Manhattan Class A office rents hit record high
Market posts fourth straight quarter of more than 10M sf of leasing: Colliers
Manhattan’s office market has hit a new high.
Class A average asking rents rose to $85.45 per square foot in the third quarter, surpassing pre-pandemic levels and reaching an all-time high, according to a new Colliers report. Tenants inked deals for just over 10 million square feet in the third quarter. It was the fourth consecutive quarter with more than 10 million square feet of leasing, a feat last achieved in 2002, per Colliers.
The market crossed two other recovery milestones. Midtown’s available supply returned to its pre-pandemic level, with just under 28 million square feet of available space. And Midtown South had its strongest third quarter on record, driven largely by technology, advertising, media and information (TAMI) tenants.
Law firm Proskauer Rose inked the largest lease of the quarter, a 478,000-square-foot renewal and expansion at SJP Properties’ 11 Times Square, per Colliers. AI firm Anthropic’s full-building lease at AEW Capital Management’s 330 Hudson Street was the second-largest deal, followed by Havas Health Network’s 254,000-square-foot expansion and extension at 200 Madison Avenue, the Midtown South tower owned by George Comfort & Sons, Loeb Partners Realty and Jamestown.
