Outside CounselDennis M. Sughrue, New York Law Journal
Development on a Ground Lease
Dennis M. Sughrue, a partner at Pryor Cashman, writes: Record-high land prices have dramatically altered the development landscape. While New York's rents are the highest in the nation, they aren't high enough, taking account of land prices, to justify rental development. Predictably, developers have stampeded into the luxury market, while rental housing and modestly priced for-sale construction have languished. It may be time to reevaluate the current development paradigm. Properly structured ground leases may be part of the answer.