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Lobster Farm, $6-8 per lb (depending on size - a 3 pounder is more per than a 2).
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On the east side of Centre Street between Grand and Hester is the Chinese Lobster Store. They also have live Dungeness Clams, live fish and sometimes live shrimp. The price for Lobster is more after 2lbs. I paid $30 for a 3.1 lb one on Saturday. It was delicious. They have Lobsters up to 6-7 lbs. They also have Live King Crab in season
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If you want cheap, then Chinatown is definitely the cheapest. There is a store on Center Street which sell really big (like 3 lbs or more) lobsters all swimming in tank. It's a little bit more expensive than the seafood stalls on Mott St. On Mott St (between Hester and Grand) there are two seafood stalls that sell smaller lobster (about 1 - 2 lbs) for $6ish a pound. They are alive with both claws attached. The stalls on Canal street also sell lobsters for 3 for $21 or something but they usually have single claws and the quality varies.
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re: JeremyEG
Does anyone know if the The Lobster Place in Chelsea Market will cook them ahead of time for you?
I was telling my Uncle from Maine that it is the cooking of lobsters that intimidates me. Apparently in Maine they can call up their local fishmonger and he always cooks the lobsters ahead of time.
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