Q1 Offers “Mixed Bag” for Manhattan Office As Rents Hit New Highs
Despite an uptick of 10 basis points in availabilities, Manhattan’s office market had a good first quarter, according to preliminary data from Transwestern. Q1 saw 25 new leases for more than 50,000 square feet, including seven for greater than 100,000 square feet. That offset a 3% year-over-year decline in volume to just over seven million square feet.
“It was a bit of a mixed bag this quarter, though the positives certainly outweighed the negatives,” said Danny Mangru, research manager with Transwestern in New York. “While we didn’t see the market maintain the same high level of activity coming out of 2018, there were still several large leases indicating a steady demand.”
Additionally, Mangru said, “the impact of large blocks and shadow space coming back to the market has resulted in all-time high asking rents.” Asking rents hit new peaks in Midtown and Midtown South, and in Manhattan overall, during Q1.
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Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces.
Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications.
Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).