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Market Report

New York Multifamily Market Report

2025 Investment Forecast

Strengthened Office Absorption Aids Rental
Demand as New Policies Reshape Investment Strategies

Job growth and congestion pricing lift demand near transit hubs. Hiring among traditionally office-using firms has accelerated in the metro following improved net absorption of office space late last year. New high-paying roles at firms such as Apple and Amazon are expected to lift local demand for market rate apartments. While metrowide inventory growth is forecast to remain under 1 percent this year, nearly half of the new supply will be concentrated in Brooklyn. Demand here should remain strong, however, as lower living costs compared with Manhattan, new job opportunities and convenient transit access have fueled the metro’s fastest-growing renter base. Supply pressure is meanwhile easing in the Bronx, despite a vacancy rate near 1 percent. Vacancy is also under 2 percent in Queens, whose 2025 delivery slate falls below Brooklyn and Manhattan. Traffic congestion laws that took effect in early 2025 may also boost demand near major transit hubs and within the toll zone as renters seek to mitigate rising commuting costs.
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