New York City Rents Collapsing for Every Apartment Size Over Too Much Inventory
- Landlords offer concessions on 26% of all new leases
- Studios have their biggest rent drop since at least 2012
Rents fell last month for Manhattan apartments of all sizes, the first across-the-board price decline in at least four years, as a construction boom brought more buildings to market and allowed some tenants to leave for bigger or newer units.
For studios, which held their own last year while costs for bigger apartments slid, the median rent dropped 2.6 percent, appraiser Miller Samuel Inc. and brokerage Douglas Elliman Real Estate said in a report Thursday. It was the biggest year-over-year decrease since the firms started tracking the data in 2012. The median price of studios last month was $2,500, the lowest it’s been since January 2015.
“There’s so much inventory, and that influx is hitting across all price points, even the studios,” Hal Gavzie, executive director of leasing for Douglas Elliman, said in an interview. “There were a lot of studios that hit the market and have been sitting there. They had to reduce prices.”