February 28, 2018

1. Palisades Park, NJ faces suit over approval for high-rise 

  • Kibel Cos. (Manhattan based. Owns “Carriage House” in Fort Lee) filed a suit against 14-story high-rise known as the Aquaterra Apartments in the Long Swamp section between Fort Lee and Palisades Park (East Edsall Blvd. and 14th St)
  • Palisades Park town approved this apartment in October 2017
  • Defendants are Palisades Park Zoning Board of Adjustment and property owner Berkeley Palisades Park
  • Original Plan: 17-story, 154 units was changed to 14-story, 212 units

2. Palisades Park, NJ, Schools will have armed security guards 

  • Chris Chung announce that the Mayor will support the budget for this project.
  • All school system: Early Childhood (K-1st Grade), Lindbergh Elementary / Middle (2nd- 7th Grade), High school (8th-12th Grade)
  • Secaucus, East Brunswick, etc. will follow
  • NY Mayor mentioned that it needs $1.2 Billion budget for 1400 schools in NY → Not realistic

3. Flushing, NY, residential house price soars without ceiling 

  • Average selling price in 4th QT, 2017 over $1 Million (Historical record)
  • According to REBNY, 1~3 family house Average selling price: $959,000 in 4th QT, 2016
  • $1,003,000 in 4th QT in 2017
  • Long Island: $1,285,000 / Astoria: $1,1149,000 / Douglaston, Little Neck: $1,105,000 / Rego Park, Foresthill: $1,035,000
  • Condo Average selling price in 4th QT 2017: $961,000 79% Up, compared to last year($537,000)
  • NYC residential Average selling price 1% Down / Manhattan 7% Down to $1,803,000
  • Flushing area’s sharp price increase is due to new Luxury condo construction

4. House price recovered fully in many area in US ( Miju KyungJe)

  • $9 Trillion in US has been recovered since the finance crises
  • 36.5% has been Up from the bottom in 2011
  • Lowest point was during Winter of 2011 Household lost: $45,500
  • Currently Average gain is $55,200 from lowest point $9,700 Increase from top before crises
  • High recovery area: San Jose, San Fran, L.A, San Diego, Seattle (All in CA)
    Example) San Francisco area → 91.7% Up from the bottom Almost double from the bottom)
  • Low recovery area: Indianapolis, St. Louise, Cincinnati
  • Lowest point in NY/NJ June, 2012 (24.3% Down Lost Average $108,200)   

5. New Jersey High Korean population towns’ Property Tax increase 

  • Leonia →4.7% (Up to Average $12,621), Palisades Park 3.5% Up (Was Average $9,407)
  • Tenafly Up to over $20,000 fist time (2.8% Up) 2nd in Bergen County
  • 1st in Bergen CountyAlpine (Average $21,933)
  • NJ Average tax increased by 1.6% (Bergen County increased to Average $11,000) 3% Up during Governor Christie 7 year period 
  • New Governor Phil Murphy’s greatest task Control property tax

6. Reference IR will be increased 4 times in 2018 

  • Jerome Powell (Chair, Federal Reserve) is optimistic Good signal from wage increase and inflation (will reach to long term goal of 2%)
  • Powell mentioned there is chance to raise 4 times instead 3 times (Probability: 33%)
  • NY 3 major stock indicator dropped due to mentioning of more IR increase

7. US Treasury Bond gained profit rate Stocks dropped 

  • According to Goldman Socks, 10 Year T Bond profit rate went up to 4.5% Will induce stock price drop
  • Stock might be dropped by up to 20~25% Economy growth will be reduced, but not to recession