Apartment-Poor NY Suburbs See 'Brain Drain'

WHITE PLAINS, NY-Affluent suburbs to the north and east of New York City are experiencing a "brain drain" of younger residents who often prefer apartments to single-family housing, a new report says. The report from Community Housing Innovations, based here, says that since 2000, Westchester County and Long Island villages and towns with the most expensive housing have seen a large exodus of young adults 25-34.

"While we do not know exactly where affluent suburbia's young adults are going, we have clues," according to the report, titled "Richest Communities on Long Island and in Westchester Experiencing Demographic Collapse of Young Adult Workforce" and written by CHI's executive director, Alexander Roberts. "Studies of millennials"—those born between 1978 and 1996—"indicate they prefer lively urban environments to suburbs, rental housing and are more comfortable with racial diversity."

The report notes that a Regional Plan Association study last September for the Long Island Community Foundation, "Long Island's Rental Housing Crisis," pointed out that Long Island has the lowest availability of rental housing in the region. "On Long Island since 2000, the Village of Kings Point has lost 58% of its 25-34 year olds, Westhampton 57% and Oyster Bay 51%," CHI's report states. "The Village of Scarsdale in Westchester County has seen its population of 25-to-34 year olds decline by 52%. Rye has lost 63% and New Castle 40%."

The report notes that villages and towns suffering the largest losses of their young workforce have historically restricted multifamily development in favor of single-family homes. "The practice, known as exclusionary or snob zoning, makes living in these communities unaffordable for much of the Long Island and Westchester County workforce," the report states. Conversely, losses among lower-income communities are below the averages in Nassau and Suffolk counties, with some, such as Wyandanch, recording gains between 2000 and 2011.

Those that are losing younger residents, though, have begun paying a price. "The areas hardest hit are already closing schools and sharply reducing their projections of school children," the report states. "Volunteer fire departments may become a thing of the past, and office vacancy has reached 19% in Westchester County and 11.5% on Long Island, according to Colliers International."

The report concludes that although it may be "difficult to overcome preferences for the urban lifestyle of millennials, development of vibrant downtowns, acceptance of diversity and affordable housing appear critical for Long Island and Westchester to remain competitive for the young adult workforce."