July 28, 2016
6sqft has previously written about the Whole Foods Effect--the pattern of real estate values increasing when a new grocery store opens nearby. In fact, national data from Yahoo! Finance showed that "homes with a Whole Foods in the ZIP code appreciated by nearly 34 percent." And here in New York, the Effect seems to be taking hold in Harlem, where a Whole Foods will open next year at 125th Street and Lenox Avenue in a six-story commercial building spanning over 200,000 square feet (other tenants will include Burlington Coat Factory, Nordstrom Rack, Olive Garden and TD Bank).
Citi Habitats agent Chyann Sapp told the Post that "there’s a one-bedroom two blocks away for $1,800. And the owner said that once Whole Foods opens he thinks he could easily get $2,000, $2,100 for it." The store was first announced in 2012, at which time the area's price per square foot was $594, according to appraisal firm Miller Samuel. As of 2015, it had risen to $839. Similarly, townhouse prices have doubled from $2 million to $4 million in this time.
Is Whole Foods behind it?
