Manhattan Rents Plunge While Vacancies Soar

[Mitch Messer]

Check out the following article (and watch the video): https://www.yahoo.com/finance/...

They report some of the first hard data on the direct (and indirect) impact of COVID-19 on NYC real estate. Both residential and commercial markets are discussed. The actual full report is here: https://www.millersamuel.com/f...

It appears that many families are radically rethinking their priorities when making "buy vs. rent" and "city vs. suburb" life decisions.

I found this observation particularly intriguing:

"[T]he tether between work and home just got a lot longer ... people have more flexibility about where they can live in relationship to where they work"

[Llewelyn A.]

@Mitch Messer

Interestingly, here is one of the Slides that was used in the Yahoo Video with Miller Samuel:

I think many Investors or readers here don't really understand that Manhattan and the outer boroughs of NYC are two different animals.

This slides tells a lot about those differences.

Here in Brooklyn, we are doing GREAT as far as Sales of Apts and Single Family homes. Manhattan is down 50%+ for Apt Sales but Brooklyn is UP over 20%+. Single Family Homes are even more of a divergence.

It makes a lot of sense because when your 2 Bedroom Condo in Tribeca, Manhattan is worth $10 Million on Average, you can sell it and buy an average $2 Million Home in Brooklyn and then keep $8 million!

I have mentioned this when the Pandemic started in April as it seems very predictable to me.

Maybe now I will wait to see if I can buy a Manhattan Investment as the Pandemic unwinds!