Google’s purchase of a Manhattan building, estimated to cost $2 billion, and the largest US real estate transaction this year for a single building, is a vote of confidence in New York City, Victor Calanog, of Reis, Inc., told CNBC Wednesday.
“They wouldn't be plunging this much money into the New York real estate market, if they felt like they were going to be catching a falling knife,” said Calanog, Reis's director or research. Reis assesses values in the real estate market.
“In other words,” he added, “they could potentially buy this property next year if they felt like prices were going to continue to fall. But it looks like they're saying it looks like prices have bottomed out.”