“Private Wealth” reports that the newest condo for multimillionaires and billionaires – 53W53 – is almost ready to open its doors. Located next to the Museum of Modern Art in Manhattan, prices start at $3 million but if you want a 6,643-square-foot duplex you’ll have to come up with more than $70 million. For the engineers among us, the small condos go for about $2000 per square foot, the duplex for about $10,000 per square foot.
For that you’ll get access to a movie theater, private dining room and a temperature controlled wine vault. Of course if you have that kind of money you will want your household staff nearby. Residents can buy studio apartments on the 14th through 16th floors for their servants.
The project was stalled for years after the real estate bubble burst in 2008. But the interval since then has created a whole host of people with extraordinary amounts of cash. Billionaires don’t keep their money in cash. The part that does not go into stocks and bonds goes into real estate, art, sports teams, and “toys” like yachts and airplanes. This explains, in part, the reasons that art auctions are reaching extraordinary heights and the very wealthy are buying properties which they may not ever live in.
The people buying these properties come from all corners of the world. In many cases, they are seeking diversification, not just in the kind of assets they own, but also as a refuge in case they need to flee their home countries. For some, a place in Manhattan may be just the ticket.