Sale at 1016 Fifth Avenue #1E

I've checked it out the last two years! It really IS an incredible space, but only if you don't like light, air and views. It was originally the super's apartment. It's off the lobby of a gorgeous 5th Avenue Coop, 3 steps up, so you don't have to deal with the elevator man. It was a small one-bedroom, now a rambling studio. The prior owner put in a "greenhouse" where a patio existed, making the place bigger. Weird??? The current owner sleeps in the large master bathroom, in a tiny single bed no less!!!!! The price and monthlies seem low for a 5th avenue building, but they require (if paying all cash) 2x purchase in liquid assets. Now tell me -- who will pay $800K with $1.6M in cash reserves to live in a dungeon, which is what the apartment is. Beautifully renovated, yes, but still a dungeon. Go figure! That's why it has been on the market for over 2 years. And, there is a large outdoor space accessed through the greenhouse, but the Board will not allow you to put plants out there, since they claim it is merely a fire escape for the upper floors. But DO go see it, it's really amazing. Have I contradicted myself enough??????? Crazycardo here.

Hey Riccardo, I remember you saw it a couple times and were thinking of putting in an offer. I saw it last year but was a bit taken aback b/c it seemed dingy compared to the pictures. I can't tell if it's priced properly or not, given the location and building it's in?

Hi, Anonymous. Good memory! Ordinarily I love pano views, but loved the space. It wasn't dingy at all: the renovations were really top notch with beautiful woods and stone. I could have afforded it until I realized (much later) about the 2x purchase price in liquid assets (even after paying all cash). I LOVED the outdoor space and made the mistake of having the agent ask for my permission to put plants on the terrace. They flipped out and said absolutely NOT!!!!! Even if I had all the cash, I just couldn't live with no light or view. You should go see it and make your own determination. Gorgeous building, and the lobby is truly spectacular. Let me know what you think...... Still, remember that when a place has been on the market for 2 years, it is definitely overpriced.

Indeed, yes! I saw it last September and I felt kind of "let down" b/c the pictures had it seeming a bit brighter. One thing - this guy has WAY TOO MUCH clutter in that space! A mishmash of (nice but inconsistent) artwork. Plus, he should put the dining space back in the greenhouse area. You're right too about the building - one of the nicest on 5th and surprisingly *ONLY* 50% down required, whereas so many are cash only. I agree to about views, doesn't have to be Central Park, but to overlook a brick wall with only small pockets of light making into that space makes me want to sleep all day. My opinion is that the owner should accept an offer that's 25% lower so roughly 590-600k. Again, a very tough sell!

Tough sell, indeed. Imagine a space on Fifth Avenue, under 1Mil, only 900 maintenance, and on the market for over 2 years!!!! I don't know if this is appropriate, but I'll be in NYC for 2 weeks at Christmas. Let me know if you'd like to get together for coffee or a drink. Maybe we could go over there together and drool and swoon!!!!

Might just take you up on that!! :-)

Do you have to bring a board package for this place ?

Yes, that's what the broker said if you want to buy it. It's 50% down. (On a side note, though, I don't know if this is the first of second resale of the unit. I do know that a guy named Jeffrey Shertz bought 2 maids rooms and gutted it over time to make it what it is today. But I don't know if he is still the owner.)

Not quite correct. It was originally a small one-bedroom apartment, used by the super when the building was a rental. To get the whole story, refer to the book "Small Space, Big Style." The apartment is featured and it shows the original and how it is today. Shertz is still the owner, and has been for some years. Indeed, a board package is needed. Refer to my prior comment regarding that. I offered all cash, and they still wanted 2x purchase price in liquid assets, as in cash in bank, and were unrelenting in my request to landscape the outdoor space. As intriguing as the space is, it is ultimately a dungeon with no light or air. I'll bet it wouldn't sell even at $595K.

Riccardo, was this 2x the purchase price LEFT OVER?

Right, that is, after paying all cash, you needed 1.6M in cash in the bank. I would have figured that with such a difficult property, the rules might be more lenient than for purchase of a large apartment with light and views. NO.

Wow! Well it is 5th Ave. so I wouldn't be too shocked. Someone with those assets is going to want something bigger, though. Gonna continue to sit.

"Liquid assets" and "cash reserves" don't always have to be cold hard cash in the bank. Most boards will consider almost anything quoted & actively traded in volume on exchanges as 'liquid assets'. Restricted stock, partnership shares, oil & gas leases, and the like are out, however. As is real-estate, jewelry, art, and other tangible assets.

The big difference in the board assessment is whether they consider balances in retirement and 401k accounts to be 'liquid assets' or not. If not, that's a significantly higher hurdle.

Yes, they do consider 401K and retirement accounts to be liquid assets, at least in that building. I don't necessarily agree that someone with those assets will want something bigger. From what I hear, Mr. Shertz (the owner) owns several properties and has big bucks. But I would want something with great views, at least a double exposure, and lots of air and light.

Riccardo, don't you think the original pics make it seem a lot brighter than it is? When I went in, it was hard to appreciate the detailing b/c it seemed like a candlelit cave.

wrong--retirement accts, incl iras and 401k's are certainly NOT considered liquid assets by myc coops, incl this bldg

Yikes, you are wrong. They are if you are of retirement age. That's what the President of the Board told me.

Anon, you are right, the apartment is a dungeon -- only suitable if you hate light, air and views. I saw it on a rainy day last December, and they had all the lights on and it was lovely. Again, if the outdoor space would have been included, I think I may have gone ahead with the purchase.

Yes, i am wrong. I didnt know the hypothetical buyer was a retired person.

I agree with yikes.