Photo: Robert Clark
While overall Brooklyn rents remained flat in February, North Brooklyn rents continued to fall ahead of the April 2019 L-train shutdown.
Rents declined in the North Brooklyn area for the seventh consecutive month in February, according to a report released yesterday by the listing site StreetEasy.
The North Brooklyn average rent fell 0.6 percent annually to $3,027 in February. Some 25 percent of rentals in the submarket received a price cut in February, up 2.6 percent from last year — the largest share of discounted rentals in the borough.
The L-train shutdown is scheduled to last 18 months and no travel alternatives have been announced by the MTA as of yet.
“The L train shutdown is a tidal wave that’s been off on the horizon,” says StreetEasy Senior Economist Grant Long in the digital release.
New leases are now starting to overlap with the period of the shutdown and landlords are pulling out all the stops to attract tenants.
“We’re seeing landlords get more liberal with discounts to make sure they attract tenants — and maybe even incentivize them to stay for longer than a year. Renters should consider the reality of limited transportation to these areas, but there are bargains to be had if that’s a trade-off they’re willing to make,” says Long.
As for what the future holds for renters in North Brooklyn, nothing is set is stone — aside from the L-train shutdown.
“While it’s hard to predict, we expect the looming shutdown to keep rents from rising through late spring and early summer, the busiest time of the year for the rental market. Renters have increasing bargaining power across the city, but those looking in Williamsburg and Greenpoint will have among the strongest bargaining positions in the city,” Long tells BuzzBuzzNews.
But average home prices in North Brooklyn remained strong, in February rising 3.3 percent year-over-year to $1.1 million. Homes were on the market a median of 108 days, up 34 days from last year. North Brooklyn homes took longer to sell in February than any other Brooklyn submarket.
The North Brooklyn submarket includes the trendy Williamsburg and Greenpoint neighborhoods.
Meantime, StreetEasy says that the rental market across the city moved in the renter’s favor in February, with Manhattan and Brooklyn rents remaining relatively flat at $3,129 and $2,357, respectively.
However, Queens rents dropped 1.9 percent annually to $2,064 in February. Rents in Northwest Queens — the borough’s priciest submarket, which includes red-hot Long Island City — fell 3.3 percent year-over-year to $2,148 in February.
“The building boom in Long Island City and Astoria has outpaced growing demand,” Long tells BuzzBuzzNews.
Twenty percent of all rentals across the three boroughs offered discounts. The net share of rentals offering a discount rose 4.3 percent from last year in Queens, 1.3 percent in Brooklyn and 1.4 percent in Manhattan in February.
Manhattan home prices rose a modest 0.8 percent annually to $1.1 million in February and spent longer on the market. Time on market grew by nine days since last year to a median of 90 days. And in the Upper East Side and Upper West Side submarkets, time on market rose by more than a month, up 36 and 37 days year-over-year, respectively. Twenty percent of homes in the Upper West Side received a discount in February — the highest share in Manhattan.
Click here to read the entire report.