Brooklyn’s development boom continued unabated in 2014 accounting for nearly a third of the $6 billion in investment property dollars spent in the borough last year, according to Ariel Property Advisors’ Brooklyn 2014 Year-End Sales Report.
Prices per buildable foot varied greatly from neighborhood to neighborhood, with the most desirable residential destinations commanding values north of $500 per buildable square foot and a greater portion of neighborhoods now commanding values north of $200 and $300 per buildable square foot.
Major development site sales were primarily clustered in North Brooklyn where developers invested more than $200 million Downtown and nearly $400 million in Williamsburg. Over 80 properties totaling more than 1.25 million buildable square feet traded in Williamsburg, which saw the highest development dollar and property volume in the borough. In nearby Greenpoint, 27 properties with close to 1 million buildable square feet traded for nearly $155 million.
“Parts of North Brooklyn, waterfront areas in particular, are now competing with Manhattan-level prices while neighborhoods further inland are increasingly catching up,” said Daniel Tropp, vice president of Ariel Property Advisors.