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New York City Rents Flat in February

Usually, the beginning of the year sees andecreased. This, perhaps, suggests that
uptick in rental rates. There are variouslarger, more professionally run NYC
boring economic reasons for this seasonalapartments have been adjusting their rents to
cycle that are really just too dry to getthe new market environment with more
into. Suffice to say, it has nothing to dodexterity than smaller landlords. Many of the
with landlords falling out of their holidaylatter may still be clinging to the past,
cheer after a month of saying in December "OKwhen New York apartments virtually rented
guys, you know what, lower rent for everyone,themselves in the most seller's market in the
and eggnog drinks on me!" That never happens.country.
Landlords  don't  do  that.
Another important factor in that dichotomy:
The point is, though, that that didn't happenThe recent spate of condo building in the
this year. January rolled around, and averagefinancial district has left a minor surplus
rental rates continued to fall, as thein the number of high-end, high rent condos.
financial markets began laying people offOver the past two months, most owners of
(happy new year!) and the national marketthose buildings have lowered rents in order
continued  to  plummet.to fill their larger-than-normal number of
vacancies.
So, average rental rates for New York
apartments in the month of February were on aRental rates for New York apartments fell
lot  of  economists'  minds  recently.in a number of neighborhoods. Harlem and
Murray Hill saw some of the largest
Thus, it comes as good news to the economydecreases. SoHo and Battery Park City were
that rents were flat in February - or, atnot far behind. Rents in Chelsea and Midtown
least, that type of "good" news that's goodWest  fell  slightly.
just cause you've gotten so used to bad news
that just OK news feels like a heavenly choirThe Upper West Side and Upper East Side,
in  your  head.meanwhile, saw decent increases in average
rents. The Lower East Side also saw a small
While the city could certainly use a goodincrease  in  prices.
amount of low rent housing, the lower rental
rates are not a good sign for the economy asNicholas Adams Judge is a freelance writer
a  whole.specializing in business, politics and
economics. He holds a B.A. in political
Basically, the normal cyclical momentum thatscience and will begin his PhD studies in
pushes rents higher this time of year waspolitical economy and public opinion next
just enough to arrest the decline in propertyfall. He has studied economics and political
values.science at a number of different
institutions, both here and in the U.K.,
Interestingly, rents for apartments inincluding Amherst College, Warwick
buildings without doorman increased slightly,University, Oxford University and the
while rents in buildings with doormanUniversity of Massachusetts-Amherst.



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