By now, it is no mystery that New York City is facing a severe shortage of housing units, and in fact, it is estimated that at least 500,000 new units will be needed by 2023 to meet the ever-increasing demand.
Before the pandemic, Brooklyn was the designated hotspot for new housing development, particularly in Greenpoint, Williamsburg and surrounding areas, which saw the addition of more than 18,500 units between 2010 and 2020. However, median gross rent in those areas has risen significantly, so much so that a quarter of residents were already struggling to pay rent at the start of the pandemic.
Post-pandemic, the focus of new residential development has shifted to Queens, with neighborhoods including Long Island City and Sunnyside leading the district with the most significant number of new residential development along with more affordable areas, such as Jamaica and Astoria, which saw increased construction in 2022. Returning to Brooklyn, post-pandemic development shifted to the Fort Greene and Coney Island neighborhoods, which added about 2,100 units overall in 2022.
What about Manhattan? In 2022, several neighborhoods added housing solutions, including South Harlem, Murray Hill, Grand Central, and Inwood. However, some areas, especially below 96th Street, experienced a net loss of available units, indicating that New Yorkers are living further away from the city’s work centers, as more people are working remotely or visiting the office only a few days a week. A trend that could positively impact suburban neighborhoods, where new services like coworking spaces are being developed to serve new residents.
The city is transforming; while some neighborhoods will face difficulties and need to find new solutions, others will be reborn and offer more and more services to new residents; it is the story of New York; who knows what lies ahead.
