Millions of Square Feet of modern New York City office rentals will get delivered to the real estate market in the next few years. Soon enough, tenants will have the choice of relocating to the state of the art buildings well suited to their 21st century needs. Indeed, throughout the Manhattan skyline, there are gleaming office towers under development. New York City has not seen this level of commercial construction since the late 1990s. Betting that there will be strong demand for modern office space to lease, developers are willing to take the risk. Their projects are massive: many will be larger than the Empire State Building! And by 2019 over fourteen million Square Feet of new Manhattan office space will be added to the commercial real estate market.
One Vanderbilt, to be across the street from Grand Central Terminal, is one of these new developments. This skyscraper will be 250 feet taller than the Empire State Building. It will offer 1.4 million Square Feet of new offices for lease. According S.L. Green, its’ developer, construction should be completed in 2020. And on the West Side of Manhattan, another large project is on the way. Five new Hudson Yards skyscrapers will deliver more than 6 million Square Feet of modern New York office space rentals. The developer behind it is The Related Companies.
Lower Manhattan is also seeing activity. 3 World Trade Center will add 2.5 million Square Feet of 21st century office space when completed.
So, in the next few years, businesses seeking modern offices for rent in New York City will have many options. Yet, tenants should be ready to pay rents of at least $85.00 per Square Foot. Tenants that lease space in these properties will benefit from new infrastructure, energy efficiency, ultra fast connectivity and innovative workspace design. Offices for rent in these brand new buildings will range in size from 5,000 to one million Square Feet.