2 ms·

Perhaps the phenomenon of “X months free rent” is more pervasive in NYC. E.g. https://www.cityrealty.com/nyc/market-insight/rental-building-offers/greenpoint/3

Perhaps the phenomenon of “X months free rent” is more pervasive in NYC. E.g. https://www.cityrealty.com/nyc/market-insight/rental-building-offers/greenpoint/33-nyc-luxury-buildings-gyms-offering-months-free-rent/39761 https://www.cityrealty.com/nyc/market-insight/rental-buildin... What little I understand is if a landlord is leveraged (?) up the wazoo, the lending bank can make the landlord pay a lump sum if the revenue projections on which the loan is made shrink, since the risk is higher. Somehow, free months don’t count against these revenue projections (assumed a one-off?), through what I imagine is the magic of contract law. The higher end, nicer real estate is probably more highly leveraged. Someone in RE can probably clarify this better.

adjkant 6y ago
It is, but that was true pre-pandemic, so that won't mark a shift in prices either way. That's baked into last year and this year.
rStar 6y ago
our rent went down, total, a little more than a third. half was a price drop and half was the averaged value of 2 free months, which we will have to pay back if we leave before the lease is up. We had budgeted an increase, so it’s a covid windfall. Less traffic and one of the lowest covid numbers in the union atm are a bonus. The constant smoke in the air is the real problem. Haven’t had a blackout yet.