Solera auction in Riverdale: does anyone know how it went?

http://www.amny.com/urbanite-1.812039/luxury-condo-units-at-riverdale-s-solaria-sell-for-discount-at-auction-1.1616977

Still vastly overpriced.

Probably. I wonder what a luxury 2 bed/2 bath rents for in Riverdale. If we draw a rough line at 15x rent.... There is probably no way that apartment commands $4400 in rent. Does it command $3800? I'd be curious. Those clearing prices are probably where Manhattan real estate needs to end up haha. $800k for a 2/2 luxury condo...

About $2,500 a month for a much larger unit at The Century, an Olnick property. Ergo 50% overpriced, even down from what they were asking.

Granted, The Century is a different type of building, but I'd rather be there, with all the amenities, than overlooking the highway.

Damn, thats a lower number than I would have guessed. Clearly, there is never a perfect comp (unless units are being rented in the same building)... but are you saying you really think that this 2/2 that just sold for $790k has a rental value of only $2500/mo? If so, I guess it really is still vastly overpriced.

I don't know the specifics of that unit, but go to olnick.com & view the floor plans - they are HUGE. I considered moving there at one point only because of the room. But think of it this way: if I just rented a 2-bedroom 2-bathroom 2-balcony 1200 square foot apartment on a high floor with Hudson River views at 52nd and 8th, what could an apartment that overlooks the Henry Hudson Parkway, far from public transportation, REALLY be worth?

I went an now have an updated post on the auction: http://malcolmcarter.wordpress.com/2009/11/23/auction-of-riverdales-solaria-ends-with-a-whimper/

I dont know. Yours is like 1000 sqft. I like Hells Kitchen (tho you are arguably on the edge of it, more Midtown - I usually draw the line as right West of 8th ave itself), but its not the most expensive area of Manhattan. This Solera unit was 1400 sqft, with new fixtures, etc. Its by the highway, but also advertises Hudson River views. If we assume 15x rent as a static number. I mean, yes actually I could conceive that a bigger unit in a new building in Riverdale might rent near the same price as your unit. $2500 sounds low. Comping it to single family homes in the burbs, no I wouldnt pay $800k for a 2/2 in Riverdale.

How many of the 54 actually sold?

You have an outdated view of where I moved to, Rhino. I love it here. And it's definitely 1,200 square feet - compare the room sizes to the Solaria's room sizes (1,350 square feet), and it fits. In fact, I moved from a place about 950 square feet, and I have to buy furniture to fill it up.

That said (and let's not argue the size again, please), that unit cited looks DIRECTLY over the HH Pkwy. Not that it's nearby - that is the view. Between the noise and the smog, you can never open the windows. Might as well be in those apartments on top of the toll booth, or in the 2 buildings that airplanes used to fly between at the old Hong Kong airport.

Solaria was trying to get prime Manhattan psf prices for an out-of-the-way location. Even if sale prices were 50% of ask, they're still too high compared to rent. The Century may smell like mothballs, but it's big with lots of amenities, including tennis courts. Riverdale is nice, but not as nice as the Solaria's developer thought.

Again? WTF are you talking about? I thot you said yours was 1000, and the Solera unit is listed at 1400+. Neither of us has the key info here, which is what the unit could rent for. You are guessing $2500? If so, you have no argument from me that its overpriced even at the auction clearing price.

I said mine was 1,200 - JuiceMan said it was 800. (LMAO).

I used this as the comp:

http://www.streeteasy.com/nyc/sale/348840-condo-640-west-237th-street-riverdale-bronx

It claims 1,500 square feet (sorry about that) which is about right given the room sizes.

Informative article, Malcom. Thanks.

Yeah, I dont know the Riverdale rental market...Perhaps its about to get weaker still@! You also have a good deal. If this Riverdale two-bed is a $3k rental, then yes, its probably not a bargain till its under $500k. If 15x is 'fair value', then call fair value $550k.

Right now I have about the best deal in Manhattan. But there are others approaching, and more on the way.

I have a friend who owns a co-op in Riverdale & she loves it, though she says parts of it feel like Century City.

What does that mean, is that a retirement community? Yeah, I dont know Riverdale well. However, I do appreciate that hybrid suburb/city type of lifestyle. I'd like to have a car in the driveway or in front of my place, but I'd still like to walk to the grocery store.

A friend of a friend is renting a 2/2 in the Solaria for $2900.

Jeez well they sold one with a balcony for $790k....which is still 22x rent. Insane...even if you think rents are really depressed.

In my new post today, I include additional comments, information and the press release, which I'll characterize--I don't know, as "interesting." Here's the link: http://malcolmcarter.wordpress.com/2009/11/24/solaria-auction-leaves-some-loose-ends-and-claims/

I signed up for email updates. I just got a solicitation email. I clicked through to available properties...and I see all 54...and at lower prices to boot. If I could really rent a 2 bed in there out at $3000...Might I be willing to pay $400k for it? They are showing them in the $400s now. The tax abatements make the monthies low for now (albeit ramping over time).

http://www.redcauctionhome.com/auction-detail.php?auctionID=D-048

Funny my own thread just got sent to me by a google alert. It seems like they are all still available and now without reserve prices.

Did you see sjtmd's post below?

2 days ago
ignore this person
report abuse Went to the building today - they have started a post auction auction - on line bidding. All of the original 54 units from the November auction are listed with the starting bids the same as before. It seems that EVERY apartment had a bid above the minimum at the auction. Something like 14 contracts were signed by prospective buyers, but only 4 by the developer. The REDC people don't seem to know what is up - apparently not enough pressure by the lenders on the developer - he wants to hold out for higher prices than were reached at the first auction. Bottom line - this very nice building sits with 80% or more of the units empty.

oh. and I wouldn't be surprised if they had shills bidding at the auction.

I dont think these minimums are the same. I think they are lower. What you are saying doesnt make sense to me. If they had bids above the minimums, why would they be remarking them at the same minimums? Something doesnt add up. I was thinking about offering $350k on one of these 2 bed 2 baths and renting it out. With the tax abatement thats prob a good yield. I dont see the CCs on here.

The HOA dues are over $1000 a month. Listed under details.

I don't know. Maybe the first auction was a pr stunt, maybe loaded with shills. This was not an "absolute auction" so the developer doesn't have to accept the winning bid. Now they think they've created a buzz and can push up the prices.

Here's my latest post on the Solaria: http://malcolmcarter.wordpress.com/2010/02/04/riverdales-solaria-development-offers-some-news/