City sees highest number of new building permits in years

New York had permits issued for about 27K new housing units last year, with construction plans in the Bronx rising 50%

New York /
Feb.February 03, 2020 11:15 AM
The Bronx saw a particularly strong surge in development, including a tower in Brookfield Properties’ Bankside development (Credit: iStock)

The Bronx saw a particularly strong surge in development, including a tower in Brookfield Properties’ Bankside development (Credit: iStock)

The number of building permits issued in New York City for new homes last year jumped to the highest levels since 2015.

Permits were issued for 26,547 units of housing in 2019, a roughly 27 percent increase from 2018, according to the Wall Street Journal, citing preliminary data from the U.S. Census Bureau. It marked the second-highest total since the last major building boom ended in 2008.

The rise in permits reflects optimism about the long-term future of New York’s economy and the one- to three-year lag between a developer buying a property and getting city approval to build, experts said.

The Bronx saw a particularly strong surge in development, with permits rising 50 percent to hit about 5,500, the most the borough has seen in any year since the mid-1980s. Approvals included a 25-story, 458-unit tower in Mott Haven that is part of Brookfield Properties’ Bankside development.

Some developers think the coming years could see a lag in permits due to caution from landlords over possible rent regulation expansions and the market’s need to absorb a large condo inventory supply.

“We forecast a decline in units in the condo market because of the current oversupply,” housing market consultant Nancy Packes told the Journal. Multifamily development will also fall off, she added, “because of the uncertainty that continues to cloud the market.” [WSJ] — Eddie Small


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