NYC Office Market Report, First Quarter 2016
NYC Office Market Report, First Quarter 2016
NYC Office Market Report, First Quarter 2016 was compiled using data provided by Costar, the Commercial Real Estate Information Company.
Market Snapshot:
$59.55 Average quoted asking rent. 7.90% Total amount of vacant space.
The data indicates a modestly cooling market compared to the prior quarter (Q4 2015) which had an average asking rent of $59.59 per rentable square foot and a vacancy rate of 7.70%.
For a more recent NYC Office Market Report LINK HERE
SUB-MARKET ANALYSIS
BIGGEST LEASES SIGNED
McGraw Hill Financial, Inc.: 900,027 RSF renewal at 55 Water Street in the Financial District sub-market.
Citadel Investment Group: 211,400 RSF at 425 Park Avenue in the Plaza District sub-market.
Salesforce.com, Inc.: 210,496 RSF at Three Bryant Park (1095 Sixth Avenue) in the Penn Plaza/Fashion District sub-market.
Facebook: 200,668 RSF at 225 Park Avenue South in the Gramercy Park sub-market.
Bloomberg, LP: 192,000 RSF renewal 731 Lexington Avenue in the Plaza District sub-market.
TOP 3 UNDER-CONSTRUCTION PROJECTS
3 World Trade Center: 2,861,402 RSF. Delivery Q1 2018. Developer-Silverstein Properties, Inc.
30 Hudson Yards (500 West 33rd St.): 2,600,000 RSF. Delivery Q3 2019. Developer- Oxford Properties Group.
1 Manhattan West (400 West 33rd St.): 2,300,000 RSF. Delivery Q1 2019. Developer- Brookfield Office Properties, Inc.
IDEAS FOR CONTROLLING OFFICE OVERHEAD
(1) Space Reduction and Redesign: Businesses can reduce the size of their offices by modifying the design and shrinking the area occupied by each employee. Use our office space calculator to estimate your essential requirement. Some companies use hourly or daily rentals at off-site business centers for part-time staff and conferences.
(2) Flex Work and Telecommuting: Flexible work schedules may allow two or more employees to utilize a specific work area. Where practical utilize telecommuting.
(3) Relocation: Downtown has many quality buildings for lease at a 10- 25% discount over comparable midtown properties. The Lower Manhattan Commercial Revitalization Program offers total rent credits of $10.00 PSF for qualifying businesses.
About Cogent Realty Advisors
Cogent Realty Advisors is an independent and licensed NO FEE Realtor with over 15 years of experience representing NYC businesses that lease office space. Our goal is to secure the right office for your business at the right price. For information, phone Mitchell Waldman at (212) 509-4049.
