Separate reviews by main brokerages CBRE and JLL present that the Manhattan workplace market is much from lifeless — and even stagnant.
The surveys illustrate the extent to which the highest tier of the workplace market is “impervious” to woes on the decrease finish, as CBRE phrased it. (The info from each corporations embrace each new leases and renewals.)
Tucked into CBRE’s survey of Manhattan workplace leases signed for $100-and-up per sq. foot in 2023 — there have been 128 of them, together with two for $200-plus — was one other beautiful statistic:
Availability on the prime hall of market-driving Park Avenue was simply 9.4% at 12 months’s finish, in contrast with general Manhattan availability of 20%.
What little area stays obtainable on the boulevard goes quick.
As we not too long ago reported, PJT Companions expanded at SL Inexperienced’s 280 Park Ave. and Stonepeak Companions signed at SLG’s 245 Park.
In the meantime, JLL reviews the next quantity than CBRE within the “$100-plus membership” — an superior 191 offers (its pattern consists of some laboratory and bio-medical leases).
The report by a JLL group led by Cynthia Wasserberger famous that Aby Rosen’s Seagram Constructing at 375 Park Ave. had a dozen transactions at $100 or extra, essentially the most in a single constructing.
Places with essentially the most sq. toes leased at a minimal of $100 per sq. foot had been 350 Park Ave. (485,460 sq. toes); 20 Hudson Yards (432,085 sf); 280 Park Ave. (398,535 sf); and 550 Madison Ave. (303,543 sf).
Wasserberger stated, “Whereas many tenants centered on right-sizing operations over the previous few years, 2023 was all about development and enlargement amongst bigger occupants.”
“Tenants within the 10 largest top-tier transactions all expanded and grew appreciably of their new commitments,” she stated.”
It may be one other few weeks earlier than all of the year-end lease signings come to gentle. However one main tenant that expanded was DoorDash, which inked a direct lease for 115,382 sq. toes at 200 Fifth Ave. on Dec. 23. The constructing is owned by a three way partnership of Boston Properties and J.P. Morgan International Options.
The deal marks important development for the on-line meals supply platform, which beforehand occupied solely half as a lot area below a sublease.
The now fully-leased, 860,000 square-foot, modernized prewar tower is house to Tiffany’s international headquarters amongst different A-list workplace tenants, however is greatest recognized to the general public as house to Eataly’s Manhattan flagship retailer.