Manhattan office fundamentals show improving performance
The Manhattan office market continues to do well with positive absorption rates, decreasing availability and rising rents, according to DTZ’s Manhattan Office Market Report for July 2015.
The Manhattan office market has experienced its sixth consecutive month of positive absorption. The strengthening in office fundamentals coincided with strong job numbers, as 30,7000 office-using jobs were added in New York City over the past 12 months. Availability declined slightly to 9.4 percent, while class A rents increased by $0.25 per square foot and class B rents rose by $1.42 per square foot. For the first time in 2015, the three primary Manhattan markets — Midtown, Midtown South and Downtown — contributed to the decline in available space.
Midtown had positive absorption of 256,895 square feet. Seven of Midtown’s nine submarkets — Fashion District, Grand Central, Midtown West/Columbus Circle, Park Avenue, Penn Plaza/Hudson Yards, Sixth