BOROUGH TRENDS & INSIGHTS Analyzing New York City's Local Economies THE BRONX UPDATE | JULY 2013

Highlights P.2 Office rental rate rises three fold from 2000 to 2011

P.3 Median Bronx household income at $32,058

P.3 Bronx unemployment rate at 12.7%

P.6 Bronx Crime rate falls 26.7% from 2000 to 2011

P.6 Residents with a HS diploma rises to 69.4% in 2011

Center for Economic Transformation

THE BRONX, covering a total of 42 square miles north of Manhattan and Queens, reached a population of nearly 1.4 million residents in 2011. It experienced the second highest population growth of all five boroughs, at nearly 15.6 percent between 1990 and 2011, which was second only to Staten Island. The economy is locally-oriented with jobs concentrated in the Retail Trade, Wholesale Trade and Services Sectors.

Population and Diversity • The majority of Bronx residents are Hispanic or Latino (53.8 percent), with a significant representation of Black or African American (29.9 percent) and White residents (11.1 percent). The borough experienced the second highest population increase, behind only Staten Island, among the Hispanic or Latino population with a growth rate of 13.9 percent from 2000 to 2011.

of residents speak this language at home. English is the next most common language with 42.6 percent of Bronx residents speaking this language at home, the lowest share of all five boroughs. • 33.8 percent of the Bronx’s population is foreign born, an increase of 22.1 percent since 2000. Out of its 471,100 foreign born residents, the majority (75.1 percent) are from Latin America.

• Spanish is the predominant language in the borough. The Bronx has the highest share of Spanish speaking residents Citywide and 46.3 percent

Bronx Language Spoken at Home, 2011

Bronx Population by Race, 2011 Native Hawaiian and Other Pacific Islander >0.1%

Bronx Some other race 0.6% Two or more races 1.1%

Asian 3.4%

NYC

60.0% 50.0% 40.0%

American Indian and Alaska Native 0.3%

30.0% Black or African American 29.9%

Hispanic or Latino 53.8%

20.0% 10.0%

White 11.1%

0.0% English

Source: U.S. Census Bureau, American Community Survey

Spanish

Other IndoEuropean

Asian and Pacific Islander

Other Languages

Source: U.S. Census Bureau, American Community Survey

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Housing and Construction • In 2011, the Bronx median home value was $372,100, which was below the Citywide median ($490,900). The median home value reached historic highs during the 2007 housing boom, but has decreased gradually in subsequent years. Specifically, the median home value has decreased by 13.1 percent, after adjusting for inflation, from 2007 to 2011. • There are 473,656 occupied housing units in the Bronx, the fewest outside of Staten Island. It has the lowest ownership rate of any of the boroughs at 20.7 percent. Median Home Value, 2000–2011 Bronx

NYC

US

$700,000 $600,000 $500,000 $400,000

• In 2011, over 3 million square feet of additional residential and nonresidential building stock was constructed in the Bronx, which was valued at $955 million. The number of nonresidential projects increased by nearly 69.5 percent from 2001 to 2011. However, the number of residential and nonbuilding (infrastructure) projects decreased by 65.9 percent and 25.5 percent, respectively over the same time period. • Commercial space in the Bronx has also been growing. Since 2000, office space (Class A, B, and C) increased by 14.1 percent to nearly 8.7 million square feet of Rentable Building Area (RBA) in 2011. The vacancy rate in 2011 was 13.4 percent, the highest of any borough. However, despite the abundance of vacant square footage, office rental rates have nearly tripled from $10.23 per square foot in 2000 to $28.26 per square foot in 2011 (176.2 percent increase), which is the largest percentage increase for all boroughs over that time period by a wide margin. The next largest rise in office rental rates was in Brooklyn, which experienced a 34.2 percent increase.

$300,000

Bronx Housing Occupancy, 2011

$200,000 $100,000

Conventional1

$0

Coop

Condominium

Mitchell Lama Coop

2000

Renter

2011

2007

Source: U.S. Census Bureau, American Community Survey; Bureau of Labor Statistics, Consumer Price Index (MSA) Note: Adjusted for inflation to 2011 dollars.

52,138 Renters, 79.3% 375,491

Office Rental Rates 2000–2001 $50.00 $45.00 $40.00 $35.00 $30.00 $25.00 $20.00 $15.00 $10.00 $5.00 $0.00

Brooklyn Queens

8,385

Bronx Manhattan Staten Island

18,970 18,672

Source: U.S. Census Bureau, American Community Survey; New York City Housing Vacancy Survey (NYCHVS)

Office Vacancy, Vacancy Rate and Average Rental Rate by Type, Bronx, 2000–2001 2000

2011

2000

DIRECT

Source: CoStar Note: Not adjusted for inflation.

Office Vacancy Rates 2000–2001 16.0%

Homeowners, 20.7% 98,165

Brooklyn

Bronx

Manhattan

Queens

Staten Island

SUBLET

14.0% 12.0% 10.0% 8.0%

TOTAL

6.0% 4.0% 2.0% 0.0% 2000 Source: CoStar Note: Not adjusted for inflation.

2011

Class A 2011 Change

2000

Vacancy

45,000

Vacancy Rate

3.2%

27.2%

739.5%

2.6%

13.4%

422.1%

Rental Rate

$4.00

$29.32

633.1%

$10.23

$28.26

176.2%

0

0

0.0%

0

0

0.0%

0.0%

0.0%

0.0%

0.0%

0.0%

0.0%

-

-

-

-

-

-

Vacancy Vacancy Rate Rental Rate Vacancy Vacancy Rate Rental Rate

45,000

510,269 1033.9% 195,363

Class ABC 2011 Change

510,269 1033.9% 195,363

1,164,063 495.8%

1,164,063 495.8%

3.2%

27.2%

739.5%

2.6%

13.4%

422.1%

$4.00

$29.32

633.1%

$10.23

$28.26

176.2%

Source: CoStar Note: Not adjusted for inflation.

The Conventional classification refers to privately owned houses or buildings which are not part of a cooperative or condominium building or development. This category includes owner-occupied single-family houses, living quarters in partially commercial buildings, and all other types of owner-occupied units which are not in cooperatives and condominiums.

1

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Economy and Employment • In 2011, total private sector employment in the Bronx was 212,600. Partly as a function of its smaller population, this was the lowest of all boroughs except Staten Island. However, between 2000 and 2011, private employment increased at a faster rate than the City as a whole, at 12.4 percent compared to 2.4 percent. The Finance and Insurance sector experienced the largest percentage growth (46.4 percent), followed by the Accommodation and Food Services sector (39.4 percent), and Professional and Business sector (30.0 percent). However, the rise in total private sector employment in the Bronx was fueled by the growth in the Health Care and Social Assistance sector, which gained over 15,000 jobs from 2000 to 2011. • Consistent with the City’s economy, the Bronx’s economy has a high concentration of jobs in the Services and Trade sectors. In 2011, these two sectors represented 77.7 percent of the borough’s total private employment, compared to 68.2 percent Citywide. Within the Services

sector, the Health Care and Social Assistance sector had the highest level of employment in the Bronx, comprising 39.0 percent of total private sector employment. • Between 2000 and 2011, average private sector wages increased from $42,700 to $43,000 (0.7 percent), the largest growth of all boroughs outside of Manhattan, after adjusting for inflation. The Educational Services sector experienced the largest increase in average wages between 2000 and 2011 (45.9 percent), after adjusting for inflation. The Arts, Entertainment, and Recreation sector also experienced significant real wage increases of 6.1 percent. • In 2011, households in the Bronx had a median income of $32,058 and per capita income was $16,879. • The Bronx resident unemployment rate was 12.7 percent on average in 2012, the highest of all boroughs, remaining above the citywide rate of 9.2 percent.

Bronx Payroll Employment, Average Wages and Establishments, 2000-2011 Sector FIRE Finance and Insurance Real Estate and Rental and Leasing SERVICES Information Professional & Business Educational Services Health Care and Social Assistance Arts, Entertainment, and Recreation Accommodation and Food Services Other Services (except Public Admin.) TRADE Retail Wholesale MANUFACTURING CONSTRUCTION TOTAL PRIVATE GOVERNMENT TOTAL (PRIVATE & GOVERNMENT)

Employment 2011

Change 2000–2011

Average Wages 2011

Change 2000–2011

Establishments 2011

Change 2000–2011

13,500 4,100 9,400 128,300 3,200 3,900 14,100 82,900 3,000 13,100 8,100 36,800 27,100 9,700 6,500 8,900 212,600 22,000 234,600

2.3% 46.4% -9.6% 19.9% -23.8% 30.0% 19.5% 22.3% 7.1% 39.4% 2.5% 12.9% 21.5% -5.8% -40.9% -17.6% 12.4% -7.9% 10.1%

$39,200 $43,800 $37,200 $44,500 $59,700 $44,100 $56,300 $45,900 $97,000 $17,800 $27,400 $34,600 $26,500 $57,300 $41,000 $65,000 $43,000 $67,800 $45,400

2.6% -5.2% 3.0% 4.5% -4.8% -8.5% 45.9% 2.2% 6.0% -1.7% -4.2% -8.0% -7.0% 0.0% -3.8% 1.9% 0.7% 14.3% 1.8%

2,600 500 2,100 6,500 100 700 250 2,000 120 1,500 1,900 4,100 3,500 600 400 1,030 16,400 100 16,500

-10.3% 25.0% -16.0% 22.6% -9.1% 40.0% 31.6% 25.0% 9.1% 36.4% 5.6% 7.9% 12.9% -14.3% -20.0% 3.0% 13.1% 233.3% 13.8%

Source: New York State Department of Labor, Quarterly Census of Employment and Wages; Bureau of Labor Statistics, Consumer Price Index (MSA) Note: Adjusted for inflation to 2011 dollars. Rows may not sum to total due to rounding.

12-Month Moving Average Resident Employment and Unemployment Rate, 2002–2013 14.5

490,000

12.5

480,000

Bronx Resident Employment

10.5

470,000

Bronx Unemployment Rate

8.5

460,000

NYC Unemployment Rate

6.5

450,000

4.5

440,000

2.5

430,000

Source: New York State Department of Labor, Current Employment Statistics July 2013 | 3

Commuting • Bronx subway ridership is the lowest of all five boroughs with approximately 403,000 riders entering Bronx subway stations during the average weekday and nearly 238,000 during the average weekend in 2010. Bronx ridership accounted for 8.7 percent of total city subway ridership in 2010. • Ridership growth rates at the Bronx subway stations vary dramatically, ranging from an increase of 75.5 percent at the Elder Avenue station

Bronx Weekday and Weekend Subway Ridership, 1990–2010 Weekday

to a decrease of 57.3 percent at the Morrison-Sound View Avenues station between 2000 and 2010. The busiest station in the Bronx was 161 St-Yankee Stadium with nearly 7.9 million subway riders in 2010. • Between 2000 and 2011, Bronx residents experienced a decrease in commuting time. The mean travel time to work decreased from 43 minutes to 41.7 minutes respectively. The majority of Bronx residents took public transportation to work (58 percent) in 2011.

Workers 16 and Over Transportation to Work, Bronx, 2011

Weekend

450,000

Public Transportation

58.0%

400,000

Drove Alone

350,000 300,000

Walked

250,000 200,000

Carpooled

22.6% 8.4% 5.0%

150,000 100,000 50,000 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

0

Source: Metropolitan Transportation Authority

Worked at home

3.6%

Taxicab, motorcycle, or other means

2.1%

Bicycle

0.3%

Source: US Census Bureau, American Community Survey

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Commuting continued Bronx Top 5 Stations Annual Ridership by Growth, 2000-2010

Bronx Bottom 5 Stations Annual Ridership by Growth, 2000-2010

Station

Station

2000

2010

Change 2000–2010

Elder Av (6)

1,479,821

2,597,698

76%

Woodlawn (4)

1,315,819

2,286,530

74%

Freeman St (2, 5)

699,778

1,188,448

70%

Bronx Park East (2, 5)

469,942

793,410

69%

St Lawrence Av (6)

970,354

1,540,797

59%

Source: Metropolitan Transportation Authority Note: Does not include student ridership

2000

2010

Change 2000–2010

Morrison-Sound View Avs (6)

1,551,868

662,982

-57%

Whitlock Av (6)

309,933

140,646

-55%

Kingsbridge Rd (B, D)

2,116,359

2,110,209

0%

174-175 Sts (B, D)

1,351,219

1,362,444

1%

Parkchester (6)

3,562,634

3,669,651

3%

Source: Metropolitan Transportation Authority Note: Does not include student ridership.

Culture and Recreation • The Bronx is home to a number of cultural and recreational landmarks that attract visitors from across the City as well as the nation. These attractions range from historic sites and parks to a Major League Baseball (MLB) stadium. • There are a number of public parks in the Bronx. Two of the largest in the City are Pelham Bay Park and Van Cortlandt Park. At more than three times the size of Central Park, Pelham Bay Park is actually the largest public park in New York City. A portion of the park, Rodman’s Neck, is a permanent training facility and firing range established by the New York Police Department. Also located in Pelham Bay Park is the Bartow-Pell Mansion, which was built between 1836 and 1842 and is a National Historic Landmark. Van Cortlandt Park is the fourth largest park in the City and home to the oldest public golf course in the US. • The Bronx Zoo is one of the world's largest metropolitan zoos, comprising 265 acres of park land. There is a great variety of wildlife,

with some 650 species including lions, tigers, zebras, giraffes, gorillas, elephants, leopards, an anaconda and many others, which may be seen via indoor and outdoor exhibits. • The New York Botanical Garden covering 250 acres of the Bronx is one of the leading horticultural museums and plant laboratories in the United States. The facility is home to 50 plant collections from tropical flowers to forest trees and one the country’s largest plant research organizations. • The Bronx is also home to the New York Yankees, part of the American League East Division of MLB. The Yankees have won several World Series championships with the most recent being in 2009. That same year, the Yankees moved to a new stadium next door to the previous Yankees stadium, their home from 1923 to 2008. In 2011, the Yankees had the second highest per-game attendance of all teams in the MLB.

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Crime, Education and Health • Between 2001 and 2011, crime decreased 26.7 percent in the Bronx. This was the second lowest decrease in crime among the five boroughs, ahead of Staten Island (24.2 percent).

Bronx Number of Crimes, 2001–2011 2001

• Educational attainment of Bronx residents has been rising. The percentage of Bronx residents aged 25 and over with at least a High School Diploma or GED increased from 62.4 percent to 69.4 percent from 2000 to 2011 and the percentage with at least a Bachelor’s Degree increased from 14.6 percent to 17.4 percent over the same period.

Murder

• There were nearly 6,500 fewer Bronx residents enrolled in high school in 2011 than there were in 2000. However, all boroughs except for Staten Island also experienced a decrease in high school enrollment over this period and the Bronx was the smallest among them in percentage terms (-6.8 percent). The borough also experienced the highest increase of those enrolled in Undergraduate College or University (25.3 percent) from all boroughs outside of Staten Island. Between 2000 and 2011 enrollment in a Graduate or Professional School increased by 0.8 percent. • Many institutions of higher education are located in the Bronx. These include Fordham University, City University of New York, Hostos and Bronx Community College, Hunter College, The College of Mount Saint Vincent, Manhattan College and The State University of New York Maritime College offering undergraduate and graduate education. • The majority of Brooklyn residents rated their health as good or better (74.7 percent), which was below the citywide rate (79.1 percent).

Bronx Population 3 Years and Over Enrollment by Education Level 2011 2000 Less than High School

2011

Change 2000-2011

208,168

238,619

14.6%

High School

94,481

88,024

-6.8%

Undergraduate College or University

70,836

88,782

25.3%

Graduate or Professional School

15,178

2011

190

Rape

% of City Total

Change 2001-2011

148

29%

-22%

502

272

19%

-46%

5,178

4,578

23%

-12%

Fel. Assault

5,335

4,467

24%

-16%

Burglary

5,813

3,546

19%

-39%

Gr. Larceny

4,373

4,899

13%

12%

Robbery

G.L.A.

5,522

2,089

22%

-62%

Total

26,913

19,999

19%

-26%

Source: NYPD Comp Stat Note: G.L.A is Grand Larceny Auto

Bronx Population 25 and Over Educational Attainment, 2000–2001 2000

2011

Change 2001-2011

Less Than HS Diploma

299,686

264,454

-11.8%

HS Graduate OR GED

205,246

237,307

15.6%

Some College or Associates Degree

176,456

209,583

18.8%

Bachelors Degree

69,854

95,855

37.2%

Graduate or Professional Degree

46,550

53,947

15.9%

797,792

861,146

7.9%

Total

Source: U.S. Census Bureau, American Community Survey

Residents Health Status, 2010 Bronx

NYC

40.00%

15,301

Source: U.S. Census Bureau, American Community Survey

0.8%

35.00% 30.00% 25.00% 20.00% 15.00% 10.00% 5.00% 0.00%

Excellent

Very Good

Good

Fair or Poor

Source: NYC Department of Health and Mental Hygiene, Community Health Survey

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About NYCEDC The New York City Economic Development Corporation is the City’s primary engine for economic development charged with leveraging the City’s assets to drive growth, create jobs and improve quality of life. NYCEDC is an organization dedicated to New York City and its people. We use our expertise to develop, advise, manage and invest to strengthen businesses and help neighborhoods thrive. We make the City stronger.

About NYCEDC Economic Research & Analysis The Economic Research and Analysis group from NYCEDC’s Center for Economic Transformation conducts economic analysis of New York City projects, performs industry and economic research on topics affecting the City and tracks economic trends for the Mayor, policy-makers and the public as a whole. As part of its goal of providing up-to-date economic data, research and analysis to New Yorkers, it publishes a monthly New York City Economic Snapshot as well as the Trends & Insights series of publications covering such topics as Tech Venture Capital Investment, Borough & Local Economies, and Industry Economic Sectors. It also sponsors the Thinking Ahead series of events that brings together thought leaders and stakeholders to discuss and debate key issues shaping New York City's economic future.

Economic Research & Analysis Group Michael Moynihan, PhD, Chief Economist & Senior Vice President Eileen Jones, Assistant Vice President Eileen Tumalad, Assistant Vice President Andrea Moore, Project Manager Jeffrey Bryant, Project Manager

For more information, visit nycedc.com/NYCeconomics Contact us at [email protected]

July 2013 Borough Trends & Insights, authored by Jeffrey Bryant and Eileen Tumalad

Center for Economic Transformation