The unidentified family "felt their money was safer in an apartment in New York than in a bank" amid coronavirus market panic.
- A family from Peru just bought $27 million worth of condos in New York City as an investment amid the coronavirus pandemic.
- The family's real estate agent told the Wall Street Journal the family does intend on renting the units out one day, but for the meantime "felt their money was safer in an apartment in New York than in a bank."
- The family also received a 7% discount in part for agreeing to buy the properties during an uncertain real-estate market.
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A family from Peru just splashed out $27 million on eight condos in New York City to park their cash during the coronavirus pandemic, according to the Wall Street Journal's Katherine Clarke.
The buyers, who remain unidentified, received a 7% discount for buying the condos in bulk and in an all-cash deal during an uncertain real-estate market. The condos, spanning nearly 11,000 square feet collectively, are located in a new construction residential complex on the Upper West Side of Manhattan. The complex, called Waterline Square, has amenities including a soccer field, a skate park, a bowling alley, and even an on-site recording studio, according to the Journal.
The buyers' real estate agent, Maria Velazquez, told the Journal that eventually, the family plans to rent out the units, which they purchased as an investment. "They felt their money was safer in an apartment in New York than in a bank," Velazquez, told the Journal. "Crises always bring opportunities for investors like this."
The Manhattan real-estate market has gone through a shake up amid the pandemic, one that is expected to last as the United States enters into a recession. The NAHB/Wells Fargo Housing Market Index, which measures the health of the real estate market, plunged into the negatives, Barron's' Shaina Mishkin reported on April 16. This is the lowest it's been since 2012, and the first time it's hit the negatives since 2014. And for now, home showings in New York City can only take place virtually, which may become the new norm in the real-estate industry, experts previously told Business Insider's Libertina Brandt.