January 17, 2018
Strong demand for office space filled buildings new and old in Manhattan in the fourth quarter, driving the percentage of vacant space down to 10.2% from 10.6% a year ago, according to Avison Young’s fourth quarter office report. Asking rents averaged $86.22 per square foot in the fourth quarter, up slightly from $85.69 a year ago.
Many of the largest leases signed in the fourth quarter filled office space in Midtown.
“New and efficient office space in Hudson Yards and the surrounding area” have been very attractive to a diverse range of tenants, according to Avison Young. The market will need this strong demand for office space to continue to keep it in equilibrium.