New York City Office Space Report 2016 - 2017 - Real Estate Update
Cogent Realty specializes in Commercial Office Leasing for small - mid sized companies in New York City. Their website is one of the leading sources of real world market information about the office market, retail space, sales and developments throughout Manhattan.
New York, NY - An insider's report about New York City's Year-end 2016 office market is being offered free of charge to business owners though the link below. The report contains verified data about the rental rates in commercial buildings throughout Manhattan. This information is essential to business owners that are renting office space in the coming year either at a new location or through a lease renewal. NYC Commercial Office Space Report available here www.rentnyoffice.com/nyc-office-market-2/
The average quoted rent for New York City office space across all building classes was $65.44 per square foot with a vacancy rate of 8.10%. In comparison, in 2015 the average quoted rent was $59.58 per square foot and vacancy stood at 7.50%. Because the volume of leasing transactions slowed in the second half of 2016 a reduction in rental rates is expected in 2017. Additionally, Landlords will be offering more incentive for new leases including free rent periods, cash to fund a Tenant's construction of a custom-designed office and in some cases the delivery of a pre-built move-in ready space.
The year-end 2016 report lists average quoted rents in all of New York City's geographic submarkets including the popular Grand Central Station- $68.18, Times Square- $71.67 and Plaza District- $72.67. The three most affordable submarkets were Harlem/North Manhattan- $41.87, City Hall- $48.66 and the Financial District- $51.60. TAMI companies (technology, advertising, media and internet) continue to favor Chelsea where the rent was $61.54 and vacancy stood at a meager 6.2%.Rents in world-renowned NYC landmarks are also available and include information on the Empire State Building (350 Fifth Avenue), Chrysler Building (405 Lexington Avenue) and Trump Tower (40 Wall Street).
As rental rates increased over the past few years New York City businesses have been challenged to control their office overhead. The report recommends three strategies including: (1) space reduction and redesign; (2) implementing flex-work, utilizing business centers and telecommuting; and (3) relocation to more economical spaces including high quality recently modernized mid-block buildings.
Visit the Cogent Realty Website to access the free detailed report.