Surplus Of Luxury Rentals In Downtown Brooklyn

With all the rental towers rising in Downtown Brooklyn, developers are reportedly having difficulty renting out all their luxury apartment units.

Curbed New York broke down some of the new developments Downtown.

At 55 stories, The Hub is Brooklyn’s tallest tower. Located at 333 Schermerhorn Street, the building has 600 market-rate apartments ranging from studios to 2-bedrooms and 150 affordable units priced at $833/month for studios, $895/month for one-bedrooms, and $1,082/month for two-bedrooms.

The Ashland, at 250 Ashland Place, is a 53-story tower that has a total of 586 units with 304 market-rate (ranging from $2600/month for studios and $7500/month for 3-bedrooms) and 282 affordable units ranging from $801/month to $3,649/month.

According to a StreetEasy search, there are currently 236 apartments available for rent on the site in Downtown Brooklyn. This overstock is forcing brokers and developers to take extreme measures in luring potential renters to their buildings. The 228-unit The Margo at 180 Myrtle Avenue currently has a listing for a $3,329/month, 600-square-foot, 1-bedroom apartment with “no fee” and “two months free rent available!!!”

According to the New York Times, the affordable housing lottery for The Hub, which opened in October, received a staggering 80,000 applicants for just 150 apartments, proving again that “the rent is too damn high” and there are plenty of renters out there looking for affordable options but perhaps not so much for exorbitantly priced market-rate rentals.

And the over-supply isn’t stopping anytime soon. A 32-story, 440-unit tower is coming to 86 Fleet Place and a 714-unit building to 33 Bond Street.

33 Bond Street will feature 571 market-rate units and 143 affordable units. The lottery for affordable units is currently open for studios at $897/month, one-bedrooms at $963/month, and two-bedrooms at $1,166/month.