Real Estate Central

2nd Quarter 2008 Prudential Douglas Elliman Manhattan Market
Overview-Prepared by Miller Samuel

NEW YORK, July 2 /PRNewswire/ — The just-released Second Quarter 2008
Prudential Douglas Elliman Manhattan Market Overview reveals that the
number of sales continues to remain below the levels seen at this time last
year, while the price indicators continue to show an increase.

“The turmoil of the credit markets has reduced buyer purchasing power,
served to reduce employment in the financial services sector and is
generally believed to result in reduced individual compensation next year,”
said Jonathan Miller, President/CEO of Miller Samuel, the firm that
prepared the report. “Nevertheless, the number of sales to date in 2008 is
at a higher level, and inventory is at a lower level, than seen in the same
period two years ago. Rising prices are largely a product of a skew in the
mix of recent closings toward higher end properties.”

“We should kiss the ground that we live in New York City because the
market continues to hold its own compared to the rest of the country.
Credit is less available to the consumer, so sales have been slower this
past quarter, but overall, New York City is a healthy market,” said Dottie
Herman, President and CEO, Prudential Douglas Elliman. “Manhattan is an
exciting and thriving destination city that competes globally, both as a
center of world business and as a desirable place to live, making it
especially attractive to overseas buyers whose purchases help prices remain
stable.”

Highlights from the 2nd Quarter Prudential Douglas Elliman Manhattan
Market Overview include:

— Median sales price increased 14.5% to a record $1,025,000 over the
prior year quarter result of $895,000.

— Price per square foot increased 10.9% to $1,263 over the prior year
quarter result of $1,139.

— Average sales price increased 25.2% to $1,669,729 over the prior
year quarter result of $1,333,316.

— The number of sales dropped 21.8% this quarter to 3,081 units as
compared to the 3,939 units sold in the prior year quarter.

— Listing inventory increased 31.2% to 6,869 units from the prior year
quarter total of 5,237 units.

— Days on market was 135 days this quarter, more than two weeks longer
than the 117 days on market average in the same period last year.

— Listing discount was 3.6%, up from 2.2% in the same period last
year.

In a separate analysis, sales at 15 Central Park West and The Plaza
were removed from the data set, still resulting in increases in all price
indicators as compared to their prior year quarter results: median sales
price up 11.2%, price per square foot up 4.7% and average sales price up
14.1%.

Co-op Market

The median sales price of a co-op this quarter was a record $755,000,
up 8.6% from last year at this time. The average price per square foot
increased 16.6% to a record $1,146 from the prior year quarter, resulting
in the average sales price increasing 11.2% to $1,280,201 from the same
period last year. Inventory levels for co-ops increased 34.4% to 2,481
units from the prior year quarter. Co-op listings are comprised of 97.8%
re-sales.

Condo Market

The median sales price of a condo this quarter was a record $1,267,000,
up 21.8% from last year at this time. The average price per square foot
increased 22.4% to a record $1,442 from the prior year quarter, resulting
in the average sales price increasing 32.9% to $1,937,090 from the same
period last year. Inventory levels for condos totaled 3,534 units, up 28.2%
from the prior year quarter total, while new development comprised 47.5%
market share of condo listings, up from 33.9% in the same period last year.

Luxury Market (upper 10% of all co-op and condo sales)

The median sales price of a luxury apartment this quarter was
$4,950,000, up 37.5% from last year at this time. The average price per
square foot increased 30.9% to $2,282 compared to the same period last
year. The average sales price was $6,364,000, up 38.4% from the same period
last year, while inventory dropped 31.5% to 672 units from the same period
last year.

Loft Market (co-op and condo sales)

The median sales price of a loft apartment was a record $1,700,000 this
quarter, up 3% from last year at this time. The average price per square
foot increased 3% to a record $1,311 from the same period last year, while
average sales price fell 11.9% to $2,123,780 from the same period last
year.

— The report’s author, Jonathan J. Miller, President/CEO of Miller
Samuel. Miller provides input for the Federal Reserve’s Beige Book, and
serves on the NYC Mayor’s Economic Advisory Panel and the NYC Council
Finance Committee Economic Advisory Board. On Matrix
[matrix.millersamuel.com], he blogs about the real estate economy.

— Dottie Herman is President & CEO of Prudential Douglas Elliman, the
company that distributes the report. Prudential Douglas Elliman is New York
City and Long Island’s preeminent residential broker, with nearly 70
offices, over 3,300 real estate agents and a network of national and
international affiliates. Herman is frequently quoted in The New York
Times, The Wall Street Journal, Crain’s, and The New York Post.




Full data tables and analysis are immediately available upon request.
ABOUT THE MANHATTAN MARKET OVERVIEW

The Manhattan Market Overview is New York’s first quarterly residential
market report, and is developed from the largest and most sophisticated
database of transactions in New York. The report was the first to track
co-ops by price per square foot, to analyze square footage of all sales, to
analyze the market by median sales price, to break out the market by
bedrooms (Studio, 1, 2, 3, 4+), to analyze market-wide apartment inventory,
to analyze days on market and absorption, to drop price per room as an
obsolete market indicator, to break out sales by specific neighborhoods and
to analyze the uptown co-op and condo market.

About Miller Samuel (http://www.millersamuel.com) — Miller Samuel is a New
York based real estate appraisal services firm established in 1986. Miller
Samuel provided property valuations of more than $5,000,000,000 in the past
year. The company’s clients include domestic and international financial
institutions, law firms, consulting firms, developers, employee relocation
companies, co-op and condo boards, managing agents, individuals and
government agencies. The firm developed what is now the largest database of
Manhattan co-op and condo sales covering the sales market back to the late
1970s.

Prudential Douglas Elliman Real Estate is New York’s largest
residential brokerage, over 60 offices, more than 3,500 real estate agents
and a network of national and international affiliates. Prudential Douglas
Elliman, ranked in the top five of all real estate companies in the nation,
closed $14 billion in sales in 2007. Prudential Douglas Elliman also
controls a portfolio of real estate services, including Manhattan’s largest
residential property manager, Douglas Elliman Property Management, as well
as PDE Title and Preferred Empire Mortgage Company. For more information on
Prudential Douglas Elliman as well as expert commentary on emerging trends
in the real estate industry, visit the Prudential Douglas Elliman site at
http://www.prudentialelliman.com.

See Also:

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• U.S. Homeowners One Step Closer to Saving Energy Dollars and Combating Climate Change Thanks to U.S. Conference of Mayors Action
• Starwood Land Ventures Adds West Region President to Oversee Expansion
• Vero Beach Shell Gas Station Goes on Sale
• Boston Properties to Release Second Quarter 2008 Financial Results on July 22, 2008

[Via Real Estate Newswire]