- JLL projects NYC multifamily sales will reach $10B in 2025, driven by returning investor confidence and large asset transactions.
- The market has already seen $800M–$900M in sales early this year, signaling a potentially record-setting performance.
- Brooklyn led the city in 2024 multifamily activity, but Manhattan is expected to take back the lead with major portfolio sales and conversions.
- Investors are pursuing both value-add deals and new Class A product despite broader economic volatility.
Investors Return as Market Rebounds
New York City’s multifamily market is seeing renewed momentum, with JLL’s Rob Hinckley and Jeff Julien forecasting $10B in transaction volume by the end of 2025. That figure would exceed the combined sales volume of 2023 and 2024, according to GlobeSt.
“We’ve already closed about $800 to $900 million of sales this year on the local housing side,” Hinckley said. “So it’s tracking to be probably a record year. It has felt like we’re back to an extraordinarily robust multi-housing transaction market.”
This renewed activity is being fueled by capital sidelined during periods of uncertainty, along with sellers who are now more willing to list assets.
Brooklyn’s 2024 Lead Could Shift to Manhattan
According to Ariel Property Advisors, Brooklyn topped NYC’s multifamily market in 2024 with $3.48B in sales—a 59% YoY increase. That figure edged out Manhattan below 96th Street, which recorded $3.44B in sales.
Hinckley attributed Brooklyn’s strong showing to new development sales and merchant builders looking to recycle capital. However, he expects Manhattan to take back the lead in 2025, driven by major single-asset sales and portfolio transactions.
“We know that there are several large conversions that are stabilizing, that are going to be sold,” he said. “There are a couple billion-dollar portfolios that are likely to come out.”
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Investor Focus: Value-Add and Class A
Investors are pursuing two primary strategies in NYC’s multifamily space this year:
- Acquiring older buildings for renovation and repositioning.
- Targeting new, high-end Class A properties for stable returns.
Despite economic uncertainty and market volatility, Hinckley noted continued activity in the space. He referenced a recent $240 million sale involving a major investment advisor as evidence that deals are still underway.
Why It Matters
Though macroeconomic risks persist, including tariffs and interest rate fluctuations, they have yet to slow down NYC’s multifamily sector. Hinckley said buyers remain confident, while lower rates have encouraged some sellers to re-enter the market in hopes of achieving stronger pricing.
What’s Next
If the current pace continues, New York’s multifamily market is on track to deliver one of its strongest years in recent history. As capital re-enters the space and more high-value assets come to market, Manhattan may reassert its dominance—and 2025 could mark a significant turning point for multifamily in the city.
