New York City real estate values have demonstrated remarkable resilience in what's commonly become an era of bad economic news. In the wake of the COVID-19 Pandemic, commercial real estate seemed an apparent ghost town, and quarantine shutdowns stifled residential renters' ability to pay their landlords. Nonetheless, the New York Post recently reported on Mayor Eric Adams' preliminary budget covering fiscal year 2022-2023, which asserts NYC commercial property values at 92.3% of their pre-pandemic assessment.
NY Commercial Property Values Through the Pandemic
These days, many of us measure economic growth in terms of before COVID-19 and after COVID-19. Admittedly, we haven't yet hit an absolute “after,” but signs point to continued recovery. In January of 2020, before the Pandemic impacts were felt, commercial real estate in New York was valued at $326 billion. These assessed values decreased dramatically for the 2021-2022 fiscal year, hovering at only $269 billion. That drop constituted a shocking 17.5% reduction.
Fortunately, the new assessment for NYC commercial real estate values comes in at $301 billion, setting the city up for an increasingly improved economy.
The Ongoing Recovery of New York's Economy
Although there is light at the end of the tunnel, it's important investors, developers, and property owners remember that it could take a while to see a full restoration of New York's economy. Nearly 1 million jobs were lost during the COVID-19 Pandemic, and although the wheels of progress are spinning forward once again, patience and caution remain important virtues. For some NY real estate owners, it might be time to speak to a real estate lawyer to discuss your best options for moving ahead.
Contact an NYC Real Estate Lawyer for Professional Help
At the office of Melvin Monachan, Attorney at Law, our experienced real estate legal team understands the real estate industry and our clients' needs. We provide relationship-driven legal solutions for New York real estate buying, selling, or default issues. To learn how we can help you today, call our office at (347) 389-1682 or contact us online.