As things continue to improve on the coronavirus front, New York City is gearing up to reopen at full capacity on July 1. And schools, thankfully, will be following suit in September.
Last week, Mayor Bill de Blasio announced that this coming fall, New York City schools will open their doors to students for full-time instruction, and remote learning will be off the table. And that's great news for New York City's economy and sluggish real estate market.
Getting back to normal
When the pandemic first hit U.S. soil, New York City was its early epicenter -- an unwanted designation, of course. Over the past 15 months, the city's economy and real estate market have taken a massive hit due to the turmoil the coronavirus outbreak caused.
Many residents made the choice to flee the city to not only protect their health but enjoy larger living spaces to hunker down in. Meanwhile, retail stores have been desperate for foot traffic since the pandemic began, and office buildings have sat vacant as remote work took over.
Restaurants have suffered, too. Capacity limits and operating restrictions have already caused many New York City dining establishments to experience major losses in revenue.
But all of that could turn around very soon.
Now that the city is opening back up, many residents who fled initially may seek to return -- especially those being called back to the office who don't want to face a lengthy commute from the suburbs. Furthermore, if schools are open in full, it solves the childcare issue for a lot of workers -- workers who might otherwise have to opt out of the labor force temporarily.
Right now, a lot of small businesses and restaurants are having trouble finding workers to fill open positions. But that could change once school is back in session and workers don't have to worry about who will look after their kids.
Furthermore, once schools reopen, parents will have an easier time returning to work in office buildings -- they won't need to stay home and do their jobs while overseeing their kids' academic work. And given that New York City office buildings recently reached record-high vacancy rates, that's a positive thing.
Finally, with full-time school on the table, New York City renters may be more willing to resign apartment leases now that they know what to expect this fall. That, in turn, is apt to benefit landlords, some of whom have been grappling with high vacancy levels of their own.
The Millionacres bottom line
All told, it's clear that New York City is headed in a very positive direction after a brutal year and change. While the reopening of schools won't benefit all struggling industries -- hotels, for example, won't be impacted -- an uptick in tourism could also work wonders for a city that's endured a tough 15 months. And with Broadway scheduled to open up in September to draw in more travelers, that, combined with the reopening of schools, could give New York the revival the city has been desperate for since the pandemic took its toll.