New York Multifamily Market Report

Premium rentals regain balance. Across the New York City metro, supply and demand are beginning to realign, particularly in the upper-tier segment. Tapering new supply and steady demand from higher-income renters tightened Class A operations in early 2025. The Bronx and Queens each posted upper-tier vacancy declines of about 150 basis points in the first quarter alone, prompting renewed rent growth. High-end property metrics also improved in Manhattan and Brooklyn, though recent job losses in traditionally office-using sectors may have  contributed to softer momentum. As apartment deliveries are expected to moderate throughout the year, vacancy should remain tight, supporting stronger rent gains. Leasing velocity could slow, however, if hiring conditions weaken further.