Manhattan rents hit highest level in more than a decade

Concessions continued to fall

TRD New York /
Dec.December 12, 2019 08:05 AM
(Credit: iStock)

(Credit: iStock)

As rental rates across the boroughs increased, Manhattan saw a near record month.

Median rental prices on the island reached $3,600 in November — an 8.5 percent year-over-year increase, according to Douglas Elliman’s latest rental report, authored by appraisal firm Miller Samuel. It’s the highest level recorded in more than a decade, and the second-highest ever recorded.

“Higher end of the market has softened up, and we’re still seeing buyers on the sales side camping in the rentals,” said Hal Gavzie, Elliman’s executive manager of leasing. “But, as it has been over the last several months, there is quite a bit of inventory. Customers are looking at many more properties for rental than they had in the past.”

Inventory in Manhattan jumped 3.6 percent year over year, and 6.5 percent over the month. Median rents for apartments without door men in Manhattan also surged to the highest rate in more than seven years, while median rents for one-bedroom apartments reached a 12-year high.

Brooklyn’s median rose 3.5 percent to $2,950, and the net effective median rent was also up year-over-year for the twelfth consecutive month. Inventory was up 8.2 percent over the month but down 12.5 percent year over year.

Median rents in Queens were up 4.6 percent from the same period last year to $2,878, and the listing inventory was also down 13.3 percent to 399. Concessions were down again, slumping from 59.2 percent to 54.5 percent.

At the same time, the number of new leases fell. Manhattan saw a 13.5 percent year-over-year drop to 3,096, while Brooklyn leases fell 8.6 percent to 878 and Queens saw a 14.3 percent drop to 233.

Meanwhile, the decrease in concessions continued, making eight months of straight decline.

“Conditions in the NYC real estate market right now are ideal for the rental market to thrive, so this month’s results are no surprise,” Jonathan Miller, president and CEO of Miller Samuel, said in a statement. “We haven’t seen a rental price drop or an increase in concessions in several months, and it’s certainly looking like the market will finish out the year with that same resilience.”


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
Douglas Elliman chairman Howard Lorber (Lorber by Chip Somodevilla/Getty Images; iStock)

Douglas Elliman’s New York revenues fall by half

Douglas Elliman’s New York revenues fall by half
After high demand from renters, @NYSHCR extends application period for relief program by one week (iStock)

New York extends rent-relief window one week

New York extends rent-relief window one week
Calamity and Kabbage: Accountants riff on PPP madness

Calamity and Kabbage: Accountants riff on PPP madness

Calamity and Kabbage: Accountants riff on PPP madness
Equity Residential chairman Sam Zell and CEO Mark Parrell (right) (Getty, iStock)

Sam Zell’s Equity Residential sees profits drop 15%

Sam Zell’s Equity Residential sees profits drop 15%
A July survey of Community Housing Improvement Program found that rent collections improved in NYC (iStock)

Rent collection jumps in NYC, ebbs in US

Rent collection jumps in NYC, ebbs in US
arrow_forward_ios

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

Loading...