Even though Hurricane Irene mostly passed over New York without too much damage, there is still lingering concern about what the impact of a larger storm could be on the larger number of developments rising on the New York waterfront, the New York Times reported, as for many the hurricane was the first time many realized they lived in evacuation zone A.

To limit damage from storm surges and flooding, the city’s comprehensive waterfront development plan, “Vision 2020,” recommends the installation of retractable water-tight gates at the entryways of buildings; investing in the maintenance of seawalls and bulkheads; creating “soft edges” along the shoreline that can accommodate surging tides; and restoring or creating wetlands and barrier islands. According to “Vision 2020,” sea levels by 2050 could be 12 to 29 inches higher than they are today. By 2080, they could be some 55 inches higher. [more]

Source: Citi Habitats (click chart to enlarge)

This August, renters finally got some relief from the sweltering summer market, according to
a Manhattan rental market report released today by Citi Habitats. The average rent declined
1 percent from July to $3,350 and the vacancy rate rose to 1 percent, its highest level since
February. Both retreated from near-record strong rates in June and July.

But the market is still tilted heavily in landlords’ favor as rents were up 8 percent from a year
ago and concessions were present in just 4 percent of Citi Habitats’ brokered transactions.

“While the market’s still competitive, those in search of rental housing should have an easier
time securing a home,” said Gary Malin, the firm’s president. “Conditions earlier this summer
were brutal and the market was due for a correction.” [more]

Chart shows average rents among unit types from 2006-2010

The Manhattan residential rental market tanked as suddenly and swiftly as the national economy in 2008, but the country’s stumbling recovery has catapulted that rental market to previous heights, according to a five-year study of rents released today by Citi Habitats (see below).

Average monthly rents of transactions brokered by the city’s largest rental firm below 96th Street in Manhattan sat at $3,724 in 2007 before plummeting to $3,399 in 2009 during the depths of the recession. In June 2011, that figure rose to $3,694 per month, close to the 2007 figure.

“[There's] an increased interest in rental property from those taking a ‘wait-and-see’ approach to the unstable sales market,” Citi Habitats President Gary Malin said. He noted that buyers who would normally make luxury apartment purchases, in particular, are opting for the rental market because of “continued sales market insecurity.”

This pattern is also reflected in vacancy rates, landlord concessions and the percentage of new developments to turn rental for apartments below 96th Street.

Vacancy rates rose to 1.93 percent in 2009 from 0.76 percent in 2006. In June 2011, the rate was 0.69 percent. Similarly, in December 2009, 60 percent of transactions included some owner concession. By October 2010 that number was reduced to 18 percent and as of July 2011 it was just 7 percent. While the number of new rental units brought to the market slowly declined to 2,198 in 2008 from 2,989 in 2006, the number spiked to 3,966 in 2009 before dropping down to 2,280 in 2010.

Throughout the five-year period the Upper East and Upper West sides were consistently the least expensive neighborhoods, while Soho and Tribeca were the costliest.

Big units in Murray Hill and across both sides of Midtown saw the biggest price drops in average rent from 2006 to 2010, as three-bedroom units that in 2006 went for between $4,700 and $6,300 per month on average, dropped to the $3,300-to-$3,700 range in 2010. The Gramercy-Flatiron neighborhood, meanwhile, saw the largest price gain as one-bedrooms and two-bedrooms gained $625 and $750 monthly on average, respectively, despite the overall average monthly rent falling $113 during that timespan.

Citi Habitats 5-year Rental Market Report 2006-2010 [more]

Gary Malin, president of Citi Habitats (seated), and Cliff Finn, managing director of new development marketing, at rental tower New York by Gehry

From the August issue: In the past, top-of-the-line, modern finishes just weren’t available in most New York City rentals. Not so in 2011. The economic conditions of the past few years have ushered in an era of new luxury rental buildings, catering to would-have-been condo buyers looking for high ceilings, European-designed appliances, and plush amenity packages that have traditionally only been available in apartments for sale.
For the major players in new development marketing, this shift toward rentals has been shaking up the field. Firms that have always excelled in leasing are now benefiting from an influx of new inventory that fits their niche, while some sales-focused companies are expanding their repertoire to include rentals.
This month, The Real Deal surveyed the city’s new development marketing firms to find out how they’ve adjusted to the changed landscape. [more]

Source: Citi Habitats

Perhaps Manhattan residential rental prices couldn’t continue to climb higher, or maybe July’s slight decrease in average rents will prove to be a blip on the radar, but as of now Gary Malin, president of Citi Habitats, called it “insignificant.”

After a scorching start to the season, the average Manhattan rent decreased 0.4 percent from last month to $3,358 in July, $14 less than June’s average, and $36 less than the all-time high achieved in May 2007, according to the July Manhattan rental market report released today by Citi Habitats that covers the approximately 1,200 deals brokered by the firm.

Three-bedroom apartments helped keep the overall average up as those units rented for 1 percent more than they did last month. But studios and one- and two-bedroom apartments each experienced average decreases of 1 percent.

“The small price adjustment, for now, is like a rounding error,” Malin said. [more]

The Manhattan apartment rental market has been heating up for months, and
second-quarter market reports released today by residential brokerages Citi
Habitats and Prudential Douglas Elliman show skyrocketing rents. Now, the question is how long the rent increases will continue.

The Citi Habitats report, which covers all transactions brokered by the firm in the second quarter and takes concessions into account, shows a year-over-year increase in price of about 10 percent for Manhattan apartments. The
average rent for a one-bedroom apartment in Manhattan was $2,672 and two-bedroom units
averaged $3,757 per month, up 9.2 percent and 10.8 percent, respectively, from the second
quarter of 2010. But three-bedroom apartments experienced the largest price
increase over last year — 11.3 percent — and now rent for $4,985 on average. [more]

The Manhattan rental market has now fully recovered to pre-downturn levels, according to Citi Habitats’ May market report released today. Just 0.69 percent of Manhattan rental units were vacant in May, the lowest level in five years. And that’s not due to lower prices. Thanks to year-over-year price gains of 8 to 10 percent across all unit sizes, the average Manhattan monthly rent jumped to $3,353, just 1.2 percent less than the 2007 peak. “The Manhattan rental market is nearing the conditions seen at the market’s peak,” said Gary Malin, president of Citi Habitats. TRD [more]

Source: Citi Habitats

College graduates looking to land an affordable Manhattan rental apartment in
their first foray into the real world, better act fast — or they may be out of luck. As
the summer rental season inches closer, the market is growing stronger by the
month, according to two reports released today by Citi Habitats that track rental
deals brokered by the firm’s 12 offices.

Manhattan vacancy rates have declined every month since December’s high of 1.34.
In April the rate was 0.94 [more]

New York real estate brokers say demand for short-term leases has been intensifying recently, but a new law could soon infringe on their success. They blame the increased demand on a curious combination of economic vitality and caution. Employers are starting to hire again, so people are moving to the city and need short-term housing while they look for a permanent home, Gary Malin, president of Citi Habitats, told the New York Times. Simultaneously, employers and tourists are seeking ways to avoid hotel expenses. However, a state law scheduled to take effect next month will prohibit rentals of fewer than 30 days. Supporters of the bill, including the hotel industry and Mayor Michael Bloomberg, claim that it will assist in the crackdown on illegal hotels and preserve the quality of life and safety for permanent residents of apartment buildings. [NYT] [more]

A screenshot of the application

New York City residential brokerage Citi Habitats unveiled its new iPhone application today, allowing users to browse all the firm’s listings from their mobile device. The announcement comes on the heels of Trulia.com’s new iPad application, which it announced via Twitter today. Citi Habitats’ free application includes a built-in location finder, which displays both apartment listings and dining and nightlife options nearby. TRD [more]