Buoyed by the area’s burgeoning tech scene and growing residential market, the Flatiron/23rd Street Partnership Business Improvement District this morning presented its third annual report to a room of brokers and indicated available commercial space in the district is sparse.
With more than 200 commercial office buildings offering upwards of 22 million square feet of rentable space, Flatiron’s overall vacancy rate sits at just 6.96 percent, with only 1.55 million square feet available for lease. The average price per square foot of that space hovers just below $50 at $49.10.
It looks like luxury home builder Toll Brothers may have yet another New York City residential development project on the drawing board after scooping up a financially troubled and stalled development site – once dubbed the Oliver – from Alexico Group for $64 million, The Commercial Observer has learned.
Owner of the high-end boutique condominium building The Touraine in Lenox Hill, Toll Brothers purchased 953, 957, 959 and 961 First Avenue (or 953-961 First Avenue) in Midtown East after years of financial turmoil bogged down and eventually killed Alexico Group’s original plans to build a 161-unit luxury rental building at the site.
The investment sales market, most brokers agree, has been heating up over the past 12 months. Approximately $25.8 billion in commercial properties changed hands last year, a turnaround that represented an 88 percent increase over 2010. But while the positive uptick is easily verifiable, what happens next for Manhattan’s investment sales market is still up in the air.
Accordingly, The Commercial Observer set out to speak with the real estate industry’s most accomplished capital markets and sales practitioners to learn what’s in store for 2012. Over the next several days, we’ll post interviews with heavy hitters like Richard Baxter of Jones Lang LaSalle, J.D. Parker of Marcus & Millichap, Darcy Stacom and William Shanahan of CBRE and Peter Hausperg of Eastern Consolidated. But, first, after the jump, none other than Woody Heller of Studley.