Financial Giants Are Moving Jobs Off Wall Street

http://streeteasy.com/nyc/talk/discussion/7601-the-death-of-citigroup-and-new-york-as-a-banking-center

"The potential shift has profound implications for New York’s tax base and economy because of Wall Street’s outsize financial profile. Last year, the industry contributed 14 percent of New York State’s tax revenue"

Bullish

14% would be direct tax payments, i wander what is the secondary effect?

Maybe Jason will now leave back to California.

Let's see how this plays out. This trend has been touted many times before and never played itself out. At some point you have to wait to hear about this actually affecting the statistics. Meantime demand for apartments and rentals have not dropped like one would expect if WS was really pulling back.

then why manhattan RE price is at all-time high?

When has Wall Street not not shifted back office jobs away from Wall Street. This is not a new phenomenon but a decades long trend. The back office guys only entered the real estate market if they made it to mid level manager level and then frequently in Brooklyn, New Jersey , Staten Island etc. Wit each succeeding generation back office translated less and less to front office and less and less as a path to prosperity.

Yea but now they are moving them out of the city to other states. Less taxe revenue for the city

And as the article states, they are moving because wall street is having difficulties with the bottom line. Bottom line!

http://www.nytimes.com/2012/07/01/nyregion/its-a-goldman-world-in-battery-park-city.html?pagewanted=all

"then why manhattan RE price is at all-time high?"

uh, because it 'aint. We are 15-20% below all time highs...

There goes sme's alternative universe math again. In sme's world, 100 is 15-20% below 100 . . .

he is talking real money not nominal correct?

LICC is, as usual, incorrect on both fronts.

In nominal terms, Manhattan median (per miller samuel) is 19% below peak prices. In real terms, it is 23-24%.

I know that LICC thinks every number is 100 because he really really wants it to be... but the actual numbers are $830k now... and over $1 mil at peak in 2008.

whoops...

"then why manhattan RE price is at all-time high?"

In real terms they are not.

http://www.millersamuel.com/charts/manhattan-hoa-monthly-cost-per-sq-ft-1q-08-1q-12

http://www.millersamuel.com/files/2007/01/average-cpi.jpg

The peak in constant dollars with 4Q2008.

2008-ish in general.

According to those charts, sme is flat out wrong. Prices are the same or higher in nominal terms and down 5% in real terms.

Seldom right and wrong again sme, but you should cherry pick your numbers again to make them look better.

The first of "those charts" is maintenance. Okay, maintenance is about at an all-time high. That's probably one of the reasons why the second chart shows that prices are down.

ROTL.

sorry, LICC. The numbers are from Miller Samuel... manhattan medians.

You can keep pretending they aren't down... but you'd be wrong as usual.

the miller samuel data...
Manhattan Median Price (coops+condos) Q2 2012 - 830,000
Manhattan Median Price (coops+condos) Q2 2008 - 1,025,000

come on, LICC, please come up with some more of your hillarious "cherry picking" claims.

The claim was we are at an all time high... except we are 20% below the all time high. And this is nominal. Add, what, another 5% decline in real terms.

"The first of "those charts" is maintenance. Okay, maintenance is about at an all-time high."

pretty fing hillarious that some people mistook rising maintenance for rising prices...

ha!

According to Miller Samuel, the median peak year for Manhattan was 2009 at $955k. For 2011 it was $850k. Less than 10 percent down. Hardly the crash swe thinks happened. Keep picking those cherries.

> According to Miller Samuel, the median peak year for Manhattan was 2009 at $955k. For 2011 it was $850k. Less than 10 percent down. Hardly the crash swe thinks happened. Keep picking those cherries.

First it's 10%, then it's another 5% and another 10% and another 10% and before u know it, it's REAL money ...