New York Multifamily Market Report
Low Availability Solidifies Apartment Recovery;
Stage Set For More Employment Growth
Multifamily sector leads New York’s real estate recovery. Though remote schedules prompted initial fears of a mass exodus from the five boroughs, renters affirmed their preference for the city during the past year, lowering vacancy below 2 percent for the first time since 2002. Tight conditions translated to an upward rent trajectory, with multifamily properties being the city’s first asset class to mark a full recovery from COVID-19 losses. Limited unit availability has also prompted an increase in development activity, with New York being home to one of the nation’s largest pipelines. Despite this, ongoing job recovery efforts will support a positive rate of household formation, keeping vacancy tight and rents growing in the near term.