Brooklyn and Queens rents rise as incentives decline: Elliman

Seasonal demand and softer sales are strengthening rental markets, according to an Elliman report

New York /
May.May 09, 2019 11:30 AM

The rental market is heating up in the outer boroughs.

Brooklyn and Northwest Queens saw declines in incentives in April, one indication of a strengthening market heading into the summer season, according to Douglas Elliman’s latest market report. A boost in rentals was also attributed to the recent softness in the sales market.

In Brooklyn, new leases rose 7.2 percent, marking the fourth time they have risen year-over-year in the last five months. The median net effective rental price rose 2.8 percent to $2,762.

“It’s the same pattern we’re seeing in Manhattan,” said Jonathan Miller, author of the report and CEO of appraisal firm Miller Samuel. “It’s not quite the same price growth but we are seeing growth.”

The market share of concessions fell to 38.1 percent from 51 percent a year earlier. In Queens, median net effective rent rose 3.2 percent to $2,731. The share of concessions fell to 45.3 percent from 65.1 percent.

In a separate report, Citi Habitats noted that in Brooklyn, Dumbo was the most expensive neighborhood, with a median rent of $4,575, followed by Downtown Brooklyn, at $3,695. Bedford-Stuyvesant, with median rent of $2,500, was the least expensive Brooklyn neighborhood tracked.

“Landlords were feeling confident in April,” said Gary Malin, president of Citi Habitats. “Instability in the sales arena, coupled with the seasonal increase in demand, caused the vacancy rate to fall to the lowest level in nearly four years.”


Related Articles

arrow_forward_ios
John Giannone and Jac Credaroli (Credit: iStock)

Two Elliman agents launch platform to provide renters, buyers and sellers up to $50K in unsecured loans

Two Elliman agents launch platform to provide renters, buyers and sellers up to $50K in unsecured loans
Jacob Sudhoff and Scott Durkin (Credit: Sudhoff Companies, Emily Assiran, iStock)

Douglas Elliman is coming to Texas

Douglas Elliman is coming to Texas
Douglas Elliman chairman Howard Lorber (Credit: Getty Images and iStock)

Elliman’s revenue rose 18%, after sales frenzy to avoid New York’s new transfer tax

Elliman’s revenue rose 18%, after sales frenzy to avoid New York’s new transfer tax
 After a rush for suburban houses, condos in the ’burbs are seeing more interest too. (iStock)

Suburban condos get competitive

Suburban condos get competitive
(iStock)

Manhattan market’s “steady upward slog” persists as suburbs and Brooklyn see gains

Manhattan market’s “steady upward slog” persists as suburbs and Brooklyn see gains
48-00 Grand Avenue in Maspeth and Prologis CEO Hamid Moghadam (Google Maps; Prologis)

Prologis picks up Maspeth parcel for $51M

Prologis picks up Maspeth parcel for $51M
A rendering of 153-10 88th Avenue in Jamaica (Photo via Zara Realty)

Zara Realty plans 218K-sf Jamaica development

Zara Realty plans 218K-sf Jamaica development
Silvercup Studios (Getty)

Outer-borough loan activity fired up in October

Outer-borough loan activity fired up in October
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...