Record price fall for Class A office space in Midtown

New York /
Jan.January 09, 2009 09:28 AM

Midtown Class A office asking rents suffered their steepest declines on record last month as the financial firms which dominate the area continued to shed space, according to a new report from commercial real estate services firm Colliers ABR.

The average price in newer Midtown buildings fell by $6.34 per square foot to $82.11 per square foot from November to December, the report issued yesterday said.

“Midtown continued to take a drubbing in December,” the report’s authors said.

It is the sharpest decline the firm has recorded. Meanwhile, the vacancy rate for Class A buildings in Midtown overall was 9.9 percent, up 4.1 points from the same month last year.

Leasing in the financial sector remained weak, as Citigroup returned 330,000 square feet to the Midtown submarket at 153 East 53rd Street, the report said.

For Class A buildings in all of Manhattan, vacancies rose to 9.1 percent, their highest level since June 2005, and asking rents fell to $75.96 per square foot from $85.69 a year earlier


Related Articles

arrow_forward_ios
Matt Lauer exposes Hamptons estate to the market
Matt Lauer exposes Hamptons estate to the market
Matt Lauer exposes Hamptons estate to the market
 Fredrik Eklund and the property (Getty, Steve Frankel)
Fredrik Eklund lists Bel Air mansion for rent as family moves to “forever home”
Fredrik Eklund lists Bel Air mansion for rent as family moves to “forever home”
Gordon Ramsey and his Lucky Cat restaurant (Lucky Cat)
Gordon Ramsay to open first South Florida restaurant in Miami Beach
Gordon Ramsay to open first South Florida restaurant in Miami Beach
One Court Square in Long Island City QNS and Savanna managing director Brian Reiver (Wikipedia, Loopnet, Getty))
Savanna’s LIC office tower nabs big tenant
Savanna’s LIC office tower nabs big tenant
Wharton Properties’ Jeff Sutton with 1551-1555 Broadway
Sutton faces foreclosure on Times Square American Eagle
Sutton faces foreclosure on Times Square American Eagle
26 Verandah Place and 30 Front Street in Brooklyn (StreetEasy, Getty)
Brooklyn luxury contracts end September on a low note
Brooklyn luxury contracts end September on a low note
U.S. Treasury Secretary Janet Yellen
NY gets more federal rent aid — but only 6% of need
NY gets more federal rent aid — but only 6% of need
Better.com CEO Vishal Garg (Photo Illustration by Steven Dilakian for The Real Deal with Getty Images and YouTube/vishalgarg)
“I’ve never managed more than 10 people in my life:” Better’s CEO fesses up
“I’ve never managed more than 10 people in my life:” Better’s CEO fesses up
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...