“No evidence” of stock market impact on Midtown office values: report

Neighborhood's market continues to operate above pre-recession peak

New York /
Sep.September 09, 2015 01:30 PM

Midtown office values continue to operate at all-time highs that are well above 2007 peaks, with “no evidence” that recent stock market turmoil nor a strengthening dollar have impacted property values or investor demand, real estate analytics firm Green Street Advisors said.

While office values in Midtown held unchanged in August from the previous month, they continued to trend 12 percent above year-earlier values and 11 percent over their mid-2007 peak, according to Green Street’s Midtown Manhattan Office Price Index.

As with previous reports this year, the firm cited “strengthening” market fundamentals and “robust capital flows” that “continue to provide a solid backdrop for Midtown office values.”

Green Street also discarded concerns that global stock market turmoil, a stronger dollar and pressure on oil prices have had an impact on the Midtown office market, though it noted that “these trends bear close monitoring.”

The Midtown office market is “dominated” by commercial landlords and real estate investment trusts Boston Properties, SL Green Realty and Vornado Realty Trust, according to the firm, with public company-owned properties holding an estimated value of $50 billion.

Midtown also ranks as the most expensive office market in the Americas and the 10th priciest market in the world, according to a CBRE survery earlier this year.


Related Articles

arrow_forward_ios
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
A photo illustration of SL Green's Marc Holliday (Getty; iStock; SL Green)

NYC offices get creative to lure workers back

NYC offices get creative to lure workers back
(Google Maps)

Manhattan’s Roosevelt Hotel is closing its doors for good

Manhattan’s Roosevelt Hotel is closing its doors for good
Facebook CEO Mark Zuckerberg, a rendering of the Farley Post Office building redevelopment and Vornado's Steve Roth (Credit: Getty Images, VNO)

Facebook snagged $100M discount on Farley Post Office deal

Facebook snagged $100M discount on Farley Post Office deal
Elie Tahari, 510 Fifth Avenue and Vornado chairman Steve Roth (VNO; Getty)

Vornado goes after Elie Tahari for bailing on Fifth Ave lease

Vornado goes after Elie Tahari for bailing on Fifth Ave lease
Clockwise from left: 432 West 19th Street, 61-15 Metropolitan Avenue in Ridgewood, 45 West 39th Street and 1518 Macombs Road in the Bronx (Google Maps)

Chelsea and Bronx purchases power mid-market i-sales

Chelsea and Bronx purchases power mid-market i-sales
Marriott Essex House, Knickerbocker Hotel and the New Yorker Hotel

What reopening? Hotel layoff notices pour in

What reopening? Hotel layoff notices pour in
Hotelier John Fitzpatrick and the Fitzpatrick Hotel at 687 Lexington Avenue (Google Maps)

Fitzpatrick Hotel rehires staff just to lay them off again

Fitzpatrick Hotel rehires staff just to lay them off again
arrow_forward_ios

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

Loading...