Q1 2024 delivered $2.8B in Manhattan investment sales volume across 127 transactions. While volume remained below pre-pandemic levels, the quarter showed encouraging signs of price discovery completing.
Key Findings
- Average transaction size: $22M (down 18% YoY)
- Median cap rate: 5.8% (up 80 bps YoY)
- Largest transaction: $185M office sale in Midtown
- Most active buyer type: Private investors (42% of volume)
Sector Breakdown
Multifamily led with 38% of volume, followed by office (28%), retail (18%), and development sites (16%). Office transaction count increased 25% QoQ as price expectations aligned.
Implications for Sellers
The data suggests sellers who price to current market conditions are finding buyers. Unrealistic expectations continue to result in extended marketing periods or withdrawn listings.