NYC’s economic future remains uncertain
Photo: ANDRÉS CORREA GUATARASMA / Courtesy
An unprecedented number of more than 16,000 apartments are vacant in Manhattan and 4,000 in Brooklyn, despite falling prices and improving benefits offered to potential tenants, according to a new report.
The inventory of vacant units in Manhattan peaked at 16,145 last month, more than three times more than a year ago and up from 15,923 vacancies recorded in September and 13,117 in July, according to the latest Elliman Report October. The numbers are the highest in 14 years, he limited New York Post.
New York stays like state with the most coronavirus deaths nationwide (almost 34 thousand confirmed) and NYC has also experienced a spike in crime and at work from home, accelerating an exodus that was already being noticed since at least 2018.
Ironically, the number of homeless people has also grown, creating a vicious circle in the deterioration of the quality of life, recognized by Governor Andrew Cuomo himself, a topic also discussed in the recent presidential debates between Donald Trump and Joe Biden.
This year rental prices have plummeted in various parts of New York, including Manhattan, traditionally the most expensive county in the US, where the median price was $ 3,100 in October, significantly cheaper than a year ago: $ 3,595.
Lower prices and other landlord concessions have worked for some, allowing a slight rebound: 5,641 new leases were signed in Manhattan in October, 12.4% more than the previous month.
Vacancies also increased in Brooklyn, which had 4,361 empty units in October, an increase from 207% since last year. Unlike Manhattan, fewer new leases were signed there from September to October.
While in the northwest Queens, from September to October the number of vacant apartments rose 5%, reaching 645 vacant units last month. And median rental prices also fell to $ 2,600, compared to $ 2,945 a year ago.
“Signing of new leases and rents have continued to fall since the lockdown ended in June,” the report highlighted. Now, New York is facing a second wave of the disease, which could aggravate the panorama. Further, winter is traditionally the time of least moving.
Unsurprisingly, given the pandemic and the increase in online shopping, also the vacancy of commercial premises and offices has increased dramatically, in a city full of skyscrapers, mostly work spaces.