August 1, 2011

Dear Friends and Colleagues:

I am pleased to release the most recent RPG Office Condominium Report.

This report provides an overview of the Manhattan office condominium sales market in the first half of 2011 and it includes historical sales data, an in-depth look at notable office condominium sales in each submarket, and the citywide office condominium availability rates. In addition, this report discusses Mayor Bloomberg's new bonding authority that was created to help non-profits finance the purchase of office condominiums. The overview of the report reveals the following:

• Buyers reemerge: In the first half of 2011 the total square footage of sales increased by two and a half times; 100,000 square feet more than the same period a year earlier.
• Pricing stabilizes: The average price per square foot has decreased primarily due to the absorption of the recent office condominium conversions in the high priced Chinatown submarket.
• Limited availability: While several new office condominium conversions have come to market, the demand continues to far outweigh supply.

Rudder Property Group is a commercial real estate brokerage and advisory firm that represents purchasers, sellers, developers, owners and lenders in the acquisition and sale of New York office condominiums. Our team will orchestrate the entire conversion process on your behalf – from developing a conversion business plan, to Attorney General approval, to the marketing and sales of the units. The principals of Rudder Property Group have sold over 500,000 square feet of Manhattan office condominiums; in excess of $200 million - we have closed more sales than all of our competition. In the small, highly specialized field of office condominium sales, we are the market leaders.

The RPG Office Condominium Report can be downloaded at www.rudderpg.com/Publications. For more information about Rudder Property Group's services and the Manhattan office condominium market, please contact me at (646) 415-6168.

Best regards,