Asking $45 million for a penthouse apartment is hardly controversial in today's real estate market—heck, it won't even make it onto the list of New York City's 25 most expensive listings. But in the case of 10 Sullivan, the Cary Tamarkin-designed Soho condo building, that price point was apparently too damn high.
Bloomberg Businessweek reports that the 8,359-square-foot triplex apartment, which hit the market a little more than a year ago, will be separated into two new units: a full-floor, 3,000-square-foot pad for $11 million, and a 5,400-square-foot duplex that will ask $29 million. According to Kevin Maloney, the founder of developer Property Markets Group, the triplex could have been chopped even further, into three apartments, but construction had progressed too far on the building.
So why the change? It should come as no surprise that demand for the ultra-luxury apartments that have flooded the market lately is cooling off. "The air is very thin up there in that buyer pool," Maloney told Bloomberg. Looking at what's been happening with some of the more high-profile luxury developments—price cuts at 432 Park Avenue, unsellable units going rental at One57, etc.—it makes sense that developers would try to be more conservative in their pricing. (And even worse, the glut of luxury units is helping drive up prices on non-luxury apartments. Only in New York.)
Also, there's the simple fact that there probably aren't too many people who actually need an 8,000-square-foot apartment with a private pool—so better to reconfigure then let the pad sit on the market, untouched, for several years.
Check out renderings for the old, pricier penthouse below: