My 20-Year Harlem Journey

My 20-Year Harlem Journey

"Loving, living, selling Harlem since 2004"

From Brownstone to Skyline: My 20-Year Journey Through Harlem’s Real Estate Renaissance

Summary:

  • Introduction to Harlem Condominiums
  • The Appeal of Harlem Real Estate: Past and Present
  • Harlem’s Price Advantage and Architectural Charm
  • Early Harlem Condominiums: Space, Value, and Trade-offs
  • The 2008 Financial Crisis: Impact on Harlem’s Real Estate Boom
  • Recovery and Renewed Interest in Harlem
  • Evolution of Harlem’s Amenities and Finishes
  • Transit Improvements and Their Impact
  • Cultural Renaissance and Community Development
  • The Rise of Luxury Developments in Harlem
  • Changing Demographics and Neighborhood Dynamics
  • Investment Potential in Harlem Condominiums
  • Comparing Harlem to Other Manhattan Neighborhoods
  • The Role of Historic Preservation in Harlem’s Development
  • Future Projections for Harlem’s Real Estate Market
  • Tips for Buying a Condominium from a Harlem Real Estate Agent
  • Current Harlem Condominium Market Overview

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The Early Days: A Personal Journey Begins

As a Harlem real estate agent, buying a Harlem brownstone and renovating it kickstarted my career as a local expert. Back in 2004, we closed on a townhouse shell. Finding it and the closing alone make a great story, but it turned out to be just the beginning of a long, delightful journey into Harlem real estate.

We transformed the property into a four-family home, learning from our generous neighbors along the way. It was exciting to be a part of Harlem then because so much was happening and everyone had a story to share. On our block alone, there were five dumpsters indicating that five townhouses were undertaking major renovations. There were also condominiums being built nearby.

The First Wave of Condominiums

The first condo I ever sold was at 380 Lenox in 2006. The buyer was looking for an investment property. She was impatient, which is not a helpful quality for a real estate investor who ideally should be playing the long game. She purchased the apartment for $478/square foot and sold it a year later at a loss. Just a few years ago, the apartment sold for $715/square foot.

Today, there are over seven hundred and fifty condominium buildings in Harlem. Many, but not all, were built since 2004. They range from small boutique walk-up buildings to large luxury buildings as high as twenty-eight stories. Over time, the size of the apartments and the amenities offered to owners morphed in response to changing demand and the popularity of the neighborhood.

Harlem’s Affordability Attracts Buyers

As Manhattan real estate prices below 96th Street soared, many buyers found themselves priced out of their preferred neighborhoods. Instead of moving to the suburbs, some chose to venture into Harlem , drawn by its affordability and the allure of its stunning 19th-century architecture lining the broad, double-wide avenues.

The price difference was significant. At the end of 2006, according to The Corcoran Group’s report, Harlem properties were selling for approximately $500 per square foot. In contrast, the rest of Manhattan averaged around $1,123 per square foot. This substantial gap made Harlem an attractive alternative for many buyers.

Of course, choosing Harlem came with trade-offs. The neighborhood had fewer restaurants and services compared to more established areas downtown. It also meant a longer subway ride for many commuters. However, for those willing to accept these inconveniences, Harlem offered a chance to own property in Manhattan at a fraction of the cost of other neighborhoods.

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Early Condominium Features and Amenities

The initial Harlem condominiums offered a compelling package: spacious homes at attractive prices. While finishes were basic, buyers recognized they could easily upgrade kitchens or baths later, having saved on the purchase price.

These early developments typically featured well-sized rooms but made strategic trade-offs to keep costs down. Many offered large, central laundry rooms instead of in-unit washers and dryers. Additionally, amenities were often limited compared to today’s Harlem condos, helping to maintain lower monthly charges.

This historical context explains the sometimes surprising price differences between buildings on the same block. Newer developments with luxury finishes and extensive amenities often command higher prices than their older, more basic neighbors. Understanding these distinctions is crucial when navigating Harlem’s diverse condominium market.

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The Role of C. Virginia Fields in Harlem’s Development

The streetscape began to change in 2007, in large part because of C. Virginia Fields, former Manhattan Borough President. One of the early advocates of the neighborhood, she understood the potential and educated New York developers. In 1998 when she was in office, the city owned a majority of the property along Frederick Douglass Boulevard. Ms. Fields told the New York Times, “We did drawings and we scheduled tours, in big Greyhound-type buses, where we brought developers up from downtown as if they were immigrants coming from a foreign land. Because the properties were city-owned, the buildings along Frederick Douglass were purchased for little or no money, and the developers got tax breaks.”

The Frederick Douglass Boulevard Renaissance

I remember sitting at Cafe Des Ambassades on Frederick Douglass Boulevard in 2004, enjoying a cafe au lait and croissant while looking across the street to an empty lot as the Artemis development, Brownstone Lane, came to life along 118th Street and 119th Street. Today, that empty lot houses the fifteen-story Soha 118 building with 90 apartments and a Starbucks, Aldi Grocery Store, and Chase Bank anchoring its base. Across the street, you can find Vinateria, an award-winning restaurant, and the equally inviting Lido restaurant at 117th Street.

In fact, the entire strip of Frederick Douglass Boulevard from 110th to 125th Street offers a wide range of dining options, thanks to the dedicated zoning for this strip under the visionary leadership of C. Virginia Fields.

The Buzz of a New Cool Neighborhood

As the street life exploded, so did the housing options, all of which created a buzz around this new cool, hip neighborhood. The 421(a) tax abatement made building in the neighborhood a compelling proposition to many developers. Once the neighborhood was proven, developers set their sights on the verdant strip of Central Park North running from Morningside Avenue to Fifth Avenue.

Landmark Developments: 111 Central Park North and 1485 Fifth Avenue

111 Central Park North, a tower with direct and unobstructed views of the Harlem Meer, stood brave and alone in 2006, as it would be a few years before other luxury buildings followed. Seven months pregnant, I hopped on the hoist for a less than smooth ride to the top of the building for a stunning view of the park. At the same time, another tower was going up at 1485 Fifth Avenue. The assemblage yielded a full twenty-six stories, which was tall enough to dramatically change the skyline in Harlem and cause a minor uproar with locals. In this instance, yet another church had found its bank account empty and traded its valuable land for cash and a new building.

The 2008 Financial Crisis and Its Impact

The 2008 financial crisis abruptly halted Harlem’s real estate boom. The housing market was hit hard, given that mortgage-backed securities were at the heart of the economic collapse.

Windows 123, a luxury boutique building with a glass and steel facade, fell victim to this crash. Ironically, its developer had correctly anticipated Harlem’s evolving appeal. They envisioned the neighborhood attracting a new type of urban dweller drawn to Harlem’s unique character, rather than those simply seeking an affordable alternative to other areas.

This project’s struggle during the crisis demonstrates how even well-conceived developments can be derailed by larger economic forces, despite accurately predicting neighborhood trends.

The Historic Mount Morris Park District Extension

This condominium is also noted for galvanizing the NYC Landmarks Preservation Committee into action. It took them until 2017 to officially respond to what they thought was an egregious architectural decision ruining the integrity of the historic Harlem brownstones. After a great deal of effort and many years, the Historic Mount Morris Park District was extended to preserve even more Harlem brownstones so that another developer could not come along and create a similar modern structure destroying a historic Harlem block.

The Recovery and Renewed Growth

Once signs of recovery emerged in 2010, building began again in Harlem, this time with renewed velocity. Marcus Samuelsson opened his restaurant, Red Rooster, on Lenox Ave and 126th Street. The word had spread that the neighborhood was the new cool destination. Diners arrived in black cars from all parts of the city and the tri-state area, dying to participate in the latest Harlem renaissance and catch some of the cool stardust Mr. Samuelsson and his model wife created.

Price Trends and Market Recovery

“The median sales price in Harlem fell by nearly 16 percent between 2007 and last year (2008), to $456,061, compared with less than 3 percent in Manhattan as a whole in the same period,” wrote Julie Satow for The New York Times. By Q4 of 2011, the median Harlem price was $560,000. Fast forward five years, and at the end of the first quarter of 2012, the average price per square foot in Harlem was $571 compared to $1,253 on the East Side and $1,692 on the West Side.

The Building Boom Continues

On 116th Street, L+M Development Partners built The Adeline, 23 West 116th Street, on what had been a basketball court. While basketball is an important part of local Harlem culture, the project not only yielded 83 condominiums but also an additional 194 affordable rental apartments. Six blocks south, a Robert A.M. Stern designed building at 1280 Fifth, One Museum Mile, a majestic tower emerged perched on the northeast corner of Central Park.

Meanwhile, another tall tower, One Morningside Park, was built at the corner of 110th Street and Morningside Avenue, giving owners not only a view of one but two landmarked parks, Morningside Park and Central Park.

The Crane Count and Harlem’s Future

I once attended a lecture where Barbara Corcoran shared that she could always tell the future prospects of a neighborhood by counting the cranes. In 2012, it was very apparent that based on the crane count, Harlem was the place to be. 145 Central Park and Circa followed in the footsteps of the other park-side beauties. These new buildings gave ringside seats to Central Park for those willing to pay over $1700/square foot for views across The Harlem Meer all the way down to the luxury towers of Billionaire’s Row on 57th Street.

Tax Abatements and Harlem’s Appeal

In the past, various factors have driven interest in Harlem real estate, but two elements have remained consistently attractive: lower purchase prices and reduced carrying costs. These advantages have been a cornerstone of Harlem’s appeal to buyers over the years.

A significant contributor to these lower costs has been the tax incentives originally designed to motivate developers. The 421-a and J-51 tax abatements, which initially enticed builders to invest in the area, became a valuable benefit passed on to subsequent property owners. In many cases, buyers found themselves with substantially reduced tax bills, with these savings extending anywhere from 10 to 30 years, depending on the specific building.

The financially savvy took note and jumped on the Harlem condominium train.

Current Market Trends

By the end of 2019, the average price per square foot in Harlem overall was $838, with the Upper East Side at $1,247 and Midtown at $1,265. Initially, buyers sought out Harlem condominiums for space at a great price despite a lack of local services. As the shops and restaurants filled in, more buyers came, and the developers met the demand, increasing the quality of finishes yet holding the aggregate price down by shrinking the size of the apartments.

Thinking of Making a Harlem Condo Your Next Home?

Here’s what you can expect to find in today’s market:

One-Bedroom Homes

Average list price: $692,000 Average monthly carry: $1,204

Notable options:

1280 Fifth Avenue: $750,000

  • 16th floor with wide open views
  • East-facing

Julia: “You will have to walk out the front door for park views as this home is facing East.”

300 West 122nd Street: $750,000

  • Full-service building with impressive amenities

Julia: “Another great option at the same price can be found at 300 West 122nd Street which is a full service with an impressive suite of amenities and proximity to Frederick Douglass Boulevard, Morningside Park and Columbia University.”

Two-Bedroom Homes

Average price: $1,071,000 Average monthly carry: $1,518

Notable options:

The Kalahari (40 West 116th Street): $980,000

Julia: “If you want to avoid the mansion tax, you can pick up a two bedroom for $980,000 at the Kalahari, 40 West 116th Street. This apartment overlooks the landscaped terrace.”

Rosa Parks Condominium (163 St. Nicholas): $999,000

Julia: “For only $999,000 this one is a good deal if you don’t mind redoing the floors before you move in and not having a washer/dryer in the apartment. There is a large, well maintained laundry room on the first floor.”

Three-Bedroom Homes

Average size: 1,632 square feet

Notable options:

1485 Fifth Avenue, 15A: $1,695,000

Julia: “1485 Fifth Avenue, 15A is an open spacious home offering wide open protected views in every direction. Move in ready it is listed at $1,695,000 in a full-service building.”

145 Central Park North: $2,200,000 – $2,950,000

Julia: “Looking for a Central Park view? There are three homes listed between $2,200,000-$2,950,000 at 145 Central Park North. The highest floor three-bedroom home offers spectacular views all the way to midtown and beyond.”

Four-Bedroom Homes

Julia: “There are fewer four-bedroom homes to choose from but the available inventory is very special.”

Notable options:

23 West 116th Street, 12D: $2,850,000

Julia: “The modestly priced home on 116th Street has a private roof deck and bright Southern exposure from every room and is located in a full-service building with a tax abatement.”

111 Central Park North, PHB: $14,950,000

Julia: “PHB at 111 CPN is truly a trophy property with dramatic double height soaring ceilings, private outdoor space, luxury finishes throughout and breathtaking vistas to impress even the most jaded New Yorker.”

Looking to explore a Harlem condominium?

Reach out today. As a Harlem condo owner for the past decade and a Harlem real estate agent for two decades, I would be happy to guide you through all the Harlem buildings to find your home.

Engaging, informative well written piece by a long term professional. Please keep writing on relevant topics.

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Dr. Kate Lund

Empowering individuals to build resilience and thrive | ?? | Inspiring lasting change | ?? | Fostering belief in possibility

3 周

Julia Boland — I love this — Great insight and perspective on your journey and life in Harlem.

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