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It’s 3 Months Running for Record Concessions in BK Apartments
Multifamily owners in Brooklyn offered concessions to new renters about 47.5% of the time in February, Miller Samuel reported last week. That tied the previous month’s record level, more than triple the 15.7% market share of landlord concessions reported a year earlier, and represented the third consecutive month of record highs in concessions across the borough.
As a result, net effective median rents in Brooklyn were down 3.1% year over year, to $2,632 in February. That marks the ninth month in the past 10 that saw Y-O-Y declines.
However, the tactic appears to be paying off in a 15.1% Y-O-Y increase in the number of leases signed, while days on market saw an even steeper drop from a year ago. “That suggests that landlords were resigned to accept current conditions, and were more quickly offering concessions to enable lease signings,” wrote Miller Samuel’s Jonathan Miller.
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