the dirt │Greenwich Is A Bargain
There seems to be a lot of chatter recently about the big trades in Greenwich. While we highlight the chart toppers in our quarterly report, we thought it would be interesting to take a look at where the top of the market stands in 2017 relative to historic trends.
- In terms of number of closings, not surprising, 2007 was the peak with 19, followed by 2012 with 14.
- To date in 2017, 8 properties at $10+ million have closed with 2 pending—218 Clapboard Ridge Road (listed for $10.9 million) and 15 Glen Avon Drive (listed for $15.9 million). There is a good chance 218 Clapboard will fall off this list once it closes.
- In terms of total dollar volume, 2014 was the peak with $293 million however, that number is skewed by the $120 million sale at 499 Indian Field of 50 waterfront acres.
How Is 2018 Shaping Up? Well if only we all had a crystal ball, but it’s fairly safe to say that continued strength in the stock market will be a strong precursor to this segment. However, we believe the big driver to this segment is that some sellers are finally getting more realistic with their pricing.
* Source: StreetEasy, Greenwich MLS, Market Returns as of 12/9/17.*
Tale of Two Cities—Greenwich Is A Bargain
While Greenwich has a bit of a reputation as being all about expensive, grand properties, it worthy to put it in perspective. One only has to look 30 miles to the south to realize what a value play Greenwich is.
- Of the 8 closed sales over $10 million in Greenwich, the average square footage was 11,000 or $1,780/sf. As a bonus you’ll get an average of 17 acres of lawns, pools/spa, tennis court, etc. Acreage is easily skewed by 2 large transactions, but you get the jist.
- In Manhattan, StreetEasy.com reports 276 recorded sales (condo/coops/houses) of $10 million or higher this year. Looking at the $10-14 million segment, the average trade was at $3,800sf!
And, let’s not forget all the incredible amenities that Greenwich offers—from beaches/water activities, schools, mass transit, numerous parks, playgrounds, restaurants, to world class retailers and a plethora of town-sponsored community events.
Proposed Tax Plan Impact
The proposed tax plan could see some significant shift in the real estate market.
- The Pro. The proposed tax plan would cap the write-off of real estate taxes to $10,000/year. This will likely shine a light on the property tax benefits in Greenwich over our other Connecticut and Westchester County neighbors where mil rates are 2 to 3x higher.
- The Con. The proposed plan for new homeowners would reduce the mortgage interest deduction on loans of $1m down to $500,000. This will likely hit the entry level and first-time homeowners the hardest.
the dine│Clams Oreganata
Since it had been unseasonably warm, I was able to fire up the grill on Thanksgiving Day to make one of my favorite appetizers—Clams Oreganata. It’s pretty easy and mess free on the grill.
Just toss some bread crumbs in a frying pan and toast with lemon zest, garlic (or shallots), oregano and butter. Throw the clams directly on the other side of the hot grill. After the clams open up (maybe 5 min), ladle the crumb mix into the clams. A long ice tea spoons works great. Close the grill for 1-2 minutes and pull them off.
Hit the with a squeeze of fresh lemon and pair with a nice glass of Merry Edwards Sauvignon Blanc… Enjoy!
the wine│The Calling
I was very excited to hear one of our favorite wines, The Calling Chardonnay (2015 Dutton Ranch Vineyards) was named #67 in Wine Spectator’s Top 100 Wines of 2017.
Peter and Jim, the creators of The Calling, have done something pretty cool here in just 5 years. I’ve also had the pleasure of spending some quality time with them tasting their handiwork. It’s a great story about how fatherly love and a random, risky introduction evolved into a great friendship and an award-winning wine. Read more about their story here.