3050 Perry Avenue, an elevatored apartment building in the Bronx, recently sold for $3,700,000, which is $100,000 per unit or about seven times the gross rent. At first glance, this might seem high on a price per unit basis compared to other elevatored buildings that have sold in the Bronx. For example,1485 Macombs Road in the South Bronx recently sold for only $65,306 per unit. Why is there a 35% difference in price in the same borough?
According to Karl Brumback, Massey Knakal's Northern Bronx and Riverdale specialist, ten blocks in the Bronx can make a tremendous difference in property values. The Norwoods ection of the Bronx has achieved some of the highest premiums. This was very apparent to me when I recently visited. I was amazed by the quality of the neighborhood and buildings.
We inspected a pre-war walk-up building where an $1,100 one bedroom stretched almost 1,000 SF. As someone who is used to Manhattan two bedrooms the size of my cubicle, I was impressed to see a true eat-in kitchen and a spacious living room. Furthermore, there were views of the Bronx Botanical Gardens.
This neighborhood is a very manageable commute to Midtown at less than an one hour. According to Hopstop.com, you can take the D train from East 205th Street. You'll even burn 27 calories on the walk to and from the train! Additionally, the Williamsbridge and Botanical Gardens Metro North sations reach Grand Central in less than 30 minutes.
According to Wikopedia, Norwood is a working class residential neighborhood in the northwest Bronx with a population of 40,748. The area is dominated topographically by what was once known as Valentine's Hill, the highest point being near the intersection of 210th Street and Bainbridge Ave., where Gun Hill Road intersects, and around the MontefioreCenter, the largest landowner and employer of the neighborhood. It borders Van Cortlandt Park and Woodlawn Cemetery to the north, the Bronx River to the east, and Mosholu Parkway to the south and west.Norwood's main commercial arteries areGun Hill Road, Jerome Avenue, Webster Avenue, and Bainbridge Avenue.
Landmarks in the area include the Williamsbridge Reservoir Oval or "OvalPark", which features children's playgrounds, dog runs, basketball and tennis courts, and a football field (doubling as a soccer field). Two buildings from that era stand today: Valentine-Varian House, which houses the Museum of Bronx History; and the old Williamsbridge Reservoir Keeper's House, which was recently bought and restored by the Mosholu Preservation Corporation for use as a community space. Both houses have been named landmarks by theCity Landmarks Commission.
My recent trip toNorwoodreminded me that there is no substitute for pounding the pavement when looking at real estate. Stats from a report will not depict all an area has to offer.
Even at $100,000 per unit, Norwood is a tremendous bargain compared toManhattan, where elevatored apartment buildings can sell for $300,000 to $1,000,000 per door. Also, with NYC's population projected to grow by another 600,000 people by 2020, there will certainly be demand for the apartments.