NYC Housing Production

The New  York City Department of City Planning’s Housing Division just released their NYC Housing Production Snapshot for 2024.

Key Findings

33,974 homes were completed in new buildings in New York City in 2024, including both market-rate and affordable units. Brooklyn once again leads the city in housing production, accounting for 40% of new housing completions in 2024. As in 2022 and 2023, housing completions in Manhattan were below those in Brooklyn, the Bronx, and Queens.

The number of new building permits issued in 2024 (15,626 units) remained on par with permits issued in 2023. This number is significantly lower than the number of permits issued in 2022, when the lapse of the 421-a tax benefit drove a large spike in permitting, and is the lowest number of units permitted since 2016.

96,854 homes had active permits at the end of 2024, 65% of which were in Brooklyn or Queens. Typically, 80 to 90 percent of permitted jobs are completed within four years, but limits on construction sector capacity and high interest rates may limit the number of recently permitted projects that complete within this time frame.

Completed Units

33,974 housing units were completed in new buildings in New York City in 2024. This represents a 6,012 unit increase from 2023, and is the most units completed in a single year since 1965. This is the first year since 1966 that more than 30,000 units were completed.

Brooklyn had the highest number of completed units in new buildings of all five boroughs (13,732) reclaiming this title from The Bronx; Brooklyn had held this distinction every year from 2012 to 2022.

The number of completed units in The Bronx (6,526) experienced a decrease from the previous year, while completed units in Queens (8,061) and Manhattan (4,841) increased from 2023.

For the fourth year in a row, Manhattan produced fewer new building units than Brooklyn, Queens, and the Bronx.  However, the borough's number of completed units increased from 2023.

Staten Island remains an order of magnitude lower than any other borough with 814 completed units in new buildings.

Long Island City-Hunters Point led the city in completions with 1,859 new building units. 1,386 of these units were at two projects in Hunter's Point South.

Permitted Units

The number of new building permits issued (15,626 units) decreased slightly from 2023. 2024 had the lowest number of permitted units since 2016.

Brooklyn continues to have the largest share of permitted units in new buildings (42%).

Trailing Brooklyn in order were Queens (21%), the Bronx (20%), Manhattan (15%), and Staten Island (2%).

Spring Creek-Starrett City led the city in new units receiving building permits in 2024 (1,664 units). Of these permitted new building units, 846 are part of two planned developments on Inspiration Lane.

Housing Pipeline

The housing pipeline represents all active permits for new buildings, including active permits issued in previous years. The citywide pipeline stood at 96,854 new homes at the end of 2024.

Typically 80 to 90 percent of permitted projects are completed within four years. However, limits on construction sector capacity and today's high interest rates will likely reduce  the share of recently permitted projects that can complete within this timeframe.

The areas with the largest number of units in the pipeline are Carroll Gardens-Cobble Hill-Gowanus-Red Hook followed by Long Island City-Hunters Point.

While a permitting spike in 2022 due to the expiration of the 421-a tax benefit increased the pipeline in a few areas, many neighborhoods, both in New York’s low-density areas and centrally located parts of Manhattan, have few or no units in the housing pipeline.

Development Site Advisors® Zoning Handbook: Vol. 1

Click to Access our Zoning Handbook

Join me at the next REBNY Development Committee Event | Thursday 3/27/25 at 5:30 PM

I want to make sure you are aware of the next Real Estate Board of New York Development Committee Event, where I am serving as Co-Chairman of that committee alongside Bob Knakal of BKREA. This will be a value-filled, fireside chat with developer Matthew Adell of Adellco. This event is sponsored by our friends at Cornerstone Land Abstract and Sage Realty.

We start with high-level networking, cocktails and hors d'oeuvres and then take our seats for the chat. I am sure you will benefit from attending. It takes place on Thursday 3/27 at 5:30pm until 7:30pm, at Sage Realty’s 437 Madison Avenue, located between E 49th Street and E 50th Street in Midtown Manhattan at the beautiful Oasis on the 14th Floor of the building.

Link to purchase your tickets are below; $50 for members and $120 for non-members.

Link to Tickets

Financial Market Snapshot:

• Federal Prime Rate: 7.5%
• Secured Overnight Financing Rate (SOFR): 4.30%
• United States Federal Funds Rate: 4.33%
• United States Annual Inflation Rate: 2.82%
• US 1-Year Treasury Rate: 4.053%
• US 2-Year Treasury Rate: 3.977%
• US 3-Year Treasury Rate: 3.974%
• US 5-Year Treasury Rate:  4.07%
• US 7-Year Treasury Rate: 4.197%
• US 10-Year Treasury Rate: 4.302%
• Treasury Bill Auction Rates:
• 4-Week Term: 4.225%
• 8-Week Term: 4.220%
• 17-Week Term: 4.175%
• 26-Week Term: 4.075%
• 52-Week Term: 4.050%
• US Bonds:
• 20-Year Bond: 4.625%
• 30-Year Bond: 4.750%
• Mortgage Rates:
• 30-Year Fixed Rate: 6.78%
• 15-Year Fixed Rate: 6.23%
• 5-Year ARM: 6.45%
• Ground Up Construction Rates: 7.5%+
• Hard Money Lending Rates: 11%+