OUTLOOK

The basics: The typical rental is an under-500-square-foot renovated walk-up. There's more room—and less charm—in the postwar co-op towers on Grand Street, gone free-market after decades of regulation.

What's new: With co-op privatization, dozens of high-rise apartments are becoming available. But for the most part, says Corcoran's Glenn E. Schiller, “it's still a neighborhood of rentals.” Several new rental buildings have opened in the main district, between Eldridge and Clinton Streets, over the past year.

Bargain hunting: There's no geographic trick: Brand-new duplexes often sit next door to turn-of-the-century tenements (though you might find a deal south of Grand or east of Clinton). To a greater degree than in other neighborhoods, the best way to find a deal is by word of mouth—and you'll save the fee.

Prediction: There was still upward momentum here in 2002—at least for purchases—but prices are limited by uneven services and housing stock. The good stuff, though, particularly the rare and coveted lofts, won't tank.

— Profile from the March 10, 2003 cover story of New York Magazine