
"There's a price on everything in New York, and the air is no exception." - Ross F. Moskowitz, Strock & Strock & Lavan
All of us are familiar with the practice of buying and selling property in the form of land, residential and commercial space, but the buying and selling of the air surrounding these spaces is a concept well-understood by few. With the recovery of the condominium market in New York City, residential development is at an all-time high, and this means taller and even more luxurious towers are fighting each other tooth and nail for the best possible views of the city. Because of this, the price of air above and around these potential developments is becoming more and more expensive, since a room with a view is worth a whole lot more than one without. Is it possible that these empty, vertical pockets are now worth more than the ground below them?
Read more about New York City's air rights to find out.
So what exactly are air rights? They can be defined as a building's "unused or excess development rights" measured by square foot and can be transferred from one building to another if zoning in that specific area permits. Air rights in NYC typically sell for 50-60% of what the ground below them is worth; some, however, can be worth much more than that, as in the case of air rights along the High Line.