Real Estate Gets Boost from Boardwalk

Property values should rebound nicely, local agents say.

A view of the new Long Beach boardwalk, looking wast from Magnolia Boulevard. (Credit: Joseph Kellard)
A view of the new Long Beach boardwalk, looking wast from Magnolia Boulevard. (Credit: Joseph Kellard)

Written by Jeff Lipton

Spurred by reconstruction of a $44 million boardwalk, property values in Long Beach are expected to rebound to pre-Hurricane Sandy levels — and probably even better, according to local real estate agents.

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“I think that the boardwalk coming back is a very, very positive sign for the city,” said Donald Press, a longtime real estate attorney and former chairman of the city’s zoning board. “Property values have suffered some sort of decline, but Long Beach is coming back and property values may exceed what they were previously. It’s just going to take a bit of time to catch up.

“This is actually a great time to invest in Long Beach,” he added.

Press, 80, a lifelong Long Beach resident, said he recently walked along the new boardwalk and witnessed the excitement first-hand.

“People were jogging and bicycling and it’s not even 50 percent completed,” he said. “The boardwalk is the lifeline of the city.”

One of the city’s top real estate brokers, who requested anonymity, expressed enthusiasm over the real estate market in Long Beach, in large part, due to the new boardwalk.

“I believe people will be flocking here once it’s done,” she said. “People have been waiting for it to go up.”

The 2.2-mile span, with brand new Brazilian hardwood decking, is scheduled for completion in November. The Federal Emergency Management Agency has agreed to reimburse the city for almost the entire $44.2 million boardwalk reconstruction tab, Sen. Charles Schumer (D-NY) recently announced.

The broker said her multiple listing numbers show that the real estate market has been rebounding quite nicely even before the first plank secured on the boardwalk. About 95 homes – ranging in price from $115,000 to $1.3 million – have been purchased in Long Beach over the past eight months.

She added that many of these “distressed properties,” which were heavily damaged during the hurricane, were being bought and not at bargain basement prices.

“You can’t keep them on the market for more than two weeks,” she said. “People are coming in and showing great confidence in Long Beach. “There’s a lot of interest in Long Beach. My phone doesn’t stop ringing. Everybody is calling. Long Beach is hot.”

Another 203 homes are on the market with an asking price ranging from $133,000 to $3 million, she said.

“And so many people are actually keeping their property and taking their property off the market,” the broker said.

And the rental market is showing even stronger signs. Since Jan. 1, about 490 homes have been rented in Long Beach, with rents ranging from $950 to $4,500. In addition, 32 condos have been sold.

Real estate agents said they don’t believe locals have to fear price gouging on rentals and expect that landlords will not drastically jack up rents because a new boardwalk is being built.

“I don’t see rents going up myself,” Press said.

Alex Rubin of Douglas Elliman Real Estate said business has been booming. “It’s been a very busy year,” Rubin said. “We’re doing as much business by mid-June as we did a year before that.”

He attributes the interest in Long Beach real estate in large part to a reconstructed boardwalk. “It’s going to help,” he added. “The old boardwalk was run-down.”

Rubin and Press agreed that the newly reconstructed span could spur further development in the community but it could take a few years. However, they are not convinced that a new boardwalk is enough to help the Superblock, the development of which has been discussed for decades.
10 July 30, 2013 at 09:21 AM
HERE IS NEWS ON FLOOD INSURANCE REFORM IN CONGRESS: THE PATCH HAS BEEN TOTALLY ABSENT ON THIS ISSUE. http://www.nola.com/politics/index.ssf/2013/07/sens_vitter_and_landrieu_want.html
10 July 30, 2013 at 09:58 AM
The communities administered by the Town of Hempstead are seeing very strong rebound is prices. Atlantic Beach & East Atlantic Beach are looking particularly strong with turn key homes receiving multiple bids at or above the asking price. No tax hikes, better services and less political insanity. You can expect that trend to continue well into next year.
SPF -30 July 30, 2013 at 10:06 AM
Love This City should LEAVE THIS CITY
Love This City July 30, 2013 at 10:45 AM
@ Tanning Lotion - 1st off you can tell alot by your name. In 2013 you would expect a "posting name" of "sunscreen lotion." Therefore we can probably deduce that you are sunbather that also votes on the liberal side. You guys love high taxes.... The problem is I do LOVE THIS CITY and have been on the Island my entire life. I hate seeing out of control spending, higher taxes, police contracts that are unsustainable, Less maintenance around the city, less services all the while people just want to put on "tanning lotion" and pretend things are all perfect. You are right though I should leave this city and sell the properties that I own, the only problem is I LOVE THIS CITY and that's what keeps me here and trying to get it back to some sort of sustainable future. A $44,000,000 boardwalk with no plan on paying for it except begging Shumer, a police contract that we had to access the credit markets to pay for, the debacle of losing $12,000,000 in bonds after begging the senate to approve it, ALL is putting us on the road to disaster not a bright future....... Don't even get me started on the school budget..... Higher taxes lead to lower home prices!!
Brendan July 30, 2013 at 10:48 AM
All you need to do is take a look at what a house costs in Detroit to see where the value of your home is headed. That's what happens when an entire city spends more than it produces and promises payouts to do-nothing civil servants for eternity. The well dries up and everyone is left standing there with a very stupid look on their faces.
BECKY July 30, 2013 at 10:58 AM
Brendan yes you do have a point...it all becomes a domino effect, with what is happening in Detroit.....and don't forget, Long Beach is built on a sandbar...we all know what happens to a sandbar right ? okay for those who don't.....sandbars sink.....so goodbye $44,000 boardwalk....nice though....have a great and safe summer everyone!! : )
10 July 30, 2013 at 10:59 AM
Look at the last 3 sales in East Atlantic Beach. Average price was $725,000. There is very big interest in living on the coast right now. One of the benefits of all the bad news in the media concerning sandy is that many millions of folks around the world saw just how beautiful it is out here. There is big money coming into the Town of Hempstead communities from Manhattan and Brooklyn now, as well as many folks in Long Beach that are looking for a saner lifestyle without all the political corruption and vile behavior associetd with Long Beach
Patrick Smith July 30, 2013 at 01:01 PM
NYC pensions have 6years before pensions go bankrupt , domino effect from detroit takes effect, Beware of the news and side shows to distract you from the truth
SurferBilly July 30, 2013 at 06:33 PM
Total. Unadulterated. Nonsense. There are houses listed all over town with nary an offer -much less a bidding war. There are 3 on my block, only one was damaged (now repaired) and zero interest. One of the offices quoted above is pressing them to lower the price (again) to just get some traffic The beach, our biggest asset - has become our biggest liability.
Tideline July 30, 2013 at 07:14 PM
I too throw the B.S. Flag. The only reason the Patch interviewed Alex Rubin, is that he is a paid advertiser on this site. I can see his ad and Prudentials to the right of this very "article". So much for full disclosure. If the Patch was interested in obectivity, they should interview someone from one of the many RE offices who do not advertise here on the Patch. The only way that Alex "the deal killer" Rubin could ever be the #1 Agent in the LB Prudential office, is if Joyce Colletti is run over by one of the buses with her billboard on it. This piece is DISconnected from the reality of the market in LB.
10 July 30, 2013 at 10:03 PM
Most of the negative posts here are from renters and lowlife developers looking to steal your home. That being said, the Town of Hempstead communities are rocking right now. One need only look on Zillow to see the latest sales and the surging prices.
Leonard Bauman July 30, 2013 at 10:18 PM
Long Beach sales would be soaring if Long Beach Republicans were in control like in Town of Hempstead. Democrats raising taxes kills your property value. Long Beach equals Detroit with a beach, Democrats killed both Cities!
Longbeacher July 30, 2013 at 10:26 PM
Leonard why are they not talking about a head dective being charged with sexual harasmant on another officer ?this is long beach news
DJS July 30, 2013 at 10:59 PM
Considering that Brokers makes money by generating sales, why would "one of Long Beach Top Real real estate brokers request anonymity"regarding a rebounding real estate market in Long Beach? I can think of no reason why a broker would request anonymity on this topic . Why didn't the Patch interview a broker who was willing to go on record,or more than one broker? There are numerous real estate brokers in Long Beach. I find it hard to believe that the Patch couldn't find a broker in Long Beach who wouldn't go on record.
Leonard Bauman July 30, 2013 at 11:22 PM
Long Beach Real Estate is on life support right now, no one in their right mind is buying here until the Democrats are booted out of Long Beach City Hall! The sooner the better, good riddance to those gypsys, tramps, thieves, and nepotism psychos!
marcy July 31, 2013 at 08:41 AM
This isn't a democrat vs republican issue...HOWEVER, that said, maybe the anonymous broker was Fran Adelson... While I DO NOT believe the market is hot in Long Beach I do think it is HOT everywhere else... maybe, just maybe the brokers are doing their job trying to incite a little interest and activity...they need to eat and pay their rent too!
Brendan July 31, 2013 at 08:45 AM
This article does sound like propaganda. I feel like I'm watching a Long Beach horror movie: "Oh no! The Real Estate Broker Zombies took over the City Council! And now they got Joe Kellard, too! Run for your lives!"
Longbeacher July 31, 2013 at 08:48 AM
a few years with no big storms ,new boardwalk ,the stealing spending admin out .......there all be back wanting to live here again
marcy July 31, 2013 at 11:57 AM
hahahahaha...loser renters? I don't think thats the case. These "loser" renters are pumping money into the economy and keeping the arrogant landlords in their "lavish" life style. Big deal that east atlantic beach got an all cash deal for 950K...probably a better quality home w/o the arrogance of long beach BS
10 July 31, 2013 at 12:01 PM
The negative posters are renters. They hate the fact that the market is rebounding strongly and they are not benefiting So, they post here to act out. Long Beach is indeed seeing serious buying interest, but not the all out push higher that you see in beach communities that are Town of Hempstead administered. Earlier this week a home in East Atlantic Beach sold for $950,000 CASH. There is big money headed into those communities.
larry teague July 31, 2013 at 12:01 PM
DJS, that was very perceptive. why would a re agent want anonymity? that is absurd and curious. there are dozens of homes for sale around my block. counted 17 in a three block radius and this is the best time of year for selling? realtors always (to their credit) try to bang the drum and tell people how hot the market is. where is the comparison? I am getting a feeling that we have more homes for sale now than ever before. am I wrong? are there more homes in disrepair so they cant be sold? why are the taxes being lowered if the market is so strong? TOH properties are doing better because the overall perception is better. faith in govt and services is a big deal. this town should get real people to run things already.
Hamburger July 31, 2013 at 12:28 PM
Drive out the (illegal) renters and bring in the families
10 July 31, 2013 at 12:55 PM
Town of Hempstead beaches survived very well. The dune structure on Lido and east Atlantic Beach are already self restoring. All in all, I am sorry i did not buy a home there before the storm. 75% of the blocks on the OCEAN side in East Atlantic Beach did not even flood.
DJS July 31, 2013 at 02:24 PM
Larry Teague-Thank you.I can't think of a single reason why a realtor would request anonymity in this matter. I believe that you are correct in believing that there are homes that are in disrepair that can not be sold. Numerous homeowners are currently stuck with homes that they can not afford to rebuild, restore, elevate, etc, due to lack of funds resulting from flood insurance companies having declared their first floors to be basements or otherwise refusnig to pay out adequately, banks of mortgage-holders withholding insurance payments which are desperately needed to repair homes damaged by Sandy.Others do not have money to elevate.Some are holding out in the hopes that they will receive funds from New York Rising in order to elevate, and so on. I am one of those who will be putting my home on the market when I am able to .I am hoping to hold on as long as possible, because I do not believe that so soon after Sandy, I will be able to get a decent price for my home.So, yes, I believe there are many homes that are not yet on the market , that will be, which will create a further glut. I do not believe that the rosy picture this article has painting of a booming real estate market in Long Beach has credibility.
Longbeacher July 31, 2013 at 06:56 PM
R .Hammond ,just a note ,and spread the word LONG BEACH is 13 ft lower the lido and pt lookout ,that is the only reason they had less damage . ONLY ...if u would like to see how 30 ft dunes work go to GILGO and u can see them spread on the ocean pky
Leonard Bauman July 31, 2013 at 08:56 PM
@Longbeacher are you sure their is such a big difference of 13 feet, I thought the difference was about 5 feet. The storm surge that hit Long Beach was 17 feet, compared to the 13 foot storm surge that hit Atlantic Beach, Lido, and Pt Lookout. Long Beach was ground zero for the highest storm surge on Long Island from Hurricane Sandy 2012.
michael delury July 31, 2013 at 09:15 PM
I think you can verify base flood elevations for every sddress. All you need are addresses for long Beach, Atlantic beach and point lookout.
michael delury July 31, 2013 at 09:40 PM
region2coastal.com/sandy/table Enter a specific address: Rochester street in Atlantic beach is 13 feet, the walks is 11-12 feet and Parkside Drive in Point Lookout is 9ft. Does not make sense that @ long bleacher has those amounts. They can use this sight to check out specific addresses that they were mentioning that there was a 13 foot difference. I can not figure it out.
10 July 31, 2013 at 10:15 PM
The western end of Long Beach Island is higher than the eastern end. The difference is a few feet. The Base Flood Elevation is the FEMA estimated level that a 100 year flood would be. The actual elevation of your street is significantly lower. For instance, in the West End the BFE is 11 ft. on the bay side and 13 ft. on the ocean side. The actual elevation of the West End streets are roughly 6 to 8 ft.
DJS August 01, 2013 at 07:44 AM
Larry Teague- Thank you. It does not make any sense to me that a realtor would request anonymity of this topic ,for any reason.Additionally, it would be good advertising for a realtor to use his or her name if her or she were generating brisk sales.I believe that you are correct that there are homes that are in disrepair that are not officially on the market right now, but which will be if and when the the needed repairs can be made, or completed. Some people are being held up by insurance companies that have not paid out claims,others by banks which are holding back monies needed for repairs that were paid out by insurance companies to the banks which hold the mortgages for their homes. Many people are scrambling desperately to try to get the money to repair or even to rebuild. Some are waiting to see if they will receive money from the State to elevate. These are only some of the scenarios which are keeping homes off the market. Others are holding back putting their homes on the market, in the hopes that in a year or so, they might be likely to get a better price. I personally do plan to put my home on the market when it is completely repaired, so I can say for sure that there is one more home for sale in Long Beach that is not officially listed as for sale. I would like to try to hold on for a year or so, if I can ,because I am afraid that I will really take a beating on the price if I try to sell it so soon after Sandy .


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