11.19.20 - The inside story of the world’s most profitable condo
'If not for 220 Central Park South, Vornado Realty Trust’s recent financials would have been a horror show.'
'Vornado, one of New York City’s biggest landlords, recorded a $107 million loss in the third quarter on its prime retail portfolio, once-prized Fifth Avenue and Times Square properties that have been paralyzed by the pandemic. It also took significant hits on the shuttered Hotel Pennsylvania and other investments.'
'But thanks to a flurry of closings at 220 Central Park South, its ultra-luxury condo at the foot of Central Park, the REIT closed out the quarter comfortably in the black.'
'“If you pardon the expression, we’re loaded,” Vornado Chair and CEO Steven Roth, who has never been accused of modesty, said during an August earnings call.'
'Even as the high-end condo market has been sunk by oversupply, a waning foreign buyer pool and a slowing economy, 220 Central Park South has floated above it all, closing high eight-figure deals, snagging boldface buyers and effectively creating its own single-project luxury market. It is the clear heir to 15 Central Park West as the city’s new alpha residence. It holds the record for the country’s priciest residential transaction. And with $1 billion of realized profits, it’s arguably the world’s most successful condo.'