Expensive Real Estate: New York Penthouse Drops Price Tag From $73.8 Million To $62.8 Million

Real estate for the extremely wealthy received a hefty discount this week. Developers have dropped the price of a Manhattan triplex penthouse from $73.8 million to $62.8 million, according to Bloomberg.

Located at 212 Fifth Avenue, the 10,079-square-foot home has been on the market for almost a year. The residence features a bronze staircase, private elevator, grand ballroom, a 5,000 square foot terrace, and sweeping views of the city.

However, the market for the most expensive penthouses has slowed. “We’ve seen a surge in new inventory on the market at all price points, but on the ultra-luxury end, this latest wave of homes is compounding a surplus that’s been growing since 2015,” said StreetEasy analyst Nancy Wu.

According to the Real Deal, there are well over 400 penthouse units for sale, and 81 are priced at $15 million or more. The current penthouse inventory has experienced a 16 percent increase over last year. An $82 million dollar penthouse has been available for about two years, but it’s not the most expensive unit in that particular building. One unit it, on the 96th floor, sold for $87.7 million in 2016 to a Saudi billionaire.

Another one priced at $82 million had a slew of enticements offered with it, including a $1 million dollar yacht and two Rolls Royces, among other attractants.

A number of the most expensive penthouses have had their asking prices decreased. One last year was listed at $61 million but this year has been reduced to $49 million. Another one now has a price of $26 million, but last year was $35 million.

Aside from the overstocked penthouse inventory, attitudes about prestige might be changing too. "Historically, penthouses have been the trophy property. Today, the trophy is many things. Not everyone needs a penthouse to feel like they got the trophy,” said Berkshire Hathaway HomeServices broker Reba Miller.

Not all the penthouses are over $15 million. Recently, actor Bradley Cooper purchased a 4,000 square-foot townhouse in the West Village for $13.5 million.