This is the second in a three-part series today covering the Manhattan housing market since autumn 2007. The first was on the condo sales tumble.
Apartment rents in Manhattan’s two biggest neighborhoods by area, the Upper East and West Sides, either dropped or stayed relatively flat from September 2007 to September 2008, harbingering a further cooling off in the rental market (just like the ice cubes tossed this summer on the for-sale market), according to the latest report from The Real Estate Group New York (PDF here).
The apartment market and the local economy have a nearly real-time relationship, and the flat rents the last 12 months in these two neighborhoods could become the norm through the winter as the financial crisis worsens. Certainly, Manhattan’s beyond the recent era of sharp rent jumps.
The average rent for one-bedrooms in Upper West Side doorman buildings was $3,505 in September, down from the last September’s rents of $3,576 but slightly up from August, when the average rent was $3,481. September rents for one-bedroom apartments in non-doorman buildings averaged $2,497, a jump of nearly $200 from last September but slightly down from this past August.
On the other side of Central Park, average one-bedroom rents dropped over the last 12 months ending in September, in both doorman and non-doorman buildings. One-bedrooms in doorman buildings in September rented for $3,626, a slight drop from September 2007. Rents dropped more in non-doorman buildings, falling by more than $300 from last September’s 12-month high of $2,658 to $2,347 this September.