Charles R. Bendit, co-chief executive of Taconic Investment Partners, is one of the developers behind the $1 billion Essex Crossing project, a mixed-use development on Manhattan’s Lower East Side that includes residential, office, retail, cultural and community space.
The first of three condominium buildings to open within the development is 242 Broome, a 14-story building that features 55 luxury residences—including three penthouses. Sales began late last year and move-ins are expected to begin in early 2018.
Market Line, a multi-level marketplace that, when completed, will span three city blocks, will be one of the largest public marketplaces in the world. The first phase is set to open at Essex Crossing in 2018.
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Mr. Bendit founded Taconic with partner Paul Pariser in 1997. Before that, he formed CBC Properties, a company that bought, repositioned and managed office and residential properties in New York City and Washington, D.C.
We caught up with Mr. Bendit about the consistent strength of urban real estate, the increasing value of new developments and more.
Mansion Global: Describe your dream property.
Charles Bendit: I just came back from a trip to South Africa wine country and I said to my wife that I’d love to have a vineyard or farm in France, Spain or Italy.
MG: Do you have a real estate property that got away?
CB: Every lost opportunity I look at as a learning experience.
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MG: What does luxury mean to you?
CB: We give a lot of time and effort to coming up with thoughtful design that’s functional with high-end finishes, but you also need to couple that with first-class service. People want to feel like they’re being taken care of.
MG: What area do you think is the next hub for luxury properties?
CB: In New York City, I’m kind of biased, because we’re developing over 1,000 apartments on the Lower East Side, but I think that’s an area that’s been underserved by luxury buildings. It’s an emerging hub.
MG: Where are the best luxury homes in the world and why?
CB: It’s different when you’re talking primary homes and secondary homes. For primary homes, it’s in the major cities—New York , San Francisco, London, Paris. What makes a city a place where people will pay a lot to live are things like cultural facilities, intellectual stimulation—a lifestyle that allows people to be the best they can.
For the second-home market, the most luxurious places offer social gathering opportunities for people to relax and recreational amenities—whether that’s the beach, the mountains or great sporting opportunities, that’s what drives value in the luxury second-home market.
MG: What’s your favorite part of your home?
CB: My kitchen. It’s where people congregate. To have a great kitchen with great cooking facilities and outdoor space is truly special. We have all the accoutrements you need for cooking and entertaining, and I love to cook.
MG: What best describes the theme to your home and why?
CB: I have three homes—a townhouse in New York that’s classical design, built in the early 1900s. We have a home in Northwestern Connecticut and that’s more of a New England country-style farmhouse, and one in Snowmass, Colorado, that is mountain contemporary.
MG: What’s the most valuable amenity to have in a home right now?
CB: Having great technology and great audio/visual quality. Having a gym in your home is big, too.
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MG: Best piece of real estate advice?
CB: Don’t cheap out. If you have the choice to spend a little more, do it.
MG: What is the best area now for investing in luxury properties?
CB: In cities around the country and around the world, because young people are moving into the cities and staying there. People who’ve moved out—empty nesters now—are moving back, because of the quality of life.
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MG: If you had a choice of living in a new development or a prime resale property, which would you choose and why?
CB: In the most recent real estate cycle, the market has become quite competitive, so developers have had to offer a higher quality of finish, design, and services. So given a choice I’d probably go for a new development, because of market competition.
MG: What area currently has the best resale value?
CB: I would say the areas between Fifth and Madison on the Upper East Side and between Central Park West and Columbus on the Upper West Side. And, of course, the Lower East Side, where prices are still relatively low compared to the rest of the city. That neighborhood offers the best value proposition.