Tourism spurs Midtown retail rent uptick

Tourist traffic is driving retail rents in certain Manhattan corridors, according to the Real Estate Board of New York. In the tourism-heavy Midtown corridor between Broadway and Seventh Avenue and 42nd and 47th streets, rents have increased 21 percent since the spring, according to the report, while other popular retail zones in the West Village and Soho have climbed 38 percent and 9 percent year-over-year, respectively. Steven Spinola, president of REBNY, said that the previously lower prices during the recession opened up opportunities for retailers who had been boxed out of the Manhattan market. “As a result of these opportunities in premiere retail areas, the retail space market has become competitive again and average rents are rising,” Spinola said. “This is the trend that we hope will eventually spread into other city neighborhoods.” TRD