Smooth Operators: The Annual Cost of Running a Building in New York City
Jotham Sederstrom Sept. 20, 2012, 7:15 a.m.
Indeed, when even some midsize properties can rival the populations of a Midwestern town, it shouldn’t be a surprise that the day-to-day expenses of everything from window washing and elevator maintenance to office equipment, insurance and property taxes can add up faster than a New York minute.
Analysts at Cassidy Turley, a full-service commercial real estate services provider, averaged the operating costs of several dozen Midtown buildings–ranging in size from 250,000 square feet to more than 1 million square feet–and then shared their findings with us.
The result: Annual operating costs ranging from $5.7 million to well above $23 million that would cause even the most successful real estate titans to lose a little sleep. After the jump, an illustrated breakdown of the cost of owning in New York City today.