Press

Dear Real Estate Person,

You survived until ’25. Mazel!

Since the Federal Reserve started raising interest rates in 2022, real estate pros kept repeating a similar mantra. Just stick it out this year and in the next one, you’ll make a killing. Keep chugging along. Keep pushing for extensions with your lender. Hit up your partners to pump in more capital. Talk to your attorney to be relieved of those personal guarantees.

But each year the finish line moves back. It’ll always be next year.

There is the possibility that 2025 is it: the moment real estate has been waiting for.

On the other hand, instead of surviving until ’25, you might now need to survive through ’25 and then “let it rip in ’26.”

Dealmakers can’t be blamed for yearning for optimism. Transaction volume slowed to record lows.

Total volume for the first three quarters of the year for U.S. commercial real estate totaled the lowest amount since 2013, according to data from Altus Group...

...In the meantime, developers bringing quality products to undersupplied areas like Miki Naftali, whose three boutique projects — 255 East 77th Street, the Henry at 211 West 84th Street and One Williamsburg Wharf at 480 Kent Avenue — are projected to sell out in under a year according to Marketproof, will continue to thrive. Mickey Rabina’s 520 Fifth Avenue has also fared well, with more than three-quarters of its 100 residences sold...