Open-plan office spaces command big rents

TRD New York /
Dec.December 14, 2011 06:25 PM

Airy, open-plan office spaces, once seen as difficult to rent, are commanding some of the highest office rents in Manhattan since the recession, the New York Times reported, some more than $100 a square foot. These spaces, with dramatic city views, can be found in Midtown towers like 499 Park Avenue and 250 West 55th Street, the Times said, as well as downtown at 1 and 3 World Trade Center, now under construction.

Also desirable for their floor plans are buildings like 51 Astor Place, 28-40 West 23rd Street and 30 Rockefeller Center, where investment company Lazard is redesigning its 430,000 square feet on the top floors.

“Constantly now, we see firms wanting to build dramatic space,” said Peter Turchin, an executive vice president at CBRE.

At 3 WTC, the 80-story tower by Silverstein Properties, the floor plates of 29,000 to 68,000 square feet have no columns, the Times said.

“We’re finding that the geometry of these floors and the absence of the columns result in most tenants needing anywhere from 10 to 15 percent less space,” said Jeremy Moss, senior vice president of leasing at Silverstein.

Meanwhile, despite an increase in demand, landlords who inked major leases in Class A buildings like 499 Park Avenue last year made practically no money on those deals once basic expenses were subtracted, a recent report from commercial advisory firm Studley showed previously. [NYT]

Related Articles

51 West 52nd Street and ViacomCBS CEO Bob Bakish (Credit: Google Maps and Getty Images)

Following merger, Viacom could sell CBS’ Midtown HQ

Larry Silverstein (Credit: Getty Images, iStock)

Silverstein’s lending biz could get a boost from the weak luxury condo market

William Shanahan (Photo by Studio Scrivo)

The Closing: Bill Shanahan

A Victoria's Secret store in New York (Credit: Getty Images)

Victoria’s Secret sues WTC landlord amid store closures and layoffs

The architect claims the design, construction and marketing of the tower rips off the design of a tower he planned and modeled for his thesis

Lawsuit over WTC design is whittled down

Larry Silverstein and the Tel Aviv Stock Exchange (Credit: Getty Images)

Institutional investors swarm Silverstein’s new TASE bonds

mary ann tighe

WATCH: Mary Ann Tighe on rebuilding Lower Manhattan after 9/11

Larry Silverstein and the Tel Aviv Stock Exchange Bull (Credit: Getty Images and Wikipedia)

As other NYC firms go quiet, Silverstein Properties prepares new Israeli bond offering