Downtown leads Manhattan office leasing in Q3: Cushman

New York /
Dec.December 02, 2013 02:35 PM

Downtown was the sole submarket in Manhattan to see a positive rate in the sales and leasing of office properties during the third quarter of 2013, according to a report released today from Cushman & Wakefield.

The area had a 2.8 percent increase in office lease deals in October compared to the same period a year ago, which resulted in an additional 523,000 square feet being rented. The average asking rent rose 14.8 percent to $45.66 per square foot in October over the prior year, the data show. The quarterly absorption level was the highest it has been since 2011’s second quarter, when nearly 561,800 square feet was reported.

“Lower Manhattan has re-invented itself as a 24/7 hub where creative and innovative companies can flourish, with full-service amenities such as upscale eateries, soon 1 million square feet of retail shopping and vibrant nightlife,” Tara Stacom of Cushman & Wakefield said in a statement. “For perhaps the first time in its history, Downtown is increasingly being seen as a tenant’s most desired option.”

Since the year began, more than 30 firms relocated Downtown from Midtown South or other parts of Midtown. Most notably, advertising agency Droga5 inked a 91,440-square-foot lease at 120 Wall Street and Christian liberal arts school Nyack College grabbed 166,385 square feet at 2 Washington Street, as previously reported. — Mark Maurer


Related Articles

arrow_forward_ios
58 percent of respondents said their employees would be in the office at least three days a week (iStock)
Tech workers plan to head back to offices by Q3
Tech workers plan to head back to offices by Q3
CBRE’s Darcy Stacom and Bill Shanahan; Cushman & Wakefield’s Doug Harmon and Adam Spies
Titans of the towers: TRD’s annual ranking of NYC’s top investment sales firms
Titans of the towers: TRD’s annual ranking of NYC’s top investment sales firms
The Birch Group CEO Mark Meisner and Mack-Cali CEO Mahbod Nia with (clockwise from top left: 101, 103, 150 and 51 John F. Kennedy Parkway, Short Hills (Mack-Cali, Linkedin)
Mack-Cali sells Short Hills, NJ office portfolio for $255M
Mack-Cali sells Short Hills, NJ office portfolio for $255M
As office market laguishes, single-tenant buildings pose risk to landlords (iStock)
Single-tenant office buildings face higher risk of default
Single-tenant office buildings face higher risk of default
JPMorgan CEO Jamie Dimon and 270 Park Avenue (Getty, Google Maps)
JPMorgan Chase will embrace “flexible” design for 270 Park HQ
JPMorgan Chase will embrace “flexible” design for 270 Park HQ
TIG founding principal Elliott Ingerman and the Textile Building at 295 Fifth Avenue (LinkedIn, Google Maps)
Fifth Avenue’s Textile Building to get $350M makeover
Fifth Avenue’s Textile Building to get $350M makeover
4 Park Avenue (Feil Organization)
With 30K-sf lease, SUNY Empire shrinks Manhattan footprint
With 30K-sf lease, SUNY Empire shrinks Manhattan footprint
The Watson Hotel at 440 West 57th Street (Google Maps)
Developers already eyeing commercial-to-resi conversions
Developers already eyeing commercial-to-resi conversions
arrow_forward_ios

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

Loading...