Manhattan rents up 8 percent from last year

February 08, 2011 06:34PM

Source: Citi Habitats

Average Manhattan residential rents climbed 8.13 percent in January, compared to the same month a year earlier, according to Citi Habitats’ monthly market report. Despite this year-over-year growth, rents stayed relatively flat between December and January. The average rent in the borough climbed 2 percent for studios, 1 percent for one-bedrooms and 2 percent for two-bedroom units. Three-bedroom apartments saw no change in their average rent. Soho/Tribeca topped the list of priciest neighborhoods in the borough, reporting the priciest average rent on all units, except studios. A three-bedroom unit in the neighborhood had an average monthly rent of $8,400. Washington Heights reported the least expensive rents — a studio there has an average rent of $1,105.

The vacancy rate, meanwhile, dropped to 1.26 percent last month, down from 1.59 percent in January 2010 and 1.34 percent in December 2010. Gary Malin, president of Citi Habitats, said this news encouraged him.

“Tighter inventory has eliminated the need for concessions in most properties except new construction,” Malin said. “As 2011 progresses, apartment-seekers will face a more competitive marketplace than they may expect.” TRD