“I’ll be honest with you,” Gregg Weisser said. “It caught me by surprise.”
Mr. Weisser, the senior vice president and director of commercial real estate at the Moinian Group, was discussing the dramatic rise of Midtown South as a real estate, tech, media and fashion powerhouse. But he likens the fast-paced big-city success story to a leisurely drive upstate.
A recent late summer morning at one of the company’s three separate buildings in Irvine, Calif., roughly 100 Auction.com employees buzzed around a vast, open windowless room lined with rows of cubicles and slung with venting and lighting hung from the ceiling high above.
Along one side of the room, which employees Read More
10gen is expanding its presence at the former New York Times Building with an additional 20,432 square feet across the 5th floor, bringing its total occupancy to nearly 50,000 square feet.
The deal comes seven months after the growing software and database company signed a six-year, 29,391-square-foot lease with contiguous expansion options in December 2012, which includes Read More
Demand for space in Midtown South, where the majority of properties are Class B, drove effective rent for buildings in that classification beyond Midtown in the second quarter, according to data from CompStak. Midtown South Class B effective rent was $46.67 per square foot for the quarter, while Midtown registered effective rent for Class B of $44.17.
Though availability is tight in the city’s hottest submarket, those companies that are able to find space are driving up rents–and there is no end in sight.
Manhattan leasing activity was up 24 percent year-over-year in May to 2.08 million square feet, up from 1.68 million square feet in May 2012, according to CBRE’s latest Manhattan Marketview Snapshot. The three largest new leases were from tech firms, including Facebook’s new lease at 770 Broadway, the report noted.
Tech leasing was led by Yahoo!, which snapped up 176,201 square feet at 229 West 43rd Street, the former headquarters of The New York Times. Yahoo!’s lease led the Midtown market, where leasing was up 26 percent over the five-year average of 1.17 million square feet.
On the heels of news that Yahoo will buy Tumblr for $1.1 billion, the Web giant is moving to the former home of The New York Times, the firm announced today.
Yahoo signed a long-term lease for the 9th through 12th floors in the 15-story building, joining tech tenants 10gen and Citysearch in the building.
“For a while Read More
When The Commercial Observer profiled 229 West 43rd Street (the former New York Times Building) earlier this month, leasing agent Brian Waterman of Newmark Grubb Knight Frank said “a bunch of larger tenants [were] hanging around the rim.” Mr. Waterman declined to name names, but unconfirmed reports suggest interest among some big, usual suspects from the tech and media sectors.
the lead indicator
Is the office obsolete?
The argument has been going on since before the Internet, when its antecedents were limited to connecting university research labs to the Department of Defense. The adoption of new technologies may afford smaller server rooms and fewer filing cabinets, but the location of people dominates everything else when it comes to office space utilization. At least on the margins, the data show we are using less office space for every employee. We cannot assume that reflects the impact of technology, but it’s not an unreasonable hypothesis.
When Marissa Mayer, the chief executive of Yahoo, announced last month the abolishment of the internet pioneer’s work-from-home policy, the move was seen as a referendum not only on the company’s current struggle to stay relevant but also on the very idea of telecommuting.
Founded in 1995, Yahoo played a role in the rise of working remotely, a trend that certain exaggerated reports argued could lead to the abandonment of traditional headquarters altogether. Ms. Mayer, who came to Yahoo last year from Google, cited the importance of face-to-face collaboration as a promoter of innovation, but implicit in the announcement was the feeling that Yahoo needed a morale boost and a stronger brand identity that could not be achieved from workers’ living rooms.
Whether it’s revitalizing an old property with hip new tenants, or reassuring an established firm that its current address is the right fit, David E. Green showcases the kind of commercial real estate savvy that has earned him trust among an eclectic portfolio of clients.
Mr. Green’s peers recognize it, too, and that’s why the Cushman & Wakefield executive director has been named this year’s Real Estate Board of New York “Young Real Estate Man of the Year” recipient.