Manhattan apartment rents surged in September, coming within 2.1 percent of the peak, as improving employment boosted competition among tenants.
The median monthly rent jumped to $3,195, up 10 percent from a year earlier and 3.2 percent from August, according to a report today by appraiser Miller Samuel Inc. and broker Prudential Douglas Elliman Real Estate. The number of new leases signed last month jumped 55 percent from a year earlier to 2,535, as renters facing sharp renewal increases moved out in search of better deals, said Jonathan Miller, president of New York-based Miller Samuel.
“This is not a fluke,” he said. “This is where the die has been cast for the next year or two years.”
Improving employment in the city has increased demand for leasing, putting monthly rents on course to surpass the 2006 peak of $3,265 in the first quarter of 2013, according to Miller. Newly hired potential tenants are competing for housing in a market already crowded with would-be homebuyers who are lingering in their apartments because they can’t get a mortgage, he said. New York City added 77,400 jobs in the 12 months through August, according to the state Labor Department.
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http://www.businessweek.com/news/201...eptember-surge
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