Manhattan office leasing through May 2019

A roundup of news and data on the commercial market
By Kevin Sun and Yoryi de la Rosa | July 01, 2019 10:00AM

OFFICE LEASING IN MANHATTAN

• Midtown office leasing slowed down in May, totaling 1.25 million square feet, a 32 percent decrease from the month before. The availability rate dropped slightly to 10.6 percent, while

the average asking rent fell from the previous month’s high, reaching $87.89. The largest deal in Midtown went to Time Warner Cable, which renewed 106,176 square feet at 1633 Broadway.

• Leasing activity in Midtown South continued to climb in May with 750,000 square feet in leases inked, a 10 percent increase from April. The availability rate dropped to 10.1 percent, and the average asking rent fell to $83.56 per square foot. The largest deal in the submarket — and all of Manhattan — was at RXR Realty’s 620 Sixth Avenue, where WeWork picked up 212,937 square feet previously occupied by Spotify and Mediaocean.

• Lower Manhattan office leasing totaled 460,000 square feet in May, a slight increase from the month prior. The availability rate dipped to 13.2 percent and the average asking rent continued to climb, reaching $62.74 per square foot. The largest deal in the submarket went to Knotel, which tripled its square footage at KBS Capital Partners and Savanna’s 110 William Street with a 79,285-square-foot expansion.

Source: TRD analysis of CBRE data

MIDTOWN SOUTH’S LEASING AC T I V I T Y AND AVA I L A B I L I T Y RATE

Source: TRD analysis of CBRE data

Source: TRD analysis of CBRE data

 

TOP DEALS

MANHATTA N ’ S TO P RECENT TRANSACTIONS

SQ. FT.TENANTADDRESS
212,937WeWork620 Sixth Avenue
106,176Time Warner Cable (renewal)1633 Broadway
79,285Knotel (expansion)110 William Street
77,622Greenhill & Company1271 Sixth Avenue

Source: CBRE and TRD

MANHATTAN ’ S LARGEST NEW AVAILABLE SPACES

SQ. FT.TENANTADDRESS
99,000601 West 26th StreetMidtown South
83,0001400 Broadway (OnDeck Capital sublet)Midtown
82,0001345 Sixth Avenue*Midtown
72,00028 Liberty StreetDowntown

*Space was previously on the market, but was included because it’s now within the 12-month window for tenant occupancy.

Source: CBRE and TRD