Real estate portrays the aspirations and agendas of corporations, people, and policy makers. The New York Times interviewed former city officials, real estate executives, affordable housing advocates, brokers and urban planners to gain insight into the future of New York’s real estate.
The median rental price of an apartment as of September in Manhattan was $3,036 per month, an 11% drop from the same period last year – cheap for New York, but expensive for the rest of the world. In the absence of a vaccine, and the economic weakness, rents are expected to drop further. Brooklyn, Queens, the Bronx, and Staten Island are expected to recover quicker because rents are less expensive than Manhattan.
Further dampening demand are companies that are allowing for more work from home policies which has created demand in the suburbs and not the central business districts. This leads the balance of the demand to millennials, who by definition are early in their careers, and looking for inexpensive places to live. They also want to live and work in Manhattan. What nobody knows is how long these trends will last. Will they be temporary or more permanent as people become accustomed to their suburban and exurban lifestyles?
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