EVER since his arrival in New York from Chicago a dozen years ago, Dan Babic had lived in the same apartment — a two-bedroom rental on Front Street, near South Street Seaport.

Mr. Babic enjoyed living in the financial district, which was calm after hours. His 1919 building, formerly occupied by the New Jersey Zinc Company, had carpeted hallways and a basement laundry room. He did have a small quarrel with the apartment: the living room was dim and had no views — he was surrounded by high-rise office buildings — so the second bedroom was where he set up his computer and television, and where he practiced his bass guitar.

Two years ago Mr. Babic, who works in the field of “out of home” advertising, which includes billboards, buses and airports, was laid off. He landed a new job within months, but realized it was imprudent to pay for more space than he needed. His rent, which had started at $1,700, was up around $2,500 a month. When the landlord declined his request that his rent not be increased, he decided to hunt for a smaller place.