If your financial services firm is looking for office space in New York City, the Midtown Manhattan area is well worth your consideration. Whether you are a hedge fund, an investment bank, a wealth management firm, or a modern startup in the cryptocurrency space, there is one common goal that benefits all financial companies – projecting confidence. Financial companies tend to deliver results on longer timescales. This makes it very important to think about the image you present to your clients and investors to make them comfortable in trusting you with their financial matters.
Midtown Manhattan is home to some of the largest financial companies in the world. Thousands of large multinational businesses have their headquarters here. This aspect makes Midtown Manhattan attractive to new companies looking to leverage existing infrastructure, a network of industry experts, and gain access to many top-level employees who could potentially transform your business.
Class A office space often makes the most sense for medium or larger financial companies. It’s important (and sometimes expected) that your financial company operate from a prominent building that offers multiple transportation options for arriving clients and employees. Metro Manhattan Office Space has helped many financial tenants find office space within iconic buildings like the Chrysler Building and One World Trade Center in Lower Manhattan.
The Chrysler building is one of the few iconic landmark buildings in Midtown Manhattan, other than The Empire State Building, where it’s possible to secure premium Class A office space for somewhat smaller (<5,000sqft) offices. Newer Class A buildings such as One Vanderbilt have very few options for tenants seeking smaller Midtown Manhattan offices. They cater primarily to medium and large businesses. Smaller companies have no shortage of Class A and B office space to choose from in pre-1990 construction, which makes it easier to place your new office in a neighborhood that’s convenient for your existing clients and employees.
Let’s talk about amenities. To provide a high level of service to your clients, the quality of the building matters. A large number of elevators to avoid wait times, fast internet in your offices, clean, fresh air, etc. Here is a list of amenities that we would suggest considering if you operate a financial company in Manhattan:
- A prestigious business address and strategic location that offers confidence and professionalism
- Proximity to large corporate tenants in the banking and financial industries
- Proximity to hotels, upscale restaurants, and public transportation
- Parking spaces to accommodate clients and partners
- State-of-the-art building security (turnstile access, 24/7 surveillance, an attended lobby)
- State-of-the-art building infrastructure (fast elevators, backup generators, elegant lobbies, touchless technology)
- Top-notch connectivity, optic fiber connections, and modern audio-video conferencing systems
- Multi-purpose meeting rooms for clients, partners, and employees, as well as flexible office configurations
- Conference rooms for staff meetings and company presentations
- An elegant reception area to welcome potential clients and business partners
- Soundproofing to protect confidential client information (hardwood floors, slab-to-slab sheetrock walls)
- Functional, subdued interior office design that exudes professionalism and prestige
- Access to a state-of-the-art gym, either on-site on nearby (example: Equinox gym in the immediate area)
- Relaxation and lounging areas available 24/7
- Access to outdoor space (balconies, terraces, rooftop deck)
- Easy access to nearby grab-and-go lunch and coffee spots
- A world-class restaurant on-site is a huge plus
- Full-floor, flexible office layouts with the possibility for expansion
Why Midtown Manhattan for financial services firms?
Midtown Manhattan offers faster commute times for business executives who reside in Connecticut. If your company rents office space close to Grand Central Station, you would be able to use the tunnel system to arrive directly inside buildings such as One Vanderbilt, The Chrysler Building, One Grand Central Place, and The Graybar Building.
Companies looking for financial office space as well as law firm space used to be focused around the Financial District and City Hall; however, those companies have started shifting their attention to Midtown in recent years. What’s more, Midtown is incredibly well-connected to all parts of the city and New Jersey, via Grand Central Terminal, Penn Station, and the Port Authority Bus Terminal.
Midtown Manhattan is gaining more substantial public and corporate appeal. Its commercial office space market continues to benefit from various ongoing and completed projects: The revamp of Penn Station, the new Moynihan Train Hall, One Vanderbilt, Project Commodore, and the massive plan for the Empire Station Complex. Projected for completion at the end of 2022, the M.T.A. is working on building the East Side Access project. It will give Grand Central Terminal direct access to LIRR service. Thereby reducing commutes into Midtown Manhattan by up to 40 minutes. These exciting projects are drawing large companies and new employees to Midtown Manhattan. This, in turn, is creating a thriving business ecosystem where medium and smaller-sized companies can grow. Newly built Class A office space gets leased very quickly by large companies. This demonstrates that demand for these premium buildings is still high.
Before the pandemic, Class A office space for financial services firms came at a premium in Midtown Manhattan. Asking rents often surpassed $80, $90, and even $100 per square foot. However, landlords are more open to negotiations in 2022. They are now willing to make significant concessions for tenants ready to sign longer-term leases. Average rents for Midtown Manhattan now stand at roughly $65 per square foot. But negotiated rents vary depending on the lease’s terms, square footage size, and duration.
Since many offices were left vacant during the 2020 and 2021 lockdowns, many landlords took the opportunity to invest in renovations and upgrades for their buildings to improve their appeal to tenants. Consequently, if your company is looking for state-of-the-art Class A office space for rent in Midtown Manhattan, it may benefit your business to take advantage of this opportunity to lock in lower effective rents in recently renovated Class A and Class B properties.
5 Buildings in Midtown Manhattan offering quality financial services office space for rent
Here is our pick of some of the best buildings in Midtown Manhattan offering quality office space fit for financial services firms:
1. One Vanderbilt
The 93-story, 1.8 million-square-foot One Vanderbilt tower was one of Midtown Manhattan’s most anticipated new office projects. Located right next to Grand Central Terminal, this Class A tower cost more than $3 billion to complete (see our video about it here). It features a 30,000-square-foot, tenant-exclusive amenity floor with meeting and conference space, an outdoor terrace, a club-style lounge, and Le Pavilion, a world-class restaurant by chef Daniel Boulud. The unrivaled location and best-in-class amenities at One Vanderbilt attract prestigious corporate tenants. Its roster includes T.D. Bank, Greenberg Traurig, Sentinel, and M.F.A. Financial.
2. 1271 Avenue of the Americas
The Time-Life Building at 1271 Avenue of the Americas features over 2 million square feet of Class A Plaza District office space for rent. The landmark tower features an elegant lobby, an on-site conference center, a 650-seat auditorium, 24/7 access and security, and 20,000 square feet of retail space. It also provides direct access to the Rockefeller Center underground shopping concourse and subway station. Tenants include A.I.G., Mizuho Bank, H.I.G. Capital, Fidelity, and Major League Baseball.
3. 601 Lexington Avenue
The Citigroup Center at 601 Lexington Avenue features 1.4 million square feet of Class A office space and houses some of the most prominent players in the financial sector. Citibank, Blackstone, Boston Properties, Kirkland & Ellis, Linley Capital – these are just some of the companies renting office space in the 59-story building. Amenities at the tower include direct access to the Gensler-designed Atrium Shops and Cafe. They feature 200,000 square feet of outdoor space, retail, fine dining, and a health club. Tenants also have direct access to a central subway station connecting to the E, M, and 6 trains.
4. 277 Park Avenue
This 1.85 million-square-foot tower at 277 Park Avenue was completed in 1963 and offers Class A office space for rent. It was renovated in 2001 and features a 40-car parking garage and state-of-the-art building infrastructure. The building also provides 24/7 security, CCTV surveillance, 24,618-square-foot office floor plates, and direct access to the Manhattan Athletic Club. The building is also walking distance to Rockefeller Center and Grand Central Terminal. It boasts a high-profile tenant roster. Businesses at 277 Park Avenue include Chase Bank, Bank of China, CCMP Capital Advisors, Highstar Capital, and Sumitomo Mitsui Banking Corporation.
5. Park56 at 120 East 56th Street
Companies looking for a more affordable option in the prestigious Plaza District will find Park56 highly appealing. The 16-story, 86,000-square-foot building at 120 East 56th Street, offers more affordable Class B office space for rent, as well as 11,000 square feet of ground-floor retail space. Office spaces range from 500 to 6,000 square feet. Amenities include a renovated lobby, concierge service, 24/7 access, and modern elevators and common areas. Tenants at Park56 include Blitzer, Pomellato, Clancy & Company, and Montebello Ristorante Italiano, while asking rents start at $60 per square foot.
Are you thinking of setting up your business in a convenient location in Manhattan? Are you looking to lease space in a modern building offering state-of-the-art amenities? To learn about available office space, call Metro Manhattan Office Space at (212) 444-2241 or email us at email@example.com.