Brooklyn Siphons Demand From Manhattan
Rents are falling in Manhattan and soaring in Brooklyn as people flock to the borough, according to The Real Deal and The New York Daily News, based on reports from Douglas Elliman and MNS today. The gap between the two boroughs narrowed to its smallest yet, $210, in February, said the Daily News. The median…
Rents are falling in Manhattan and soaring in Brooklyn as people flock to the borough, according to The Real Deal and The New York Daily News, based on reports from Douglas Elliman and MNS today. The gap between the two boroughs narrowed to its smallest yet, $210, in February, said the Daily News.
The median rent in Brooklyn is now $2,890, an 11.6 percent spike in February vs. the same period the year before. In Manhattan, the median rent is $3,100, a decline of 2.8 percent vs. the same period a year earlier.
Crown Heights and Bed Stuy saw some of the biggest increases, with average rents up 8.1 percent to $1,910 in Crown Heights and 7.2 percent to $1,840 in Bed Stuy vs. the year before, according to MNS.
“Brooklyn came into its own,”  the Daily News quoted Jonathan Miller, CEO of appraisal firm Miller Samuel, as saying. “It’s less about being a cheaper alternative and more about being a distinct rental market that is poaching demand from Manhattan…”Part of the reason Manhattan is leveling off is that it has significant competition from Brooklyn.”
In 2008, said the News, “the price gap between the borough was $1,125, five times what it is today.”
Rental Price Gap Between Brooklyn and Manhattan Narrows to Record Low [NY Daily News]
Median Manhattan Rents Tumble as Brooklyn Booms [TRD]
That’s pretty interesting, especially for me, because I don’t permanently live in NYC, but I visit it pretty often for work. I just compared the prices of some hotels in Brooklyn and Manhattan on http://new-york.hotelscheap.org/ and it’s pretty noticeable that the rates in Brooklyn are still pretty cheap, really cheaper than hotels with the same rating in Manhattan.
For some people, Manhattan is Manhattan, and Brooklyn will never be that. But for others like me, why would I live in Manhattan, get less space, pay more (mortgage AND maintenance), have more noise, etc….and in many cases, my commute from relatively affordable reaches of Manhattan would be longer than it is from Brooklyn.