New York City Sees Nation’s Fastest Multifamily Rent Growth

The Big Apple leads the nation in apartment rent growth, bolstered by high occupancy and limited supply. New York City saw multifamily asking rents rise 5.6% year-over-year in June, the highest growth rate among major markets in the U.S., according to a recent report by Yardi Matrix.

Manhattan’s overall average asking rent led the nation at $5,651 as of June, up 1.5% on a trailing three-month basis, while Brooklyn and Queens stood at $4,611 and $3,636, respectively. The overall average occupancy in stabilized assets was 98.2%, down slightly by 20 basis points year-over-year, pointing to continued strong demand across the metro.

Job growth in key sectors supported apartment demand, with professional and business services and education and health services gaining a combined 32,200 jobs through the 12 months ending in April. Yardi Matrix projects that New York City rents will end the year at 3.1% growth if current market conditions hold.