Devco Working Towards a Greater Good

Press of Atlantic City recently published an article about New Brunswick Devco. Press of Atlantic City claimed that Devco failed to pay $1 million in principal and interest on a $20 million loan it received from the Casino Reinvestment Development Authority. The loan was made to Devco for Heldrich, a New Brunswick hotel and conference center developed by a nonprofit called the New Brunswick Development Corp. CRDA Executive Director John Palmieri acknowledged that the repayment of the loan has not gone as planned; however, Palmieri recognized at the start of the loan that it would take longer the average amount of time for the loan to be repaid.
Devco is a private nonprofit urban real estate development company founded in the mid-1970’s to serve as a catalyst for the city’s revitalization. Devco believes their expertises lies within the strategic alliances, strong public-private partnerships, and innovative project financing structures. Devco works on a number of different projects, some of them award-winning. Devco to this day has overseen nearly $1.6 billion of investment in New Brunswick. All of these investments serve as a greater good for the community, and not just there to suck money out of people and consumers.

Even with the struggle in the economic world, Devco has managed to persevere because of their unique strategy when it comes to redevelopment. Each project Devco gets involved in is for a higher purpose, they are the statewide leader for education, healthcare, industry, the arts, travel, and government. It seems that the Press of Atlantic City article, shows the company in some distress because they are having trouble paying off their loan debt. However, it seems like they are quickly turning around and will be able to begin paying off the loan as soon as they get back on their feet again.

 

Analysis of Town Residential and the Healthy New York Real Estate Sector

Latest reports on the New York real estate scene indicate that about half of new development inventory in Brooklyn has been sold. In its report of November 2015, Halstead Property Development Marketing posited that there were only 550 apartments remaining. Additionally, the multifamily dollar volume rose to $1.7 billion within the month of September. This story was originally reported on The Real Deal.

According to a November 2015 report on residential absorption by Brown Harris Stevens, the absorption rate in Manhattan fell to 4.1 in November. Midtown and Midtown East witnessed the sharpest absorption decline. In its Manhattan Luxury Contracts report, Olshan Reality contended that between November 9th and 15th, there were seventy contracts for luxury apartments priced at $4 million and above in Manhattan. This happened in the first half of the month marking the strongest start in the month of November since 2006.

In its September report on multifamily sales, Ariel Property Advisors noted that multifamily sales in New York City went close to $1.7 billion. The sales recorded in the month of September indicate a 97% jump compared to the previous month of August.

According to a Q3 2015 Retail Leasing Report by Cushman & Wakefield, the asking rents soared on the Lower Fifth Avenue especially between 42nd and 49th street. The area witnessed the strongest growth over the third quarter with asking rents rising to 14.3% with a square foot going for $1,244. Additionally, during the initial three quarters of the year, office space of close to 22 million square feet was leased out. The Manhattan vacancy rate was 8.9% with the asking rent rising to $71.02 per a square foot.

New York City continues to register a strong property development environment with the luxury end properties on the rise. The demand for luxury apartments has also continued to rise with major players like Town Residential doing a wonderful job in catering for this market. Town Residential is a premier luxury real estate player in New York that was established in 2010. Andrew Heiberger and Joseph Sitt founded the corporation.

Town Residential’s expertise lies in luxury residential leasing, marketing, sales and property development. The best in class hallmark service offered by Town Residential has set new standards in the real estate industry. At the center of the firm’s culture is a team of experts with outstanding industry knowledge. This knowledge has made Town Residential successful in terms of offering innovative service to its clients.