The
December 2018 New York City Taxi & Limousine Commission (TLC) sales results
have been released to the public. And as is our practice, provided below are
Jim Shenwick’s comments about those sales results.
1. The volume of transfers fell from November. In December,
there were 95 unrestricted taxi medallion sales.
2. 87 of the 95 sales
were foreclosure sales (92%), which means that the medallion owner defaulted
on the bank loan and the banks were foreclosing to obtain possession of the
medallion. We disregard these transfers in our analysis of the data, because we
believe that they are outliers and not indicative of the true value of the
medallion, which is a sale between a buyer and a seller under no pressure to
sell (fair market value).
3. The large volume of foreclosure sales (approximately 92%)
is in our opinion evidence of the continued weakness in the taxi medallion
market.
4. The eight regular sales for consideration ranged from a
low of $162,500 (two medallions) to $170,000 (four medallions) and a high of $175,000
(two medallions), for a median value of $170,000, a 5.5 % decline from
November’s median value of $180,000.
5. The fact that 92% of all transfers in December
2018 were foreclosure sales shows continued weakness in the taxi medallion
market and no sign of a correction.
6. At Shenwick &
Associates we believe that the value of a medallion is approximately $162,000+
and dropping.
Please continue to read our blog to see what happens to
medallion pricing in the future. Any individuals or businesses with questions
about taxi medallion valuations or workouts should contact Jim Shenwick at (212)
541-6224 or via email at jshenwick@gmail.com.
No comments:
Post a Comment