(NEW YORK, NY) — Manhattan’s office market had a near record-breaking 2018.
Research from Colliers International found that a total of nearly 42M SF was leased in Manhattan. That number is up 13% from 2017’s total of 37M SF, according to reports.
The average asking rent in Manhattan fell just under $76 per SF. Experts believe the strong year was due to business and job growth, a healthy economy, and the expansion of co-working space providers.
WeWork has more than 7M SF of office space in the city, and is expected to continue expanding. knotel has over 2M SF of office space spanning 100 locations. And other co-working services such as Spaces, have drastically increased their footprint in the borough.
Companies such as Deutsche Bank, JPMorgan, and Pfizer have contributed to the success of the leasing market through both renewals and new deals. This trend is expected to remain healthy.
The average asking rent in Midtown was around $83 per SF. Downtown saw a decline with an average asking rent of 6.32M per SF. Despite the decline in leasing volume, 2018 was downtown’s fourth strongest year in the past decade, according to reports.