The Fifth/Madison submarket improved considerably over the last two months as leasing activity picked up.
New York, NY (PRWEB) June 13, 2013
Cassidy Turley, a leading commercial real estate services provider in the U.S., released their June Manhattan Market Report, which indicates Midtown is experiencing a strong recovery and Midtown South tightens even further. The picture is not nearly as bright for Downtown as more space is added. Encouraging employment figures and job creation continue to push the market upward. Manhattan’s net positive absorption was 860,316 square feet in May.
Demand for space in Midtown has picked up with positive absorption up over half a million square feet year-to-date. In May, 621,993 square feet of positive absorption was reported, dropping the availability rate down to 11.6 percent. The Fifth/Madison submarket improved considerably over the last two months as leasing activity picked up. In addition, the demand for high-end space with a growing number of tenants willing to pay more than $100 per square foot (24 such leases were signed so far this year compared to 34 throughout 2012) produced a drop in availability to 13.0 percent since the peak in February 2013 of 15.1 percent.
More good news for Midtown South as the submarket continues to lead the way in recovery with availability dropping to 8.4 percent. Class A asking rents were up $0.07 per square foot to $69.34 and Class B up $0.76 to $57.98 per square foot.
News of a large block of office space coming onto the market pushed Downtown’s availability rate up to 14.3 percent in May. Class A asking rents dipped $0.81 per square foot to $52.61 and Class B inched up $0.13 to $36.21 per square foot.
“By interpreting the increases or decreases in the market and applying that information to our clients’ business goals, we are able to consistently provide best-in-class service,” comments Peter Hennessy, President, New York Tri-State Region Cassidy Turley.
About Cassidy Turley
Cassidy Turley is a leading commercial real estate services provider with more than 3,800 professionals in more than 60 offices nationwide. The company represents a wide range of clients—from small businesses to Fortune 500 companies, from local non-profits to major institutions. The firm completed transactions valued at $22 billion in 2012, manages approximately 400 million square feet on behalf of institutional, corporate and private clients and supports more than 23,000 domestic corporate services locations. Cassidy Turley serves owners, investors and tenants with a full spectrum of integrated commercial real estate services—including capital markets, tenant representation, corporate services, project leasing, property management, project and development services, and research and consulting. Cassidy Turley enhances its global service delivery outside North America through a partnership with GVA, giving clients access to commercial real estate professionals in 65 international markets. Please visit http://www.cassidyturley.com for more information about Cassidy Turley.