Over the past decade, 24 NYC neighborhoods have experienced a significant increase in median home prices, doubling or more. Notably, the Two Bridges area in Manhattan has seen a remarkable surge of 288%. Various factors, including gentrification, rezoning, new developments, and climate resilience initiatives, have all contributed to this growth. It is particularly interesting to observe how different drivers have influenced various areas distinctly.
Brooklyn’s Transformation: Carroll Gardens & Red Hook
In Carroll Gardens, much of the appreciation, now nearly reaching a median price of $2 million, stems from long-established gentrification, top-tier schools, charming brownstones, and deliberate neighborhood growth that remains relatively controlled.
Meanwhile, Red Hook went through a major post‑Sandy revival. Waterfront resiliency updates, new ferry routes, and climate adaptation investments attracted new buyers, turning this once-overlooked enclave into one of Brooklyn’s most expensive areas.
From Forgotten to Flourishing: Long Island City & Jamaica
Queens also got in on the action. Long Island City experienced a surge once dozens of luxury condos were built, thanks to its proximity to Midtown, which made it a magnet for both commuters and investors. The area, once known for its factories and industrial heritage, is now home to luxury rentals and condominiums.
Over in Jamaica, it wasn’t just natural neighborhood charm that drove growth—major rezoning and mixed-income mega projects, like The Monarch, stirred things up. Median household income jumped 56% in just ten years, making it one of the few Queens spots to nearly match Brooklyn’s pace. There are still deals to be found in the area compared to other neighborhoods in Queens.
East New York & Morningside Heights
Two other notable mentions are East New York, Brooklyn, and Morningside Heights, Manhttan are trending upward. East New York is in the early stages of gentrification. At the same time, Morningside Heights saw property tax bills triple (to around $21,000 per year), indicating that real estate desirability is increasing.
Source: Property Shark
Why Prices Are Skyrocketing
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Gentrification & Education: Already pricier areas (Carroll Gardens, Cobble Hill) got even hotter via an influx of well-educated, higher-income buyers.
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Rezoning & Development: Places like Jamaica and Long Island City are benefiting from new luxury and mixed-income projects.
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Climate Gentrification: Post-Sandy relief and waterfront improvements transformed Red Hook into a premium destination.
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Work-Life Shifts: Hybrid/remote work gave a boost to less central areas, increasing demand across boroughs
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Rising Property Taxes
Closing Thoughts
Several price hikes in NYC neighborhoods over the last decade can be attributed to gentrification, the #1 reason in my mind, as well as rezoning, infrastructure upgrades, new developments, and the tech boom, which broadens the buyer base. In Red Hook, waterfront revitalization and ferry access boosted desirability and prices. Long Island City saw luxury condo growth due to its proximity to Midtown and the revitalization of the previously industrial area. Carroll Gardens has maintained steady growth thanks to its historic charm, good schools, and limited inventory, which keeps demand high. These factors, along with citywide population shifts and investment, have resulted in median home prices doubling or more since 2014.
