Office space

Office Rents Show Downtown Manhattan's Rising Cachet

By Wall Street Journal | Wall Street Journal

Office rents in the southern tip of Manhattan are on the rise as space in the trendy stretches of Midtown South becomes pricier and harder to come by.

Even as downtown's vacancy rate climbed to 11.2% from 8%, compared with a year earlier, average asking rents jumped 22%—the largest percentage increase of all Manhattan's office markets, according to statistics from Cushman & Wakefield Inc., a real-estate services firm.

Rents actually paid by tenants also moved up, hitting an average of $40.40 a square foot in the first quarter, the highest since the end of 2009.  

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