The East River Ferry has caused total property values in Brooklyn and Queens waterfront neighborhoods to soar by hundreds of millions of dollars, according to a new study.
The service, which launched in 2011, led to a jump in home values within an eighth of a mile of its stops by 8 percent above the normal market rate, according to an analysis by the city Economic Development Corporation.
And it has increased total property value by $500 million for all homes within a mile of its stops.
“The East River Ferry has been a tremendous success since its inception in 2011,” said EDC spokeswoman Kate Blumm. “Not only has actual ridership tripled our initial estimates, but the positive impact on property values for homes near ferry landings demonstrates that ferry service is a key part of economic growth in waterfront communities.”
The ferry also has led to more than a half million square feet of new homes and stores — an almost 5 percent spike, according to the study.
“You really see the connection in the uptick in sales prices,” said Kathleen Perkins, a broker at Douglas Elliman Real Estate. “It’s a huge draw for the river communities.”
She added the ferry is a boost for luring Manhattanites across the river to buildings like The Edge in Williamsburg.
“It’s reassuring, they can still get their Manhattan fix,” she said. “It’s reassuring for new Brooklyn buyers.”
Many new Brooklynites are so wealthy, Perkins said, they don’t even need to use the ferry and can take a car service. But they take the ferry because it’s fun.
“Everybody in Dumbo takes the ferry or town car,” she said.
About 1.2 million people use the service annually, and the city last month extended the East River Ferry’s contract for five years.
The EDC study also looked at more than 40 new possible East River stops, and picked out five new routes that would be the most promising if the city decides to expand the ferry.
One route would begin in Astoria, travel to Roosevelt Island and Long Island City, and wrap up on East 34th Street and Wall Street’s Pier 11.
Another would begin in Long Island City and finish at Wall Street, but stop at East 23rd and Grand streets.
Astoria and Long Island City are expected to gain thousands of new commuters over the next few years from waterfront developments currently under construction.
Staten Islanders could also enjoy a second ferry — a route from St. George to Pier 79 at West 39th Street in Midtown.
The study also looked at possible ferry service to La Guardia Airport with potential connections at Wall, East 34th and East 90th streets and Pier 6 at Brooklyn Bridge Park.
Full steam ahead
- 8% increase in value of Brooklyn and Queens homes within an 1/8 mile of East River Ferry stops since 2011.
- $500M increase in value above normal market