New rentals surge in Brooklyn and Queens | Bedford Hills Real Estate

 

With Manhattan rents continuing to rise, Brooklyn and Queens experienced a surge of new rentals during the month of July, according to Douglas Elliman’s monthly rental report. In Manhattan, the median rental price last month rose 5.4 percent to $3,205, its highest July level in six years, according to the report, which was released today.“Anyone who is looking for an apartment is really not getting a deal,” said Luciane Serifovic, executive vice president of rentals for Douglas Elliman. In Queens and Brooklyn, she said, “Tenants are pushing back and seeking apartments elsewhere because probably they have more opportunities with some of the new development buildings.”In Manhattan, the average rental price in July was $4,022, a 5.2 percent increase from the prior year period.

Meanwhile, the number of new rentals increased 7.2 percent to 4,938, a reflection of the busy summer season. And the vacancy rate dropped to 1.82 percent – the lowest July vacancy rate in five years – while the listing inventory dropped 4.4 percent to 5,690 available units. Not surprisingly, the percentage of rentals with landlord concessions was “nominal,” falling 1.6 percent, the lowest in two years, said Jonathan Miller, president of Miller Samuel and the author of the Douglas Elliman report. In Brooklyn and Queens, median rents also continued to climb. Brooklyn’s rental prices in July were just $353 lower than Manhattan, down from $500 in June, and the median rental price rose 6.6 percent to $2,852. But the number of new Brooklyn rentals skyrocketed 127 percent to 892 – a reflection of tenant’s resisting the price increases sought by landlords at the time of renewal. Miller said the uptick in new rentals was bolstered by new developments.

Developments in Brooklyn and Queens tend to be rental buildings, while they tend to be condos in Manhattan, he said. In Queens, new rentals surged 136 percent to 203, and in particular, they did so in new development buildings. One out of four new rentals was located in a new building, according to the report. Overall, Queens’ median rental prices rose 10.5 percent to $2,646. –

 

 

 

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