The ongoing economic recovery is good news both for Manhattan real estate developers and everyone who, you know, participates in the economy. That seems obvious, but it's worth mentioning mostly because all the recovery-related news here at the Luxury Rentals Manhattan job could easily be mistaken for a bummer by people searching for Manhattan rental apartments. Here there's news that NYC dwellers can no longer expect generous concessions on their Manhattan rental apartments. There there's news that Manhattan no-fee rental listings are not-so-gradually becoming an endangered species. Yes, it's good that the economy is apparently bouncing back. But where's the benefit for those looking for a Manhattan rental apartment? Well, it's coming, through what looks like a bumper crop of new construction luxury rental buildings that should arrive over the next year or two.
At the risk of being too reductive, more apartment rental listings means more affordable apartment rental listings, and the revival of stalled residential construction projects and the announcement of a few big-ticket new residential buildings means that more luxury rental apartments are about to come on the market. In the Wall Street Journal, Craig Karmin reports on the Atlantic Development Group's two new entrants into this growing group of new construction luxury rental listings, both of which will be opening next month.
"Atlantic Development Group, which owns or manages 48 rental buildings in the city, plans to open next month 2 Cooper, at East Fourth Street near the Bowery. The 15-story, amenity-rich building is charging the highest rents ever in this rapidly gentrifying neighborhood, brokers say. Three-bedroom apartments run as high as $20,000 per month," Karmin writes. "At the same time Atlantic is launching Port 10, at 10th Avenue and West 28th Street, near the High Line. The 13-floor building, which offers a 24-hour concierge service, doorman and fitness center, hopes to attract recent college grads that have traditionally flocked to cheaper apartments in Murray Hill or the Upper East Side. One-bedrooms start at $3,000 per month." Port 10 has been on our radar at Luxury Rentals Manhattan for awhile, but its planned 2009 opening date was pushed back by construction delays. As Karmin notes, though, what at first looked like bad luck may actually wind up not being bad luck at all. "[The delay] could end up working to the developer's advantage. The rental market is showing signs of life in recent weeks, with the number of available units falling, rent prices stabilizing and landlord incentives—like a free month's rent—getting harder to find."
Again with the bad news! Come on, Craig Karmin! That reminder aside, though, the arrival of new luxury rental listings in the East Village -- as well as yet another luxury rental in Chelsea -- is good news, straight up. Supply is the renter's friend, and if the good old incentive-laden days of the renter's market may well be gone forever, new rental apartment listings suggest that more supply -- and thus better deals for Manhattan apartment seekers -- could be in the offing.
