are the unions and Mafia 10% less expensive to bribe?

PMG... the risk/reward to step into equities whether the mkt knows it or not is not worth it to me at the moment. This rally may go on for 2 months, 6, 9, 12???? I don't invest in things I don't have a good feeling about...

Happy to be earning and savings thru income... can you image that?

The problem is 10% off of a ridiculous number is still a ridiculous number. If Lamborghini had a 10% off sale on Gallardo Spyders (from $221,000 to $200,000) for the next week, how many do you think they would sell?

To 30yrs point, there is an article in the ever truthful NYT today saying that all in construction costs for commercial buildings is $750 sq ft, but Class A buildings, even if fully rented, are trading at about half that, and even less as vacancies rise. So, prices have to converge much more to make construction rational.

Yea, this is a reason why a firm like Extell may earn on Aldyn project versus Rushmore.

if they made spiders for $200, i would DEFINITELY get one right away. like mutomba says, buy now or be priced out forever LOL

> Are the unions and Mafia 10% less expensive to bribe?

8% was the estimate. They still won't all work on the same days, but you can get a waiver and get half of them to at least tell the other ones where they hid the screws.

"The problem is 10% off of a ridiculous number is still a ridiculous number. If Lamborghini had a 10% off sale on Gallardo Spyders (from $221,000 to $200,000) for the next week, how many do you think they would sell?"

Of course, RE pricing in Manhattan was ridiculous, but a 10% decline was denied by most of the city in 2007.

Not to mention, the land costs declined even more.

got to start somewhere...

It's still more expensive to build in NYC than any other part of the country. In other places, they just get a bunch of illegals to build and they pay them about $120 a day. But because of the powerful unions, you can't do that here. Plus, let's not forget about all the of construction costs that are off the books you have to pay: political contributions, mob kickbacks, building inspector "fees", etc.

and let's not forget about crane inspectors. They are probably one of the highest paid city workers (if you get my drift).

> It's still more expensive to build in NYC than any other part of the country.

And its still more expensive to buy in NYC than any other part of the country.

You're simply missing the point (as usual).

Does anyone have a current figure on what developers are paying PSF for ground up residential building these days (I imagine it can't be too much different than $750, but that $750 figure seems high to me: are they including land costs?) Also same for gut reno projects?

i would think $750 includes land, but i heard a few stories of purchases that were breathtaking (toy story building, i think, was one of those). although they wouldn't have been so breathtaking if the market had continued to enable them to ask $2000 and up psf for apartments.

toy story? that was quite the typo.