Corcoran Report - Brooklyn - Q3 - 2012

A comprehensive analysis of the residential real estate market in Brooklyn.

Bath Beach Bensonhurst Bay Ridge Bedford - Stuyvesant Boerum Hill Brooklyn Heights Bushwick Carroll Gardens Clinton Hill Cobble Hill Crown Heights Ditmas Park DUMBO Vinegar Hill Dyker Heights Flatbush Fort Greene Gowanus Gravesend Greenpoint Greenwood Kensington Lefferts Gardens Midwood Mill Basin Park Slope Prospect Heights Prospect Park South Red Hook Sheepshead Bay Sunset Park Williamsburg Windsor Terrace The Corcoran Report Bath Beach Bensonhurst Bay Ridge Bedford - Stuyvesant Boerum Hill Brooklyn Heights Bushwick Carroll Gardens Clinton Hill Cobble Hill Crown Heights Ditmas Park DUMBO Vinegar Hill Dyker Heights Flatbush Fort Greene Brooklyn Gowanus Gravesend Greenpoint Greenwood Kensington Lefferts Gardens Midwood Mill Basin Park Slope Prospect Heights Prospect Park South Red Hook Sheepshead Bay Sunset Park Williamsburg Windsor Terrace The Corcoran ReportBath Beach Bensonhurst Bay Ridge Bedford - Stuyvesant Boerum Hill Brooklyn Heights Bushwick Carroll Gardens Clinton Hill Cobble Hill Crown Heights Ditmas Park DUMBO Vinegar Hill Dyker Heights Flatbush Fort Greene Brooklyn Gowanus Gravesend Greenpoint

3rd Quarter 2012

The Corcoran Report3rd Quarter 2012

Welcome to the Corcoran Report, our comprehensive quarterly examination of the residential real estate market in

Brooklyn. The report examines closed transactions during the Third Quarter of 2012 (July 1 through September 30)

and compares them to the Third Quarter 2011 and the Second Quarter 2012. Statistics in this report trail actual market

conditions by approximately eight to twelve weeks due to the typical lag time between a contract signing and its closing.

The Brooklyn market displayed persistent growth during Third Quarter 2012. Market-wide sales volume rose 26% vs.

Third Quarter 2011 and increased 3% vs. Second Quarter 2012, the third consecutive quarter of increased sales activity.

Market-wide, the median sale price surpassed both last quarter and last year, achieving its highest point since the market

downturn four years ago. The market-wide median price of $525,000 rose 6% from last quarter and 3% versus the same

quarter in 2011. Meanwhile, the price per foot continued its upward trend, surpassing $600 per square foot for the second

quarter in a row, a 2% increase from last quarter and a 13% increase from Third Quarter 2011.

Prices for new development properties also rose this quarter, up 3% in median price from Second Quarter 2012 and 12%

from this time last year. Mild upward pricing pressure has begun to manifest itself in the re-sale market as Brooklyn’s

inventory of new development property dwindles. A glimpse of this market pressure was seen this quarter with median

prices of resale co-ops and condos increasing 13% from last quarter to $439,000.

We hope you will find this edition of the Corcoran Report useful and informative, and we welcome any questions you may

have regarding it. View all our current market reports for the most comprehensive analysis of Manhattan, Brooklyn, Long

Island’s East End and South Florida at www.corcoran.com/thecorcoranreport.

Sincerely,

Frank Percesepe

Senior Regional Vice President, Brooklyn

Introduction

The following members of the The Corcoran Group made significant contributions to this report:Douglas LaMere I Ryan Schleis I Joshua Sachs I Kirsten Spanjer I Brie Train

The following members of the PropertyShark team made significant contributions to this report:Matthew Haines I Calin Onet I Robert Raiz I Claudia Santa I Robert Sarb

Market Wide

All Apartments

AverageSale Price

Median Price

Avg Priceper sf

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

614K 525K 633

614K 525K 633

8% 3% 13%

612K 497K 622

567K 511K 562

ALL

SA

LES

0% 6% 2%


Brooklyn Heights Cobble HillDumbo DowntownPage 7

Bedford–Stuyvesant Crown HeightsLefferts GardensBushwickPage 11

Interactive map online at

propertyshark.com/maps

The Brooklyn Sales Report is based on data collected by The Corcoran Group from internal and external resources including the public records of the City of New York. All material herein is intended for information purposes only and has been compiled from sources deemed reliable. Through information is believed to be correct, it is presented subject to errors, omissions, changes or withdrawal without notice. This is not intended to solicit property already listed. Equal Housing Opportunity. Corcoran Group is a licensed real estate broker. Owned and operated by NRT LLC.

Average unit sales per square foot (SF):

Above $2,500 SF $2,000 - $2,500 SF $1,500 - $2,000 SF $1,250 - $1,500 SF $1,000 - $1,250 SF $750 - $1,000 SF $500 - $750 SF Below $500 SF No SF Available

PropertyShark.com’s map of Brooklyn plots buildings with sales in the Second Quarter according to their number of sales and average price per square foot.

East FlatbushMarine ParkMill BasinBergen BeachGerritsen BeachGreenwoodSunset ParkBorough ParkMapletonMidwoodBay RidgeDyker HeightsBensonhurstBath BeachGravesendSheepshead BaySea GateConey IslandBrighton BeachManhattan BeachPage 13

Fort Greene Clinton Hill Prospect HeightsPage 9

Number of unit sales per building:

Above 20 Units 10 to 20 Units 3 to 9 Units 1 to 2 Units

Williamsburg GreenpointPage 6

Carroll Gardens Boerum Hill Red HookPage 10

Park Slope GowanusPage 8

KensingtonWindsor TerraceDitmas ParkFlatbushProspect Park SouthPage 12

View all our current market reports for the most comprehensive analysis of Manhattan, Brooklyn, Hamptons and South Florida at

www.corcoran.com/thecorcoranreport


Resale Market WideStrong sales of two bedroom and larger residences drove this quarter’s median price increase of 13% versus Second Quarter 2012, though this was roughly on par with Third Quarter 2011. Resale price per foot grew 5% from last quarter and 4% from last year.

Sales activity surpassed both last quarter and last year while price per square foot reached its highest point since the market downturn four years ago. This quarter’s average price per square foot of all sales was $633, just 5% off from Brooklyn’s peak just before Third Quarter 2008.

Historical Sales and Price per Square Foot (Condos and Co-ops)

$0

$100

$200

$300

$400

$500

$600

$700

$800

$900

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12

Pric

e pe

r Squ

are

Foot

Num

ber o

f Sal

es

Number of Sales Average PPSF

AverageSale Price

Median Price

Avg Priceper sf

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

527K 439K 578

527K 439K 578

4% 1% 4%

508K 390K 550

509K 433K 557

ALL

RES

ALE

S

4% 13% 5%

AverageSale Price

Median Price

Avg Priceper sf

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

454K 350K 554

454K 350K 554

9% -3% -1%

461K 336K 542

416K 359K 560

RES

ALE

CO

-OP

S

-2% 4% 2%

AverageSale

PriceMedian

PriceAvg

Priceper sf

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

646K 565K 591

646K 565K 591

-3% 1% 7%

581K 485K 554

667K 559K 553

RES

ALE

CO

ND

OS

11% 16% 7%


TownhousesTownhouse averages can be skewed each quarter due to the limited number of sales. The average price of single-family townhouse sales increased slightly from both last Quarter and last year due to strong sales in Brooklyn Heights. Two- to four-family townhomes average sales price was down 10% from last quarter, but still up 9% from Third Quarter 2011.

New development sales continue to indicate strong demand, reaching a median price of just over $635,000, the highest median sales price in over three years. The price per square foot of $684 is just 5% off the peak of $720 per square foot during Fourth Quarter 2008. Average sale price escalated 18% from last year, due to an influx in closings of three plus bedroom residences.

New Developments

Sales by Price Category

Brooklyn’s market share of sales over $1M shrank slightly from last quarter to 13% from 15%, but remains strong compared to the 10% share during Third Quarter 2011. Sales in the price category of $750K to $1M had its highest market share in three years at 14%. The number of sales under $350,000 continued to shrink, dropping to 27%, from 29% last quarter and 31% last year.

Average Price Median Average Price Median1 Family 2-4 Family

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

1.910M 1.195M 1.299M 1.197M

1.910M 1.195M 1.299M 1.197M

3% -21% 9% 33%

1.873M 1.714M 1.441M 1.148M

1.863M 1.505M 1.193M 900K

MA

RK

ET

WID

E

2% -30% -10% 4%

31%

29%

27%

21%

22%

22%

27%

22%

25%

13%

12%

14%

9%

13%

12%

1%

2%

1%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

3Q11

2Q12

3Q12

Qua

rter

Under $350K $350K-$500K $500K-$750K $750K-$1M $1M-$2M $2M+

AverageSale Price

Median Price

Avg Priceper sf

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

742K $635K 684

742K $635K 684

18% 12% 12%

756K $618K 682

631K $569K 612

MA

RK

ET

WID

E

-2% 3% 0%


Market WideWilliamsburg Greenpoint

In Williamsburg/Greenpoint prices rose versus last year with the median sale price up 9% and price per square foot up 5% over the same time period. Compared to last quarter, median price jumped 12% as there were fewer low priced one bedrooms sold. However, there were also fewer high priced two bedrooms sold, causing averaging pricing to fall slightly. Note that there are a statistically insignificant number of co-op sales in the submarket.

FLUSHING AVE

Eas

t R

ive

r

Queens

Newton Creek

Interactive map online at PropertyShark.com/maps





Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

N/A N/A N/A

N/A N/A N/A

N/A N/A N/A

N/A N/A N/A

274K 252K 422

587K N/A 481

CO

-OP

S

Average Sale Price

Median Price

Average Price per SF

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

758K 703K 748

758K 703K 748

-2% 12% -3%

2% 9% 5%

772K 625K 768

746K 642K 710

CO

ND

OS

Average Sale Price

Median Price



Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

1.060M 1.060M 1.279M 1.175M

1.060M 1.060M 1.279M 1.175M

N/A N/A 35% 33%

950K N/A 1.617M 1.350M

N/A N/A 947,000 885K

MA

RK

ET

WID

E

12% N/A -21% -13%


Market WideBrooklyn Heights Cobble Hill Dumbo Downtown

The co-op market saw median sale price decrease 7% from both last quarter and last year, but the condo market offset this slump with a 15% increase in median price compared to Third Quarter 2011. With the majority of units closing at an average sale price over $1M, a three year high of $819 per square foot was recorded. This area had the largest year-over-year price per square foot increase in the Borough, with an increase of 12% from last year.






FLUSHING AVE

DEGRAW ST

FULTON ST

ATLANTIC AVE

CO

UR

T S

T

HO

YT

ST

FLAT

BU

SH

AV

E

East R

iver

Manhattan

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

581K 460K 641

581K 460K 641

-17% -7% -2%

-7% -7% -2%

704K 495K 657

626K 496K 656

CO

-OP

S

Average Sale Price

Median Price


Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

958K 850K 819

958K 850K 819

3% 0% 7%

8% 15% 12%

929K 848K 765

888K 738K 733

CO

ND

OS

Average Sale Price

Median Price



Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

4.124M 4.038M 2.157M 1.900M

4.124M 4.038M 2.157M 1.900M

30% 26% -40% -47%

2.638M 2.638M 3.420M 3.330M

3.179M 3.200M 3.600M 3.600M

MA

RK

ET

WID

E

56% 53% -37% -43%


Market WidePark Slope Gowanus

Co-op and condo prices in Park Slope repeated the price surge from last quarter; condo median prices soared 22% from Second Quarter 2012 while the co-op median price jumped 20% over the same time period. All bedroom types in the condo market saw price increases from last quarter, assisting the 8% growth in average price per square foot to $710. This is the first time since the downturn that the Park Slope condo market averaged over $700 per square foot.






ProspectPark

PROSPECT AVE

PR

OSP

ECT

PA

RK

W

Gowan

us C

anal

4TH

AV

E

FLATB

US

H AV

EDEGRAW ST


Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

1.412M 1.143M 1.786M 1.533M

1.412M 1.143M 1.786M 1.533M

0% -19% 28% 16%

3.225M 3.225M 1.787M 1.690M

1.405M 1.408M 1.396M 1.325M

MA

RK

ET

WID

E

-56% -65% 0% -9%

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

793K 729K 699

793K 729K 699

13% 20% 3%

24% 20% -5%

703K 608K 679

638K 608K 739

CO

-OP

S

Average Sale Price

Median Price


Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

795K 735K 710

795K 735K 710

11% 22% 2%

25% 20% 8%

714K 603K 699

638K 615K 656

CO

ND

OS

Average Sale Price

Median Price



Market WideFort Greene Clinton Hill Prospect Heights

A rise in the number of one bedroom sales in Fort Greene and Clinton Hill lowered the median price of condo residences to just under $500K, a 10% drop from last quarter and last year. Condo price per foot dropped 3% from last year and 4% from last quarter, although the submarket average price still remains over $500 per square foot where it has been for two straight quarters. The co-op market received a solid 13% boost in median sale price from last quarter and last year.






FLATBU

SH AV

EATLANTIC AVEW

AS

HIN

GT

ON

AV

E

BE

DFO

RD

AV

E

FLUSHING AVE

EASTERN PKWY


Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

1.537M 1.575M 1.562M 1.450M

1.537M 1.575M 1.562M 1.450M

220% N/A 36% 42%

2.653M 2.653M 1.655M 1.513M

480K N/A 1.152M 1.025M

MA

RK

ET

WID

E

-42% -41% -6% -4%

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

467K 425K 528

467K 425K 528

-4% 13% 1%

-3% 13% 2%

488K 375K 525

481K 375K 520

CO

-OP

S

Average Sale Price

Median Price


Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

583K 496K 522

583K 496K 522

-10% -10% -4%

-1% -10% -3%

649K 550K 541

591K 549K 539

CO

ND

OS

Average Sale Price

Median Price



Market WideCarroll Gardens Boerum Hill Red Hook

The median sale price in the Carroll Gardens/Boerum Hill condo market leaped 32% from last quarter, and 21% from last year. This jump to a median price of $860K was primarily due to three bedroom sales, although all bedroom types had price increases. Median sale price in co-op market fared better than last quarter, but decreased 2% from the same time last year.






Governors Island

Upper

Bay

Gowan

us C

anal

DEGRAW ST

DEGRAW ST

ATLANTIC AVE

CO

UR

T S

T

BQ

E

4TH

AV

E

HO

YT

ST

FULTON ST

FLATB

US

H AV

E


Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

1.585M 1.585M 1.770M 1.628M

1.585M 1.585M 1.770M 1.628M

-46% -46% -9% -20%

2.294M 2.300M 2.042M 1.851M

2.955M 2.955M 1.952M 2.033M

MA

RK

ET

WID

E

-31% -31% -13% -12%

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

664K 645K 691

664K 645K 691

-9% 9% -1%

-6% -2% -2%

726K 590K 701

703K 660K 703

CO

-OP

S

Average Sale Price

Median Price


Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

927K 861K 725

927K 861K 725

25% 32% 7%

20% 21% 8%

742K 655K 680

772K 710K 673

CO

ND

OS

Average Sale Price

Median Price



Cemetery of the

Evergreens

Queens

FLUSHING AVE

E NEW YORK AVE

EMPIRE BLVD

NO

ST

RA

ND

AV

E

WA

SH

ING

TO

N

AV

E

ATLANTIC AVE

CYPRESS AVE

WYCKOFF AVE

BE

DFO

RD

AV

E

PARKSIDE AVE

Market WideBedford–Stuyvesant Crown Heights Lefferts Gardens Bushwick

Co-op average price in Third Quarter 2012 was $255,000, a high number for the Bed-Stuy, Crown Heights, Bushwick area, and an increase of 14% from last year. The condo market had an 11% increase in average price from Third Quarter 2011 and a 5% from last quarter, an impact attributed to numerous sales of two and three bedroom residences.







Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

765K 765K 663K 610K

765K 765K 663K 610K

-35% -35% -3% -9%

883K 925K 636K 599K

1.178M 1.178M 684K 670K

MA

RK

ET

WID

E

-13% -17% 4% 2%

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

250K 255K 244

250K 255K 244

24% 28% 7%

14% 41% 3%

201K 199K 229

220K 181K 237

CO

-OP

S

Average Sale Price

Median Price


Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

405K 379K 413

405K 379K 413

5% 3% -4%

11% 15% -14%

385K 368K 431

365K 330K 481

CO

ND

OS

Average Sale Price

Median Price



Market WideKensington Windsor Terrace Ditmas Park Flatbush Prospect Park South

Although condo average price per square foot remains steady, decreases in two bedroom median prices influenced the overall price decline in the Kensington/Ditmas Park condo market from both last quarter and last year. Co-op average price per foot however, increased 9% from last quarter and 11% from last year. Median and average price in the co-op market was up from last quarter, but down from last year.






PARKSIDE AVE

PROSPECT PARK SW

PARKSIDE AVEPRO

SPEC

T PA

RK

W

FOSTER AVE

AVENUE I

ProspectPark

Gre

enw

oo

dC

em

ete

ry

NO

ST

RA

ND

AV

E

MC

DO

NA

LD

AV

E

CO

NE

Y I

SL

AN

D A

VE


Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

N/A N/A 888K 873K

N/A N/A 888K 873K

N/A N/A 8% 6%

1.127M 1.021M 525K N/A

1.120M 1.210M 825K 825K

MA

RK

ET

WID

E

N/A N/A 69% N/A

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

332K 325K 367

332K 325K 367

16% 29% 9%

-16% -8% 11%

287K 252K 337

394K 355K 330

CO

-OP

S

Average Sale Price

Median Price


Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

468K 436K 460

468K 436K 460

-15% -26% 2%

-14% -24% 0%

551K 587K 453

546K 578K 459

CO

ND

OS

Average Sale Price

Median Price



Market WideEast Flatbush Marine Park Mill Basin Bergen Beach Gerritsen Beach Greenwood Sunset Park Borough Park Mapleton Midwood

Bay Ridge Dyker Heights Bensonhurst Bath Beach Gravesend Sheepshead Bay Sea Gate Coney Island Brighton Beach Manhattan Beach

Compared to last quarter, condo median and average sales prices were relatively flat, but average and median sale prices saw a reduction of 3% and 10% respectively from last year. In addition, co-op price metrics displayed either flat or slight decreases from both last year and last quarter.






E NEW YORK AVE

AVENUE I

MC

DO

NA

LD

AV

E

NO

ST

RA

ND

AV

E

EMPIRE BLVD39TH ST

GravesendBay

Upper Bay

Lower Bay

Gateway National Recreation Area


Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

861K N/A 723K 579K

861K N/A 723K 579K

30% N/A 4% 1%

1.219M 1.355M 641K 559K

660K N/A 692K 575K

MA

RK

ET

WID

E

-29% N/A 13% 4%

Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

213K 190K 301

213K 190K 301

-4% -6% -1%

1% -4% N/A

223K 203K 304

212K 199K N/A

CO

-OP

S

Average Sale Price

Median Price


Q3 2012

Change

Q3 2011

Q3 2012

Change

Q2 2012

400K 377K 366

400K 377K 366

0% 2% -4%

-3% -10% 0%

401K 370K 383

412K 420K 365

CO

ND

OS

Average Sale Price

Median Price


Corcoran Report - Brooklyn - Q3 - 2012

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