UES Townhouse Pricing and Headwinds

Hypothetical:
Let's say a broker gets a $10 million buyer to look at this house. What do you think their reaction is, what affect do you think that reaction has on that broker/agent, what do you think they pass on to other agents, and what lasting effects will result to the marketability of the property?
One historically odd thing of note: an agent may have a high opinion of a property, but if they show it to a prospective purchaser who has a very negative reaction they flip and all of a sudden take on the opinion of the person who they showed it to.

300 - I can imagine someone paying $5.5mm for it if they drop the price quickly. As you know, I am expecting further downward pressure so I think that the future could look worse for it.

30 - I assume that by a $10 million buyer, you mean someone who could feel comfortable $10 million for a property that buyer felt was appropriate. I won't fight the hypothetical that I think that such a buyer would refuse to look at the house. I think the reaction would be extremely harsh, and that the buyer would say that it was a total waste of time. I think that a buyer's broker would be bashful about having made such a judgment call and encourage other brokers not to make the same mistake. I think the Seller's broker would hope that his/her client didn't hear about it.

There are a lot of vastly overpriced properties on the UES right now, including the townhouse this thread is linked to. I do wonder what messages are actually communicated to the Sellers' agents and the owners.

I think this is probably the most over priced townhouse under $10mm.

I.M. Pei's house:
https://streeteasy.com/sale/1441106?card=1

300 - that's a fair view, although it is all a matter of degrees. There are a lot of overpriced townhouses that are lingering and I think they will continue to do so.

30 - a lot of those houses on that strip have been for sale in recent years. I don't think any have done particularly well, and I don't think this one will be any different. I doubt that I.M. Pei's celebrity status is sufficient to entice buyers, and I don't think his design mark on this house is deep enough to provide real value.

Interesting to see such incremental price cuts on such an overpriced property at 116 East 95. I question the merits of that strategy, but maybe the seller just needs time to adjust to the reality of the market price for this property.

116 East 95th in contract since end November.

What's your guess on the price?

No idea. Townhouse is very illiquid market. So very hard to guess even within 10 percent.

My wild guess will be $7.8-8.3mm.

Yours??

Using a more realistic 5,000SF at $1,500/SF to $1,600/SF is what I think the value likely is. That would yield $7.5 million to $8 million, but my guess is that they didn't negotiate down that much.

I take that back. I think even at $7.5 million it wouldn't be an easy sale.

Really hard street to value. The house itself looks like other than the unusable basement but it is out of place on the street. A lot of townhouses end up selling for way below their final listing price so I would not anchor to that.

$8mm recorded sale.

Talk about getting out in the nick of time.

I think this is an example that some people are going to do what it takes to transact. They had fairly recently dropped the asking price by half a million bucks, yet 3 weeks later they still negotiated another million off the ask, and this was well before COVID-19 was an issue. I know I said that I doubted they would have negotiated that much, but here we see that's what they did.

Much easier to isolate in a townhouse.