- Jan 14, 2013
It's unsustainable. The jobs are in the cities. The pandemic may increase WFH but that is still up in the air how permanent that will be and for how many.I wasn’t referring to the rural areas but the Nimby suburban zones just outside the urban cores, although for NYC, those suburban zones keep creeping and expanding up the Hudson River.
From what I am reading online, residential rents in NYC are starting to correct themselves in some neighborhoods, but some buildings can only do so much - they are financed by banks so they won't let those buildings lower rents too much. I am reading folks who say they are seeing deals in Manhattan to circumvent this, sign a year lease and get 3 months free seems to be the most common. Others are reporting significant drops in rent in their buildings in a FB group I'm in. Some say they are seeing small drops. Some neighborhoods I read are staying the same, like Park Slope for example. Some of those units in certain neighborhoods like that are so desirable that when a family decides to relocate to the suburbs and give it up, they are snatched up at no reduction.
Who knows what will happen. So many factors at play. The suburban zoning laws are unsustainable if the jobs stay in NYC and people don't want to commute too far. Something has to give. Best case scenario is prices adjust overall and when the jobs come back, so will the people. I don't think Wall Street is just going to move out of NYC to Kansas at this point.