Elad Group Convenes Conversation on the State of Ultra-Luxury Development in Manhattan

Manhattan does not have enough four-bedroom-plus condominiums to meet growing demand among high-net-worth buyers and multi-generational families.

That was among the key takeaways of a panel discussion on the state of New York City’s ultra-luxury residential market convened on September 19 by Elad Group at its Upper East Side development THE 74. Moderated by Kael Goodman, CEO of real estate data platform Marketproof, the panel featured Susan de França, President and Chief Executive Officer, Douglas Elliman Development Marketing (DEDM); Richard Ferrari, President and Chief Executive Officer of Brokerage for New York City and Northeast Region; and Robert Gilman, Wealth Advisor, JP Morgan.

Noting that Manhattan’s market is ascendant, the panelists asserted that the steady erosion of new development inventory, particularly for larger apartments, has made turnkey luxury residences like those at THE 74—where DEDM leads exclusive sales and marketing—especially desirable.

Ferrari and de França both noted the resurgent appeal of the Upper East Side, with a new generation of restaurants, private clubs, and wellness amenities that exemplify the so-called “15-minute city” lifestyle that is among the trends fueling demand.

Gilman, meanwhile, highlighted real estate’s vital role in wealth planning and transfer, noting that anticipated tax law and mortgage rate changes have fueled a greater sense of urgency among buyers.

But the conversation crystallized around a key data point: Over the past year, the supply of new developments with units of four bedrooms or more fell 17.67%, compared with an 8.96% decline in overall new development inventory. Even as developers have built fewer large units as a share of total inventory, absorption of large units has outpaced the broader market. 

This scarcity of prime product in coveted neighborhoods like the Upper East Side suggests that THE 74, with its large collection of full-floor homes, is uniquely positioned to meet this growing demand.