Vornado NYC Luxury Condos ‘Exceeded all Expectations,’ CEO Says

(Bloomberg) -- Vornado Realty Trust’s Manhattan luxury-condo tower has “exceeded all expectations,” even with suggestions of a slowdown in the high-end market, the developer’s chief executive officer said.

The project, at 220 Central Park South, is “approaching 85 percent sold” and stands to produce $1 billion in profit, Steven Roth said Tuesday on a conference call with analysts. Of the tower’s 27 full-floor apartments, 26 are under contract, with two of those deals signed just this month, he said.

“The press is telling us that the condo market in New York is soft or even worse than that. That may well be for some,” Roth said. But “220 Central Park South has exceeded all expectations and is well into record-setting territory.”

A post-recession boom in ultra-luxury construction has given New York’s wealthy buyers plenty of choices, putting pressure on developers to sell apartments before the next high-end project opens. About 4,089 newly built units are expected to be listed for sale in Manhattan in 2019 -- an 82 percent increase from this year, according to data from brokerage Corcoran Sunshine Marketing Group. Most will be priced at $1,800 a square foot or higher.

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