Nationwide, apartment rents down, vacancies up to record levels

TRD New York /
Jan.January 07, 2010 08:55 AM

Apartment rents saw their largest drop in 30 years and vacancies across the country rose to 8 percent in the fourth quarter, according to research firm Reis, putting vacancies at a record-high that analysts say is tied directly to unemployment. Vacancies rose from 3.9 percent in the third quarter, and many believe that is likely because apartment renters tend to be young adults more likely to move in with their families or friends when their jobs are cut. In an attempt to hang on to their tenants, landlords have been offering concessions in addition to cutting rents. Asking rents dropped to $1,026 in the fourth quarter, a 2.3 percent drop from a year earlier, while effective rents dropped 3 percent to $964. In New York City, vacancies fell slightly — from 3 percent in the third quarter to 2.9 percent in the fourth — but effective rents slid 0.7 percent. Over the course of the year, the city’s rents saw a 5.6 percent drop, the largest since Reis began tracking the data in 1980. [WSJ] and [Bloomberg]


Related Articles

arrow_forward_ios
And so it begins: Moody’s launches CRE portal to challenge CoStar’s dominance

And so it begins: Moody’s launches CRE portal to challenge CoStar’s dominance

Age of empires: Why Moody’s is ready to take on CoStar

Age of empires: Why Moody’s is ready to take on CoStar

Here’s what Moody’s got in its takeover  of REIS

Here’s what Moody’s got in its takeover
of REIS

Short-term office firm and RE database ink leases at 1185 Sixth

Short-term office firm and RE database ink leases at 1185 Sixth

Placeholder image

City’s office rents hit highest level since 2008: report

Placeholder image

NYC rents inch further north of $3,000 mark

Placeholder image

Average NYC rent breaks $3,000 barrier for the first time

Manhattan ties for lowest rate of U.S. office vacancies

Manhattan ties for lowest rate of U.S. office vacancies

arrow_forward_ios