FiDi’s 69 percent retail rent growth tops Manhattan: REBNY

November 20, 2013 12:43PM

The Financial District Shopping District On Broadway saw a 69 percent rise in average asking rents over the last six months versus the same period in 2012 – more growth than any other Manhattan area, according to a fall retail report from the Real Estate Board of New York.

But while the asking rents along the stretch between Battery Park and Chambers Street reached $257 per square foot, the Fifth Avenue corridor between 49th and 59th streets had by far the highest average rent, at $3,170 per square foot. Fifth Avenue had a 4 percent jump in rents from the spring and an 18 percent year-over-year rise.

New specialty stores increasingly drive demand for ground-floor space across the borough, the report said. For example, women’s boutique Maje, designer clothing store Sandro and Mille-Feuille Bakery are new additions at 217 Columbus Avenue, 181 Columbus Avenue and 2175 Broadway, respectively.

“The fact that rents continue to rise in an already robust market underscores Manhattan’s appeal and the viability of the city’s recovery since the downturn,” REBNY president Steven Spinola said in a statement.

Flatiron’s Retail Section On Fifth Avenue between 14th and 23rd streets saw average asking rents grow by 47 percent year-over-year to $400 per square foot. REBNY said it expected the influx of New Residential Units Around East 57th Street to boost retail in large, modern spaces nearby. — Mark Maurer