martinnussbaum

[martinnussbaum]

REBNY’s Prop Tech Challenge on Carbon Net Zero

A real estate professional since the late 1990s, Martin Nussbaum is presently the principal of Slate Property Group, located in New York City. In addition to his role at Slate Property Group, Martin Nussbaum is also a member of the Real Estate Board of New York (REBNY). This organization works on behalf of real estate professionals and the industry. In April 2022, REBNY hosted its sixth annual Prop Tech Challenge Demo Day, which focused on assisting the real estate industry with reaching carbon net-zero goals. Held on April 19, the event was a collaboration among the REBNY, New York State Energy Research and Development Authority, and the Commercial Observer. The Prop Tech Challenge invites professionals from the real estate industry to use technology to solve the industry’s most pressing issues in the 21st century. Submissions were taken from firms ranging from early-stage start-ups to larger businesses, and this year the theme was finding ways to use technology within real estate to reach net-zero carbon emissions goals. The event featured both demonstrations and presentations from industry experts. Green development is poised to become an important element in NYC urban planning in the next few years. For this reason, the city is in great need of the technology, creativity, and ingenuity that can address the myriad of environmental issues the city faces in the 21st century.

[martinnussbaum]

Modern Zoning and Mixed-Use Development - Disparity of Concepts

As the principal of Slate Property Group, Martin Nussbaum is responsible for the firm's acquisition and development of new residential and retail projects in New York. Before establishing Slate Property Group, Martin Nussbaum served as an owner's representative for a real estate development firm in New Jersey, where he oversaw the construction and development of dozens of single-family and multi-family residential units and 250 units of mixed-use properties.

By definition, mixed-use buildings (MXBs) are buildings that serve to provide space for three or more significant yet diverse commercial activities. Commercial activities, in this context, refer to any revenue-generating activities - such as office businesses, workspaces, or retail. Mixed-use buildings also contain residential spaces, but this is not pertinent to the MXB designation, although it is shared.

In the mid-20th century, mixed-use buildings represented the bulk of real estate properties in the United States. Their popularity was decimated rapidly around the 1980s due to the emergence of additional regulations geared toward modern zoning. The essence of modern zoning is to bifurcate real estate properties into two categories. As per zoning, residential properties and commercial properties should occupy different spaces. Modern zoning opposes using one space for residential and commercial purposes, a phenomenon that contradicts mixed-use construction.

Urban regions have seen an increasing need to encourage a more space-saving approach to real estate development since populations have exceeded available land space. This aggravates the house affordability problem. More than half the world's population resides in urban areas, implicating a competition for space between the residential and commercial sectors. Promoting mixed-use construction is an apt approach to changing the game (once again) in this regard by optimizing the usage of space.

[martinnussbaum]

School Dorms Gets Transformed into Luxury Condos

Slate Property Group principal Martin Nussbaum controls the firm’s investments and business decisions. In this role, Martin Nussbaum has secured $2.5 billion in assets under management for Slate Property Group, located in New York City, New York. The firm closed in September 2021 on a deal to renovate The New School’s Eugene Lang College dorm into luxury condominiums. The building was, dubbed the priciest college dorm for its $16,000 a year for room and board, is located at 118 West 13th Street. The property is comprised of 175 rooms and is almost 34,000 square feet. Up until this point, the seven-story building has undergone significant construction in the past couple of years. The building has been gutted, and the firm is working with Avenue Realty Capital to have the building converted into a luxurious condominium. According to a September 2021 article published in the Real Deal, there is little construction going on in the area at this time. The construction of these condos presents city residents with a rare opportunity to buy in a highly sought-after location. JLL Chair of New York Investment Sales, Bob Knakal, began marketing the building three years ago and initially offered $30 million. However, the deal did not go through, and the property was placed back on the market with the expectation that a buyer would be willing to pay on the high side. Slate secured the deal by offering $22.85 million, slightly more to outbid competitors.

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NY City Real Estate Market’s Development Sales

Guided by co-founder and principal Martin Nussbaum, Slate Property Group manages all phases of complex projects, from acquisition to the construction process. A focus for Slate Property Group is the New York City market, which is witnessing sustained development sales growth. As reported in The Real Deal, 449 transactions closed across the city in October 2021. This represented a significant increase from the month before, as well as a year-on-year uptick of more than 100 percent from October 2020. It was even a 79 percent increase from the pre-pandemic level registered in October 2019. Luxury deals in the $4 million-plus range have particularly witnessed robust growth. A driving force for this is an Upper East Side condominium development at 200 East 83rd Street involving the Rockefeller Group. Analysts noted that, with sales velocity on the rise, tenants were often able to secure significant discounts. What this means in practical terms is that, for prospective tenants, it’s still a buyer’s market. Martin Nussbaum’s team was active in late 2021 as well, with noteworthy transactions including $22.85 million paid for a Greenwich Village residential redevelopment opportunity at 118 West 13th Street. In addition, he arranged financing for a $65.9 million ground-up residential project in Astoria, Queens, at 26-25 4th Street.