“Manhattan Office Leasing Continues to Exceed Five-Year Average for Eighth Consecutive Month”

"Manhattan Office Leasing Continues to Exceed Five-Year Average for Eighth Consecutive Month"

According to CBRE, Manhattan office leasing activity in November was led by Ropes & Gray’s commitment of 429,342 square feet at 1285 Ave. of the Americas. This brought the total leasing activity for the month to 1.82 million square feet, which is a 10% increase from the five-year monthly average of 1.65 million square feet.

This marks the eighth consecutive month that leasing volume has surpassed the five-year average and year-to-date leasing activity through November totaled at an impressive figure of 20.75 million square feet – a significant increase of 29% from last year.

Renewals also played a role in this strong performance with a total of755,000 square feet leased in November and bringing YTD renewals to8 .31millionsquarefeet.

The availability rate remained unchanged from last month at18 .9%, but showed improvement compared to last year witha decreaseof120 basis points accordingtoCBRE.Netabsorptionwaspositiveat199 ,000squarefeetinNovemberandtheYTDtotalreachedanimpressive5 .16million
squarefeet .

Despite these positive numbers,theaverageaskingrentremainedessentiallyflatmonth-over-monthat$77 .97persquarefoot.However,itdidshowaslightincreaseof1%comparedtothepreviousyear.Thesubleaseavailabilityratedeclinedby10basispointsfromlastmonthto4 .2%,withtheaverageaskingrentremainingunchangedfromoneyearagoat$57 .
89persquarefoot .

Overall,this report shows that Manhattan officeleasingcontinuestooutperformthefive-yearaveragewithstrongactivityandlowervacancyrates.This trend is expected to continue as businesses adapt and recover from challenges posed by COVID-19.

About the Publisher:
Steve Griffin is based in sunny Palm Harbor, Florida. He’s an accountant by profession and the owner of GRIFFIN Tax and REVVED Up Accounting. In addition, Steve founded Madison Avenue Technology. With a strong passion for commercial real estate, he’s also dedicated to keeping you up to date with the latest industry news.

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