Yes, Manhattan real estate is exorbitantly expensive, but what about the land it's sitting on? Three economists looked at heaps of data to figure out a number—and, predictably, it's gobsmackingly huge.
According to a paper written by a trio of economists from Rutgers University, there are gobs of government data out there, but none of it includes tracking land values. So, those economists analyzed vacant parcel sales and came up with a value for the island of Manhattan, Vox reported. How much was it worth in 2014? $1.4 trillion. The report says land prices have risen 15.8 percent a year since 1993, but if you got back to Dutch settlement in 1626, the annual rate of return has been 6.4 percent.
· What does all the land in Manhattan cost? [Vox]
· What's Manhattan Worth? A Land Values Index from 1950 to 2013 [Research Papers in Economics]