Fifth Avenue is the 2nd priciest US office market: report

Menlo Park’s Sand Hill takes the top spot

TRD New York /
Dec.December 11, 2017 02:05 PM

The GM Building and 9 West 57th Street

Office Rents On Fifth Avenue are the second-most expensive in the country, according to a new report from JLL.

Average asking rents on the Midtown stretch between 50th and 61st streets clocked in at $116.04 per square foot, and at the top end of the range reached $185 per square foot, the Wall Street Journal reported.

“When you think about Fifth Avenue buildings, they’re comprised of a subset that are all proximate to the park [Central Park] and have stellar park views,” Mo Beler, a managing director at JLL, told the newspaper.

California’s Sand Hill Road in Menlo Park came in as the most expensive at an average asking price of $119.38 per square foot, according to JLL’s 2017 Most Expensive Streets report.

Fifth Avenue – home to premiere office addresses like the General Motors Building at 767 Fifth Avenue, 9 West 57th Street and 745 Fifth Avenue – had a vacancy rate during the third quarter of 11.9 percent, according to JLL. That’s higher than the overall rate for Manhattan of 10.2 percent, but Beler said the roughly 2 percent difference is normal as longtime owners can afford to keep space vacant in order to wait for high-paying tenants.

Still, Fifth Avenue and Midtown in general are facing competition as tenants flock to places like the Far West Side. Worldwide, Midtown ranks as the globe’s fourth-most expensive office market, with Hong Kong taking the top spot. [WSJ]Rich Bockmann


Related Articles

arrow_forward_ios
Mayor Bill de Blasio (Getty, Wikimedia)

Landlords challenge city laws protecting non-paying businesses

Landlords challenge city laws protecting non-paying businesses
From left: G.H. Palmer's Geoffrey Palme, RFR Holdings' Aby Rosen, Macklowe Properties' Harry Macklowe, Thor Equities' Joseph Sitt and Ellicott Development's Carl Paladino (Getty, iStock)

Harry Macklowe, Aby Rosen and Joe Sitt among 6,500+ developers, landlords who got PPP bucks

Harry Macklowe, Aby Rosen and Joe Sitt among 6,500+ developers, landlords who got PPP bucks
Photo illustration of Ryan Serhant and  22-43 Jackson Avenue (Getty, Trader Joe's) 

Trader Joe’s to open in LIC early next year

Trader Joe’s to open in LIC early next year
Shawn Mobley (left), is being replaced by Andrew McDonald (right) as CEO of the Americas at Cushman

Shakeup at Cushman: Mobley out, McDonald promoted

Shakeup at Cushman: Mobley out, McDonald promoted
4 Times Square (Google Maps, TikTok)

What happens if Trump banishes TikTok, savior of NYC’s office market?

What happens if Trump banishes TikTok, savior of NYC’s office market?
(iStock)

To survive, NYC retailers are treating average Joe’s like they’re rich

To survive, NYC retailers are treating average Joe’s like they’re rich
The financing deal comes after AMC theaters have been shuttered for months due to the coronavirus pandemic. (iStock)

AMC nears deal to avoid bankruptcy

AMC nears deal to avoid bankruptcy
CIM Group’s Shaul Kuba, Knotel's Amol Sarva, Related Group’s Jorge Pérez and The Agency’s Mauricio Umansky (Getty, Sarva by Sasha Maslov, iStock)

These real estate companies got fat PPP loans

These real estate companies got fat PPP loans
arrow_forward_ios

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

Loading...