NYC Office Space Cost in Q2 2015
NYC Office Space Cost in Q2 2015
The cost of NYC Office Space in the second quarter of 2015 increased 2.5% over the prior quarter. Costar, the Commercial Real Estate Information Company reports that the average quoted asking rent was $58.40 per square foot across all building classes compared to $56.99. The average vacancy rate decreased to 7.8% from 8.1%.
Total Office Market Statistics – NYC Office Space – All Building Classes
Submarket Vacancy % Quoted Rent Downtown 10.4% $50.35 Midtown 7.5% $60.54 Midtown South 5.8% $65.03 Uptown 4.4% $47.46
6 Largest NYC Offices Leases in Q2 2015
1 Manhattan West (400 West 33rd Street): 544,000 SF by Skadden, Arps, Slate, Meagher & Flom, LLP.
750 Seventh Avenue: 414,759 SF renewal by Morgan Stanley Smith Barney, LLC.
919 Third Avenue: 340,428 SF by Bloomberg.
Park Avenue Atrium (237 Park Avenue): 288,793 SF by J. Walter Thompson.
855 Sixth Avenue (Office portion): 147,954 SF by Nike, Inc.
315 West 36th Street: 136,118 SF by WeWork.
Top 3 NYC Office Buildings Under Construction
Construction at
3 World Trade Center
Silverstein Properties’ 3 World Trade Center: 2,861,402 SF. Delivery Q1 2018.
The Related Companies’ 30 Hudson Yards: 2,390,516 SF. Delivery Q3 2019.
Brookfield Office Properties’ 1 Manhattan West: 2,300,000 SF. Delivery Q1 2019.
Ideas for CONTROLLING NYC Office Space Costs
(1) Space Reduction and Redesign: Businesses can reduce the size of their offices by modifying the design and paring down the area occupied by each employee. Use our office space calculator to estimate your essential requirement. Some companies use hourly or daily rentals at off-site business centers for part-time staff and conferences.
(2) Flex Work and Telecommuting: Flexible work schedules may allow two or more employees to utilize a specific work area. Where practical utilize telecommuting.
(3) Relocation: Downtown has many quality buildings for lease at a 10- 30% discount over comparable midtown properties. The Lower Manhattan Commercial Revitalization Program offers total rent credits of $10.00 PSF for qualifying businesses.
SMART STRATEGY FOR RENTING AN OFFICE IN NYC
With NYC office space costs at a premium, it makes sense to hire an experienced and licensed Commercial Real Estate Broker that understands the market. Cogent Realty Advisors provides NO FEE Tenant Representation to New York businesses. By utilizing our extensive office database and an established network of professional contacts, we will find you an office that satisfies your specific requirements. Contact us today: (212) 509-4049.
