Justin Timberlake and Jessica Biel have been making some shifts in their real estate portfolio, and their latest one paid off big time. According to numerous sources, the superstar couple bought their Manhattan penthouse in 2017 for $20.2 million and recently sold it for $29 million.
Image source: Getty Images.
The property in question is at 443 Greenwich Street in the trendy Tribeca neighborhood. The building was converted to condos from an industrial building in 2014.
Of course, not all luxury real estate investments promise incredible returns like this. In fact, in 2018, the couple themselves lost money on a SoHo property, according to reports. But the multimillion-dollar property sector in New York is having a moment.
The luxury market is hot in the Big Apple
Real estate data firm UrbanDigs released its 2021 Market Sales Recap & 2022 Predictions report that offers insight into the New York luxury sector -- which includes properties at the $4 million and higher mark. 2021 was a banner year for luxury property investors. Between the years 2008 and 2021, 6 of the top 10 months for luxury contracts occurred in 2021. What's more, six Manhattan properties sold for $59 million or more last year (as of December 9).
What does New York City luxury look like? For the Timberlake-Biel family, it's a two-floor penthouse with four bedrooms and four baths, making this unit a veritable house in the sky. There's an entertainment room on the second level, plus private access to a spacious terrace with an outdoor kitchen.
After losing money on that SoHo property in 2018, it looks like the couple had much better luck timing the market with the Tribeca property. Luxury real estate in New York has more than a few things going for it. Here's what helped Timberlake and Biel achieve their nearly $9 million payday.
Location
New York City has long been a popular address for high-profile celebrities. They might work hard to stand out in their respective fields, but living in the Big Apple allows them, ironically, a level of anonymity. Granted, it's easier to blend in among 8 million other residents. Tribeca in particular is one of the trendiest spots, and it's also one of the most expensive; it regularly appears high on lists of the priciest neighborhoods.
Celebrity cachet
443 Greenwich Street has served as a revolving door for celebrity tenants over the years, including Taylor Swift, the Weeknd, Harry Styles, and Jake Gyllenhaal, to name just a few. It's not always a guarantee that property prices will skyrocket when a famous person moves into a building, but it seems to have worked that way for Timberlake and Biel.
Privacy
The New York Post calls 443 Greenwich Street "paparazzi-proof." An underground parking garage with valet service offers quiet entrances and exits, while an alternate lobby with private elevators is available. Apparently building owners will go to extreme measures to ensure A-listers don't have to deal with chatty neighbors while getting their mail.
Amenities
In-unit laundry might be a score for the average NYC tenant, but when you're an A-list star, you're looking for more than mere convenience. 443 Greenwich provides plenty of amenities, including those with a focus on health and wellness. There's a swimming pool and sauna, plus a massage room and private yoga and pilates studios. Families with youngsters can enjoy the on-site playroom, and a landscaped courtyard allows necessary breathing room for when tenants tire of all that indoor luxury. These amenities are likely out of reach of the average apartment building owner, but for luxury investors, it's par for the course.
New York real estate took a massive hit during the early stages of the pandemic, when offices shuttered and people fled the city for more space in the suburbs. The city that never sleeps did appear to take a catnap, but it's wide awake now, particularly in the luxury sector.
