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Manhattan Office Leasing Posts Strongest Quarter Since Q4 2019
Manhattan office leasing volume grew by 26.0% during the third quarter of 2022, according to Colliers’ most recent quarterly report. Additionally, at 9.23 million square feet–the strongest quarterly volume since year-end 2019 –Q3 demand was 13.5% above Manhattan’s five-year rolling average (8.13 million square feet) and 11.5% above the 10-year average (8.27 million square feet). Leasing volume is on pace to surpass 2021’s full-year tally by 29.1%.
“Demand greatly outpaced supply during the third quarter and flight-to-quality was a key driver,” said Franklin Wallach, executive managing director of research & business development | New York at Colliers. “Additionally, numerous pockets of the market made significant gains in chipping away at the excess supply.”
“However, this was not observed in all Manhattan neighborhoods, and with nearly 35 million square feet of negative absorption since March 2020, the demand must remain strong in order for availability to eventually return to equilibrium.
- ◦Lease
