NYC Tech Start-Ups Create a Crowded Real Estate Market

Finding Office Space for Your Startup in “New Tech City”

You know the names: Google, Yelp, Foursquare. You may also know the real estate associated with them: Chelsea Market, Union Square, SoHo. All three, combined with a swarm of other NYC tech start-ups to open their doors in Manhattan in recent years, have helped New York City earn the suitable nickname “New Tech City.”

In a recent study by the Center for an Urban Future, New York City was named the fastest-growing market in the country for Internet and media technology companies with more than 400 new companies opening between 2007 and 2011. The trend will likely continue as the city breaks ground on Cornell NYC Tech, a multi-million dollar satellite campus of Cornell University on Roosevelt Island that is centered around computer technology education and will surely spawn additional NYC tech start-ups.

A Uniquely Competitive Market

There are ping-pong tables at Google. An iPad-regulated keg at Yelp. It is no secret that the amenities found inside the office spaces of tech start-ups are as surprising as they are enjoyable. It’s difficult to imagine what next cool toy will be adopted in the office spaces of New York City’s hottest companies. Finding the right space that will foster creativity, ingenuity and spontaneity among employees is critical to sustaining business for the long haul. This search is often difficult in New York City, where much of the existing commercial real estate stock is located in buildings whose conditions pre-date modern tastes. Even if you love the location of a building, it can be challenging to negotiate with a landlord about fixing the space to meet your requirements at the lowest cost possible.
New Tech City

A Broker can Help NYC Tech Start-Ups

What does this rapidly growing sector mean for the city’s commercial real estate market? How can your start-up get an edge by finding office space designed to facilitate creativity while being in close proximity to other creative companies? How can you prepare to smoothly navigate a lease negotiation with the landlord? What neighborhoods contain the city’s best buildings for NYC tech start-ups? Entrepreneurs should direct these and any other questions at a licensed New York State broker.

There is great value in working with an agent licensed by New York State licensed agent who has worked with major landlords throughout Manhattan. In many cases, lease documents include language that passes along unnecessary hidden costs to the tenant, especially regarding construction, build-out, and property maintenance services. For start-ups and small business looking to embrace the current aesthetic trends in office space design (high ceilings, natural light, glass conference rooms, energy efficiency) the ability to get these results in your short-term or long-term lease without over-spending requires the experience of a professional broker.

Do not let a landlord’s unreasonable lease terms prevent you from creating a fun and relaxing space for your tech start-up company. Contact Alan Rosinsky at Metro Manhattan Office Space at 212-444-2241 before you begin your search for commercial office space in Manhattan.