42 million SF of new buildings opened last year in NYC, up 36% YOY: PINCUSCO

From left: 55 Hudson Yards (Credit: Kohn Pedersen Fox); One Manhattan Square (Credit: Adamson Associates Architects; Matrix Global Logistics Park (Credit: Google)

Related Companies, Matrix Development and Extell Development together completed more than 10 MSF

By Adam Pincus 

New York City’s developers opened 42 million square feet of new construction buildings in 2018, up 36 percent compared with the year before, an analysis of Department of Buildings data by PincusCo Media found. 

Three developers — Related Companies, Matrix Development Group and Extell Development — accounted for nearly a quarter of that total, or 10.4 million square feet through 16 individual buildings in Manhattan, Queens and Staten Island. 

The analysis looked at temporary certificate of occupancy records maintained by the city’s DOB for new building filings, and compared that to initial filings which include records that can be used to identify the developer. 

The challenge for developers does not end with the completion of the building, of course. Once the project gets its temporary certificate of occupancy, which signals that all or a portion of the building can be occupied, the owner needs to begin generating income through rents or close on condominium sales. And other owners and developers nearby must take into account the new property and the impact on business.

New building openings by year 2012-2018

The vast majority of the new construction was residential. Approximately 28 million square feet was residential and 14 million was not. Most of the non-residential buildings were large, with the top 10 non-residential buildings accounting for more than 9 million of that 14 million square feet.

The residential development was dispersed around the boroughs. The 1,954 projects completed last year added a total of more than 30,000 residential units, with the vast majority of those in high-rise buildings. 

Brooklyn led with 9,482 new residential units in buildings excluding one-, two- or three-family homes; Manhattan was next with 8,488 units; Queens with 6,302 units; the Bronx with 4,781 units and Staten Island with 174 units. 

But not residential development was a glass and steel high-rise tower. Developers completed 925 one-, two- or three-family homes accounting for 2.6 million square feet of space and 1,350 residential units. More than half of those, or 461, were in Staten Island, while Queens had 297, Brooklyn had 130. There were 30 in the Bronx and seven in Manhattan. 

The two largest single-family homes in Manhattan were mansions the Chetrit Group developed, the 11,963-square-foot 110 East 76th Street, and the 10,594-square-foot 118 East 76th Street. 

Related took the top spot as the developer that opened the most square feet of buildings in 2018, with eight buildings totaling 5.35 million square feet. The largest of those was 30 Hudson Yards and its attached retail space, which together counted for 3.06 million square feet, according to DOB figures. 

Stephen Ross’s firm also completed the 51-foot office tower, 55 Hudson Yards and the 285-unit condominium building, 15 Hudson Yards, last year.

In addition to the huge projects, Related also opened the 46-unit 70 Vestry Street, designed by architect Robert A.M. Stern. Meanwhile, its smallest project to open was a one-story art gallery at 511 West 27th Street, with just 4,737 square feet. 

The second most active developer was New Jersey-based Matrix Development Group, which is developing the Matrix Global Logistics Park in Bloomfield, Staten Island. It obtained TCOs for three buildings totaling 3.4 million square feet. The firm has leased space to Amazon and IKEA, among others, at its the 200-acre development. 

Next is Extell Development, with five projects to obtain a temporary certificate of occupancy, totaling 1.7 million square feet. The largest was the 1.1 million-square-foot condo tower One Manhattan Square, which is the larger of two Lower East Side towers it completed last year. The next largest for Gary Barnett’s firm was the 104-unit condo The Kent, at 200 East 95th Street with frontage on Third Avenue. 

Extell’s smallest project to open last year was its supportive housing development at 166 East 100th Street, with 11 residential units. The project was built with the plan to transfer ownership to the non-profit housing group Urban Pathways, with the understanding that Extell would obtain bonus development rights elsewhere. Extell transferred its ownership interests to Urban Pathways on June 29, 2018.

Related, Matrix and Extell did not immediately respond to a request for comment.