Real Estate

Luring Affluent Renters in Manhattan

By VIVIAN S. TOY

Published: June 29, 2008

The rental market in New York City usually gets stronger when co-op and condo sales slow down. But this year, some landlords of high-end buildings are feeling the need to offer free rent and other enticements.

http://www.nytimes.com/2008/06/29/realestate/29cov.html?ex=1372392000&en=ac3816c1019b7238&ei=5124&partner=permalink&exprod=permalink

What do we learn from this development?

1) Landlords have adjusted accordingly.

The article says:

“A lot of landlords were getting ready to increase rents for the busy season, but they’re finding that those projected rents aren’t attainable,” said Daniel Baum, the chief operating officer at the Real Estate Group New York, a Manhattan brokerage. “No one anticipated having problems on the rental side, and it’s definitely forcing property owners to take a second look at marketing and to rethink their pricing.”

Likewise, in the United Kingdom landlords could think of increasing rents but in some city centres that may not be possible. There is still an excess of new build and creating vacant flats. Manchester, Nottingham, Liverpool, Norwich to name but few city centres.