The absorption rate on Manhattan’s Upper West Side is a whopping 33.4 percent, meaning that the supply of listings could run dry in just five months. That neighborhood has the highest absorption rate of the five neighborhoods — the Upper West Side, the Upper East Side, Midtown West, Midtown East and Downtown — tracked in a new Marketing Directors report.
On the Upper West Side, there are some 329 current, active listings. The Downtown market has the next highest absorption rate, 27.1 percent, with 606 available units of housing. There is enough supply in that neighborhood to last some six months. Downtown was followed by the Upper East Side, which has a 24.6 percent absorption rate, 404 active listings and seven months of inventory.
The absorption rate was lower in Midtown East and Midtown West, coming at 19 percent and 19.8 percent respectively.
The report details Manhattan inventory below 110th Street.
“Demand will definitely outpace supply, and this will have a real impact on how developers approach the market — from site acquisition all the way through to pricing and sales,” said Adrienne Albert, founder and CEO of the Marketing Directors, in a release that accompanied the report. —Zachary Kussin