The World of Real Estate According to Ron Burgundy
With 2013 quickly coming to a close and Anchorman 2: The Legend Continues hitting theaters this week, what better way to pay tribute to Manhattan real estate than by giving out Anchorman Ron Burgundy-themed awards? So without further ado, let’s find what makes real estate unique in New York.
5. “A lot of you have been hearing the affiliates complaining about a lack of diversity on the news team.”
This award goes to the increasingly diversified industries that made up the leasing activity for 2013. The “big three” (TAMI, professional and financial services) accounted for over 70 percent of the market’s activity. Both TAMI and professional services continue to take market share away from the financial sector.
4. “I don’t know how to put this, but I’m kind of a big deal.”
This award goes to the 51 big deals greater than 100,000 square feet signed through November. There were only 53 such deals in 2012 and 2013’s total is expected to grow in the last month as everyone rushes to get deals signed before the end of the year.
3. “I’m very important. I have many leather bound books and my apartment smells of rich mahogany.”
We share this award with the tenants that signed leases north of $100 per square foot – 57 of them to be exact. A significant increase from the 36 signed in all of 2012, and we still have a month to go!
2. “Boy that escalated quickly…I mean that really got out of hand fast.”
This award goes to the average price per square foot paid for Midtown office buildings. At $896 per square foot, the average exceeded the 2007 high of $811, and these prices jumped 54 percent in 2013.
1. “They’ve done studies you know. 60 percent of the time, it works every time.”
This award goes to the combined Class A/B average asking rents for Midtown South. At $64.66 per square foot, this average is up 56.7 percent since rents bottomed in 2010…and this was the closest stat I could get to 60 percent.
For the entire research team at Cassidy Turley, I am Rich Persichetti. You stay classy New York City.