By Greg Morcroft - Even the builders these days want to move to the city from the suburbs.
Toll Brothers Inc (NYSE:TOL), America’s largest homebuilder, said on Wednesday that its fiscal second-quarter profit rose as the company was able to raise its prices and sell more homes.
“Current demographics seem to suggest that new home sales should pick up,” Executive Chairman Robert Toll said in the statement, according to Bloomberg News. “If the tight supply bumps into increasing demand, prices could rapidly rise.”
Those price are already rising in New York City, according to reports about the company’s high-end Pierhouse project in New York City’s Brooklyn Bridge Park.
According to the Wall Street Journal earlier this month, the company raised prices at the project six times since February and is now asking an average of $1,800 a square foot. The paper also said more than 40 of the 108 unit they are building are already in contract including, “a contract to pay $11,180,000 for a four-bedroom penthouse with more than 5,000 square feet of space, plus a 3,400-square-foot garden and patio,”