Jersey City over the past 10 years has been building new luxury housing and high-rises along the Hudson River twice as fast as New York City. However, the big increase in Jersey City housing supply has not necessarily driven rent prices down due to the consistent high demand and high deficit of housing from the dense population living and working around the New York City areas. This phenomenon has driven many Jersey City locals to more affordable areas such as Newark and Elizabeth, New Jersey.
The surge in rent price for new apartments in Jersey City and a high demand that cannot be met by sufficient supply has given incentives to existing landlords in the community to also raise their rent prices to close rent gaps. With many NYC-based businesses also setting up satellite offices and/or moving into New Jersey, the demand for housing is further exasperated. Due to high rent prices, many local tenants have been evicted and/or are facing housing court.
Eliza Relman and Noah Sheidlower, NYC and its suburbs won't build new housing, so New Yorkers are flooding into Jersey City and driving up prices, The Business Insider, https://www.businessinsider.com/jersey-city-real-estate-market-costs-rise-new-yorkers-move-2023-9 (Sept. 30, 2023).
Tags: Affordable Housing, commute, Elizabeth, evictions, high demand, housing supply, income disparity, increased rent, Jersey City, Luxury Apartments, Manhattan, new amenities, New Jersey, Newark, rent price, shortage of housing supply, tristate