Brooklyn’s high real estate prices have forced people to look for alternative housing options and for many, that meant making a move to the more affordable Queens.
But a new study shows that at least one neighborhood in the “World’s Borough” has surpassed Brooklyn in terms of condo prices. Real estate firm Modern Spaces recently released its Quarter 1 2016 Market Report, which found that Long Island City condo prices have surpassed Brooklyn’s average price by 17 percent.
The average price for a condo in the neighborhood is now $1,235,524, a 30 percent increase from last quarter and more than the $1,024,197 average price tag in Brooklyn.
According to data compiled by Modern Spaces, the market has shifted from studios and one-bedroom apartments to accommodate more people in two- and three-bedroom apartments. Last quarter, two-bedroom apartments made up 30 percent of closings while this quarter, which spans from Jan. 1 to March 31, two-bedroom units made up 46 percent of closings.
The price per square foot in two-bedroom units has also increased from $991 last quarter to $1,116 in the first quarter of 2016. The average price per foot is $1,308. The View, an 18-story luxury condo tower at 4630 Center Blvd., features the highest prices per foot in the market with $1,906.
One- and two-bedroom walk-ups have slightly decreased from last quarter with average prices hitting $2,307 and $2,809, respectively. That trend is also reflected in one- and two-bedroom elevator rentals, which have decreased from $2,560 and $2,870 to $2,377 and $2,833 respectively.
The report also outlines trends in the Astoria market, which has seen a shift from two- and three-bedroom units to mostly one-bedroom units sold this quarter. This translates to 45 percent one-bedroom units and 22 percent two-bedroom units last quarter to 70 percent one-bedroom and 7 percent two-bedroom units sold this quarter.
The average rental rate in Astoria decreased this quarter from $3,131 to $2,717.
Walk-up multi-family buildings, elevator multi-family buildings, office buildings and residential development sites have all jumped in price per square foot this quarter. Mixed-use buildings have skyrocketed from $391.86 per square foot last quarter to $503.48 this quarter.
“As predicted, the rental market is at the early stages of leveling out,” said Eric Benaim, CEO of Modern Spaces, in the report’s summary. “A strong condominium market and a sharp increase in demand for larger units sets a new tone for 2016.”