'Million Dollar Listing' Star Ryan Serhant Goes Inside New York's $100 Million Apartments (EXCLUSIVE GUEST BLOG)
For all real estate-related questions, feel free to tweet Serhart @ryanserhant. He will answer one reader question per-blog.
Even in a sluggish economy, apartment listings here in New York City are reaching epic proportions. In fact, some are now going for prices in the $100 million range.
No, I'm not joking. In the last few months alone, I have seen multiple listings in that range. Many of these sales were fueled by the recent purchase of a $90 million penthouse, located inside a building that is -- wait for it -- still under construction.
So, just who is buying these $100 million homes?
On first thought, one might assume that A-list celebrities like Beyonce and Jay-Z or Gwyneth Paltrow are shelling out big bucks to live in these luxurious pads.
In reality, it's the hedge funders and foreign buyers from countries like China, Russia and Brazil who are gobbling them up.
Ekaterina Rybolovleva, the 22-year-old daughter of Russian billionaire Dmitriy Rybolovlev, recently dropped a whopping $88 million to live at 15 Central Park West, a building known for its high-priced apartments and stunning views of the Park.
Not only does that price tag give her 6,744 square feet of space to work with, she now has the chance to hob-nob with celebrity neighbors like Sting, Denzel Washington and Alex Rodriguez.
But while $88 million may sound like a lot of money to spend on an apartment, the payoff is often worth it for perspective buyers, as New York has become a safe place to invest in real estate. Even if the buyer chooses not to live inside the property, they can still rent it out for a hefty price, sometimes at $50,000 per-month.
If you're one of the lucky few who is in the market to buy an apartment in the $100 million range -- because, let's face it, who isn't? -- you can always snatch up a penthouse inside the Ritz-Carlton for a mere $95 million. Or, you could try a three-level, 8,000 square-foot apartment for a higher price, at $100 million.
Fun fact: The owner of said apartment purchased it for $4.5 million back in 1993. In other words: That’s a $95 million profit over 20 years.
As it turns out, my friends, investing in America is a good idea after all.