Manhattan Office Leasing Jumped 54% Month-Over-Month in October
Supply of space to sublease dropped to its lowest level in seven years, according to Colliers
By Mark Hallum November 2, 2026 10:29 am
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Manhattan office leasing momentum jumped sharply in October compared with September and the same month last year, according to Colliers.
In its monthly office report, the brokerage said leasing volume in Manhattan jumped 54.1 percent in October compared to September and 24.7 percent from the same 31-day period in 2025, matching the pre-pandemic average, which ended in March 2020.
“Manhattan’s office market gained significant momentum in October, as leasing activity accelerated and market fundamentals continued to strengthen,” Franklin Wallach, executive managing director of research and business development for Colliers, said in a statement. “Leasing volume climbed well above historical averages, availability declined to its tightest level since August 2020, and sublet supply fell to its lowest point in seven years.”
Midtown proper saw the highest volume with 2.4 million square feet of space leased. Some 1.5 million square feet of that was in Midtown South and 567,181 square feet in Lower Manhattan.
As the availability rate tightened by 0.1 percent to 12.3 percent across all of Manhattan, the average asking rent climbed to $79.47 per square foot in October compared to $78.36 in September and $75.18 per square foot in October 2025.
“Additionally, critical recovery milestones were reached in October as Midtown’s available supply fell below its March 2020 level, Manhattan’s average asking rent matched its pre-pandemic average, and Midtown’s asking rent surpassed the March 2020 average,” Wallach said. “Looking ahead, with year-to-date demand running well ahead of last year, Manhattan remains on pace for its strongest year of leasing activity since 2000 if current conditions persist.”
Colliers reported that some of the biggest drivers in October’s leasing momentum were Citadel finally committing to 1.05 million square feet as anchor tenant at 350 Park Avenue; financial technology firm Ramp expanding to 460,300 square feet at 28-40 West 23rd Street; financial services firm Seward & Kissel renewing its 171,112-square-foot office at One Battery Park Plaza; and Morrison & Foerster’s 141,148-square-foot renewal at 250 West 55th Street.
Mark Hallum can be reached at mhallum@commercialobserver.com.
