Brooklynis fast becoming the “it” borough, with celebrities opting for its quirky character and more “normal” yet still trendy environment. Infrastructure improvements such as the ambitious subway/rail extension project linking Brooklyn to Manhattanare driving up property values, too.
While real estate sources believe the Brooklyn market is currently undervalued, there are indications that this is changing. Fast.
Comparing Brooklyn to similar neighborhoods of Manhattan, condo pricing in the latter is 35-50% higher. But, according to the New York Post, housing prices could soon reach Manhattan levels. While $1000/square foot condominiums are becoming commonplace inBrooklyn, condo prices there still lag behind rental prices and can only go up.
The asking price for new developments in areas such as Carroll Gardens, Park Slope and Brooklyn Heights are at least $1000/per square foot.
In Brooklyn Heights, especially, rents are beginning to rise to levels traditionally reserved for upscale Manhattan areas. Average rental prices there are now $55/square foot per year, a rate quickly approaching that in Chelsea, where apartments typically rent for $58/square foot and sell on average for more than $1400/square foot.