Weber Realty Management is experiencing a massive demand from those that want to stay in their apartments for another year. 89% of the leases that expired in May 2022 have been renewed for another year.
In the Chelsea/West Village neighborhood, the average rent of those market-rate apartments being renewed before the May 31 deadline was $2,956. These apartments are renewing at a 4% increase compared to last year.
In the Lenox Hill neighborhood, the average rent of market-rate apartments that have been renewed before this month’s deadline was $1,750. These apartments have been renewed at a 9% increase compared to their 2021 rate.
Going forward, Weber Realty Management recommends that landlords offer renewal rates of at least 10% increases this summer. Apartments are being re-rented at a 35% premium compared to last year, so it’s the landlord that has all the leverage this go around. As the demand boosts starting in June, landlords shouldn’t have to be too concerned about getting an apartment occupied at a higher rent than a year ago.