The seller of a penthouse on Billionaires’ Row, home to some of Manhattan’s most outrageously luxurious and pricey properties, is trying a new tactic in a slow market: He is putting his unit on the auction block next month. It is an unusual move, as auctions aren’t typically popular among New York sellers, particularly on the high end of the market. “It’s very uncommon,” said Misha Haghani, founder of Paramount Realty USA, an auction company that is not involved with the penthouse.
The owner, London-based real-estate investor Arnon Katz, said he has been trying to sell the property since 2018. “Personally, I’m very optimistic in my approach,” he said. “I believe there is a place for very unique high-end properties in the market. Because it’s so unique, it has the capacity to deliver a good price even in tough times.” The auction, which will be overseen by Concierge Auctions, is slated to take place online in December. There is no reserve price, although the seller can back out 72 hours before the auction if he is dissatisfied with the initial interest levels and the pre-bidding.
The penthouse sits atop Hampshire House, a 1930s era building at 150 Central Park South. It comes with pre-approved plans to combine the penthouse with an attic space above into a five-bedroom, nearly 10,000-square-foot triplex with sprawling views of the park. The plans call for walls of glass, skylights, large windows and 1,125 square feet of terraces, including a private Central Park-facing terrace off the master suite. The property was most recently listed for $40 million, said agent Shawn Elliott of Nest Seekers International, who shares the listing with colleague Tal Reznik. He estimated it could be worth as much as $100 million when the work, which he estimated would take about two years, is completed.
Chad Roffers, chairman of Concierge, said his company is seeing more sellers look to the auction market in New York amid an oversupply of inventory at high-end price points in Manhattan. He said he believes auctions are a good option when the market is “inefficient” and when sellers and buyers are at odds over values. Luxury home sales in Manhattan were down by almost 47% in the third quarter of 2020.
Article source: Mansion Global