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.

Follow Long Beach Patch on Facebook.

“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.
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 .


More »
Got a question? Something on your mind? Talk to your community, directly.
Note Article
Just a short thought to get the word out quickly about anything in your neighborhood.
Share something with your neighbors.What's on your mind?What's on your mind?Make an announcement, speak your mind, or sell somethingPost something
See more »