The Real Deal New York

Williamsburg commercial landlords latest to drop prices ahead of L train shutdown

One landlord dropped rents 15%
October 03, 2018 08:23AM

The L Train at Broadway Junction in Brooklyn (Credit: Wikipedia)

The L train shutdown has hung over Williamsburg like a looming black cloud for several years now, and the signs of discounted real estate have begun to emerge.

While asking rents for residential real estate have dipped $250 since 2016, commercial landlords are now starting to offer discounted space as well, according to Crain’s.

TerraCRG broker Peter Schubert told the outlet that a landlord he represents had offered a tenant a 15 percent discount on its rent. This discount aligns with the predicted drop in visitation to the area, before the rail line reopens in 2020.

“It was unprompted, so you can tell that the tunnel shutdown is something that owners are certainly aware of—and hearing about from tenants,” Schubert said.

A market report earlier this year showed that sales were down in Williamsburg. A new home sat on the market for about 80 days in the second quarter of 2016 following news of the 2019 shutdown and increased to 188 days by the end of 2017.  [Crain’s] — David Jeans