A year after Sandy, Lower Manhattan thrives: report

New York /
Oct.October 29, 2013 08:28 AM

One year after Hurricane Sandy ravaged Lower Manhattan, the area has mostly recovered, or so claims a new report from local advocacy group the Downtown Alliance. All sectors of the real estate market – office, residential and retail – have been steadily improving over the year, and have shown impressive gains in the last quarter, the report says.

In fact, the office leasing market appears stronger than before the storm. Average asking rent is up 16 percent year-over-year, the report shows. And since the storm, 51 tenants signed deals totaling over one million square feet to relocate to the neighborhood so far this year — a 13 percent increase over relocation activity in the same period year-over-year, the report says.

These deals include HarperCollins Publishers, which took 179,436 square feet at 195 Broadway, and Nyack College, which took 166,385 square feet at 17 Battery Place North.

On the residential front, sales volume is up 58 percent year-over-year, and 10 percent quarter-over-quarter, the report shows. Moreover, Lower Manhattan properties are spending an average of 87 days on the market – selling twice as fast as they did one year ago.

The average rental price, $3,968, remained stable year-over-year, according to the report.

In the hotel sector, the average daily room rate was $280 in Lower Manhattan, a three percent year-over-year increase. The occupancy rate was down two percent year-over-year, to 83 percent.

On the retail front, 66 businesses remain shuttered since the storm, but several of these businesses have either had their leases taken over by new tenants or will soon be replaced by new tenants, the report says.

Since the fourth quarter of 2012, 73 retailers have opened new businesses in the area. — Hiten Samtani


Related Articles

arrow_forward_ios
Cash App CEO Jack Dorsey with 13 Crosby. (Getty, Google Maps)

Cash App takes new Soho office

Cash App takes new Soho office
341 Ninth Avenue, 55 Water Street and 1440 Broadway are 3 of the largest post-Covid sublease availabilities. (Google Maps, 55 Water, 1440 Broadway)

Manhattan sublease space at record high after 47% jump

Manhattan sublease space at record high after 47% jump
Chris Whittle and Tishman Speyer’s Rob Speyer with a rendering of The Wheeler at 181 Livingston Street (Photos via Getty Images and The Whittle School)

Here are the 10 biggest office leases in Brooklyn and Queens of 2020

Here are the 10 biggest office leases in Brooklyn and Queens of 2020
A long road ahead for office landlords

A long road ahead for office landlords

A long road ahead for office landlords
WPP global CEO Mark Read (iStock; WPP)

Ad giant WPP to cut NY real estate footprint by 700K-sf

Ad giant WPP to cut NY real estate footprint by 700K-sf
Blackstone’s Nadeem Meghji (Blackstone, iStock)

Blackstone to acquire life-sciences portfolio for $3.45B

Blackstone to acquire life-sciences portfolio for $3.45B
11 Penn Plaza and Apple CEO Tim Cook (VNO; Getty)

Apple snags more space at Vornado’s 11 Penn Plaza

Apple snags more space at Vornado’s 11 Penn Plaza
Vornado CEO Steven Roth, Oxford Properties president Michael Turner and 650 Madison Avenue (Getty, Linkedin, VNO)

Here’s what tenants are paying at Vornado & Oxford’s 650 Madison

Here’s what tenants are paying at Vornado & Oxford’s 650 Madison
arrow_forward_ios

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

Loading...