Thank you for sharing!

Your article was successfully shared with the contacts you provided.

NEW YORK CITY-So far this year, the office market here has gained 4.8 million sf of negative absorption, including 1.3 million in May. The majority of this influx, 830,314 sf, hit Midtown South, although year-to-date the space has been evenly distributed among the Midtown, Midtown South and Downtown markets, according to a report from Grubb & Ellis.

The overall vacancy rate rose 0.5% to 6.5%, with Midtown South up 1.3% to 8.3%. Downtown and Midtown each saw increases of 2%, to 5.6% and 6.3%, respectively. Overall asking rents declined to $54.50 per sf from $55.86 per sf, with Midtown turning in the poorest performance with a $1.70 per sf loss.

Since the end of 2000, the inventory of available office space has grown by about 14 million sf, approximately 5.7 million sf of which been has taken off the market, the report says. Of the remaining 8.3 million sf, around 5.3 million sf is available for sublease, leaving 3 million sf of vacant space. That sector of the market is doing well, with around half the vacant space having been taken during the last six months.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.