Most major office leases were renewals in 2012

New York /
Feb.February 18, 2013 02:15 PM

The 50 largest Manhattan office deals of 2012 were smaller and involved fewer new tenants than in the previous year, according to CoStar Group research provided to Crain’sIn 2012, the top 50 Manhattan office transactions added up to 12.8 million square feet, a 6.7 percent decline from 2011. And of those 50 deals, 29 were renewals, as were all of the top ten. Back in 2011, only 27 of the top deals were renewals.Office tenants are taking a conservative approach with their space needs in New York,” Adrian Ponsen, a senior economist at CoStar, said. “Very few are making large expansions into pricey submarkets. They are instead renewing in places that expire.”

But Manhattan’s office market is hardly stagnating. Viacom’s 1.6 million-square-foot deal at 1515 Broadway — an expansion of 200,000 square feet — was the largest deal in a decade, according to Crain’s.

“I definitely think we will start to see more leases pick up as GDP growth moves up and people become more confident,” Ponsen said. [Crain’s] —Christopher Cameron


Related Articles

arrow_forward_ios
About 17.3 percent of Manhattan office space is available for lease, the most in decades. (iStock)
Manhattan office market’s 25% drop is ominous sign for landlords
Manhattan office market’s 25% drop is ominous sign for landlords
Douglas Durst with 1133 Avenue of the Americas (left) and 114 West 47th Street (Google Maps, Getty)
Durst refinances two Midtown buildings with $1.1B CMBS loan
Durst refinances two Midtown buildings with $1.1B CMBS loan
Tower 535 in Hong Kong and WeWork CEO Sandeep Mathrani (Photos via SOM, Getty)
WeWork exits first Hong Kong location as part of global downsizing
WeWork exits first Hong Kong location as part of global downsizing
Vornado's Steve Roth. (Getty, Google Maps)
Here’s what tenants are paying at Vornado’s 909 Third Avenue
Here’s what tenants are paying at Vornado’s 909 Third Avenue
Mack-Cali’s CEO Mahbod Nia with 99 Wood Avenue South, 101 Wood Avenue South in Iselin, NJ, and 333 and 343 Thornall Street in Edison, NJ (Google Maps)
Mack-Cali Realty sells Metropark complex for $254M
Mack-Cali Realty sells Metropark complex for $254M
135 West 29th Street and Kaufman Organization CEO Edward Hart (Google Maps, Kaufman)
Kaufman Org closes on $35M ground lease deal
Kaufman Org closes on $35M ground lease deal
Prospect Schools CEO Dan Rubenstein. (Prospect Schools, Google Maps)
Charter school inks 70K sf lease in Downtown Brooklyn
Charter school inks 70K sf lease in Downtown Brooklyn
Newmark’s Barry Gosin (left) and CBRE’s Bob Sulentic
Weird flex but OK: How CRE giants hope to cash in on the future of the office
Weird flex but OK: How CRE giants hope to cash in on the future of the office
arrow_forward_ios

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

Loading...