Manhattan, New York property is not a yield but rather an appreciation game. An investor buying New York property focuses on the long term appreciation potential. Demand for Manhattan property is global, coming from all over the world. Manhattan is a brand and the vacancy rate is less than 2 percent, relative to the US’s 10 percent average. Inflation would mean rents and property values will increase.

A yield strategy in the US would mean investing in a midsize of small city. For example, Syracuse, New York is a college town with a yield of 10 to 15 percent. From personal experience, the appreciation from a city like Manhattan New York far outweights the rental yield cashflow from a midsize of small city.

Commercial property yield in New York (Manhattan) is driven by price point. The lower price point properties, less than $20 million, generally have an asking price at a 5 percent yield.

The higher price point commercial properties, more than $30 million, would have a higher yield, perhaps 8 percent or more. Reason is that at a higher price point, there are fewer players which decreases demand. Also, buyers at the higher price point are often institutions that put a lot more pressure on sellers from a pricing perspective.

The value of commercial property is driven by yield. Similar to a stock’s PE ratio. The more the landlord can obtain in rent, the higher the value because a set multiple, in this case rental yield, would be applied.\

Wei Min is a real estate broker and investor focused on investment property. He is Founder of Castle Avenue Partners in Manhattan, New York. Previously, Wei Min was VP at Citigroup responsible for a $500 million portfolio. He received Citigroup’s prestigious Chairman’s Award, a recognition awarded to the top 2% of managers. He was also Director of Travel Insurance at American Express where he managed a $180 million portfolio.

Wei Min has traveled to many cities to view thousands of properties. He speaks English, Cantonese Chinese, Malaysian and Mandarin Chinese. He graduated with an MBA from the University of Illinois at Urbana-Champaign and a BBA from Marshall University.

A New York real estate lawyer handles purchases and sales of condominium apartments, co-operative apartments and homes, commercial and residential real estate transactions, assignments of sub-leases and leases, and more. A New York real estate lawyer also handles litigation involving real estate with banks, architects, building contractors, insurance companies and landlord-tenant litigation. A real estate lawyer handles building and remodeling agreements, and works to settle disputes regarding budget, materials, craftsmanship and other issues.

There are two categories of real estate lawyers in New York: litigation lawyers, who mainly work on lawsuits involving real estate, and transactional lawyers, who mainly deal with agreements and contracts involving real estate. Before hiring a real estate lawyer, clients should decide on which of the two types of lawyers they need. A New York real estate lawyer helps clients drawing up a lease agreement based on New York real estate law when leasing a real estate property, and represents the client if any landlord-tenant disputes arise. When purchasing real estate, one has to sign up a Promissory Note, so it is always advisable to keep a real estate lawyer present.

It is essential for all New York real estate lawyers to pass the bar exam, which includes multiple-choice questions and essay questions. On passing the bar exam, one must apply to the Appellate Court to seek entry to the bar and, after passing the interview with the Character and Fitness Committee, one can practice law in New York. Some of the most prominent real estate law firms are the Law Office of Kevork Adanas; Silverberg, Stonehill, Goldsmith and Haber; the Harry Herbertz Law Offices, and many more.