Manhattan office market tightens, though asking rents stay weak
From the September issue: The grim national housing statistics delivered last month, which renewed fears of a second sharp decline in the overall economy, were not reflected in the Manhattan commercial leasing market — which continued to improve modestly overall. “We are not seeing any double dip in office leasing,” said Jeffrey Peck, senior managing director at commercial advisory firm Studley. However, he noted, “we are also not seeing any tremendous strength.” Last month, brokers said tenants continued to actively poke around for new space. The blockbuster example in Midtown was a clothing supply firm reportedly looking to lease 500,000 square feet in the Empire State Building. A pending deal could not come at a better time for the iconic tower, which was dealt a blow last month when the City Council approved plans for Vornado Realty Trust to build a nearby skyscraper. The owner of the Empire State Building, Anthony Malkin, was aggressively arguing that the proposed tower, 15 Penn Plaza, will block the views from his building. [more]
