C&W: Manhattan Market Looking Better, Leasing Doubles Year over Year
- Jul 07, 2010
July 7, 2010
By Allison Landa, News Editor
Better times are afoot for the Manhattan commercial real estate market, according to Cushman & Wakefield. The firm today released second-quarter statistics showing that the vacancy rate declined to 10.8 percent in June from 11.6 percent in March.
That decline dovetails with the strongest quarter for new leasing activity in Manhattan since the third quarter of 2006 – 6.9 million square feet of new office leases were signed, bringing the midyear total to 12.6 million square feet. That’s up a whopping 98 percent year over year.
Manhattan’s Class A vacancy rate dropped to 11.6 percent in June from 12.6 percent at the end of the first quarter, while the overall Midtown Manhattan vacancy rate declined to 11.5 from 12.6 percent. Those figures entail all sectors of real estate.
“In Midtown, the market has clearly trended from stabilization to recovery over the past six months,” C&W managing director of research for the New York metro region Ken McCarthy said when announcing the news.
The quarter’s top five leases included a 380,000-square-foot renewal and expansion for Jones Apparel Group at 1411 Broadway, a 378,304-square-foot new lease for Proskauer Rose at 11 Times Square, a 352,000-square-foot renewal for Willkie Farr & Gallagher at 787 Seventh Ave., a 280-square-foot new lease for Local Union 32BJ at 620 Avenue of the Americas and a 260,994-square-foot new lease for Tiffany at 200 Fifth Ave.