The challenges and opportunities ahead for large-scale urban developments

The developer behind Hudson Yards talks about trends and gambling with buyers
  • Developers with brokerage relationships can look at brokerage data to determine market trends.
  • Related Companies' focus "will always be the very, very top of the domestic buyer market," said CEO Jeff Blau.
  • Remote working is definitely a trend in retail space, but at the moment, it's actually fueling new development, not inhibiting it, because older buildings can't accommodate density changes.
  • The Hudson Yards project will change New York City -- it's "a brand-new city unto itself, right in the middle of Midtown."

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Jeff Blau Hudson Yards is going to change New York City, said developer Jeff Blau, CEO at Related Companies, which is in charge of the massive project. "It's a brand-new city unto itself, right in the middle of Midtown," he explained to Brad Inman on stage at the inaugural Global Connect event. "I wouldn't say there are too many cranes in New York City," Blau began (but he added that Related Companies owns, well, a lot of cranes). "You have to look at it neighborhood by neighborhood." How developers know what's hot Blau noted that Related Companies owns a stake in CORE and uses information from the brokerage to track the market. The last quarter was the No. 1 most successful resale quarter in CORE's history, he said. "That's an interesting headline, but you have to look into the details and go into some of the data." The $1 million to $5 million segment of the market is "on fire," said Blau. But above that price point, he said, prices are falling. So the quest...