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Class A Dominates Manhattan Office Leasing in Q3
A dominant theme in Manhattan’s third-quarter office leasing story was demand for high-quality assets. New reports from Lee & Associates NYC and Transwestern both pointed to Class A’s prominence, with Lee NYC noting that 70.7% of Q3’s leasing volume occurred in Class A prominence and Transwestern noting that this asset class led positive absorption.
“As companies evaluate their current and future office space needs amidst challenging economic conditions and hybrid work patterns, many have reduced their footprints,” according to Lee NYC’s report. “However, among the top 10 leases by size of the quarter, 50% expanded their footprints from their original leases and 30% retained the same footprint.”
Lauren Davidson, SVP at Transwestern, said, “The statistics reflect this notion that companies want a New York City presence. Anecdotally, even with this growing momentum, our team is still seeing great opportunity for tenants focused on a long-term commitment to the city.”
- ◦Lease
