NEW YORK, NY – July 17, 2025 – New York City’s multifamily market rose to $2.3 billion in Q2 2025, up 11% from Q1 2025, while transactions fell a slight 3% over the period to 293, according to Ariel Property Advisors Q2 2025 Multifamily Quarter in Review New York City.

Investment in the affordable housing sector accounted for 41% of overall multifamily dollar volume, the highest mark since Nuveen’s acquisition of Omni’s Affordable Housing Platform in Q2 2023, followed by rent stabilized properties at 32% and predominantly free market buildings at 27%.

“Q2 reflected a resilient multifamily market navigating complexity,” said Shimon Shkury, President and Founder of Ariel Property Advisors. “Capital continues to flow into affordable housing and rent-stabilized assets for very different reasons—mission-driven investment versus distress-driven sales—while demand for free-market properties remains strong. Brooklyn led the charge, and recapitalizations on high-quality assets underscore deep institutional confidence despite political and policy headwinds.”

Submarket Highlights

Brooklyn

      • In Q2 2025, Brooklyn dominated New York City’s multifamily market, accounting for $1.06 billion in sales across 135 transactions, nearly half of the citywide activity.
      • Investor focus was heavily skewed towards smaller, sub–10-unit buildings, which comprised 109 of the borough’s 135 trades. This interest is driven by the fact that smaller assets are subject to less rent regulation, including “good cause” eviction, and often receive more favorable tax treatment.
      • Notably, Camber Property Group acquired a new vacant 184-unit mixed-use 421-a building totaling 154,888 SF at 2864–2880 Atlantic Avenue in East New York for $69 million.

Bronx

      • Bronx multifamily activity picked up in Q2 2025 with $497 million in dollar volume across 34 transactions, a 389% and 26% increase, quarter-over-quarter.
      • Buildings with 75% or more rent stabilized units accounted for 75% of both the dollar and transaction volume in the Bronx.
      • The most significant rent stabilized transaction was the sale of Related Companies’ 36-building, 2,021-unit Bronx portfolio to PH Realty Capital LLC for $189 million, discounted from the $253 million Related paid for the same properties in 2014.

Manhattan

      • Multifamily dollar volume in Manhattan totaled $407 million in Q2 2025, a drop of 50% from Q1 2025 and 56% from Q2 2024, while transactions totaled 41, down 25% quarter-over-quarter and 16% year-over-year.
      • Free market sales accounted for 92% of the dollar volume and 88% of the transaction volume.
      • Featured transactions included the sale of an 82,230 SF building at 10 West 65th Street for $45.6 million and 50 Hudson Street, a 25,760 SF building that traded for $40 million.

Queens

      • Multifamily dollar volume in Queens rose 77% quarter-over-quarter to $303 million in Q2 2025 across 68 transactions.
      • Buildings with regulatory agreements captured 61% of the dollar volume.
      • Tredway and Brookfield’s acquisition of the 602-unit affordable Ocean Park Apartments, 125 Beach 17th Street, in Far Rockaway from Related Companies for $88 million, which was brokered by Ariel Property Advisors, was ranked as the quarter’s third-largest multifamily deal.

Northern Manhattan

      • Northern Manhattan saw multifamily dollar volume in Q2 2025 rise to $52 million, up 19% from Q1 2025, but down 71% year-over-year. Transactions were flat at 15.
      • Rent stabilized assets accounted for 59% of the dollar volume and 44% of the transactions, while free market followed with 38% of the dollar volume and 45% of the transactions.
      • Kahen Properties’ 105,937 SF Multifamily Portfolio traded for $8.75 million, while a 21,114 SF property at 241 West 110th Street sold for $8 million.

The full Q2 2025 Multifamily Quarter in Review New York report is available here.