Retail Space for Rent NYC: The Basics of Leasing NYC Retail Space
Retail Space for Rent NYC is expensive and the location is critical. The first step is determining your budget, the square footage you need, what location you prefer and the potential construction costs, if needed. Once you have that in mind, experienced brokers at Metro Manhattan Office Space will assist you in navigating the complexities of this market. As you begin your search, here are some tips for leasing New York City retail space.
As a retailer, you want to display your products to their best advantage and where you can draw the most foot traffic. The first floor or lower level of a commercial building gives you that exposure. A 2nd or 3rd floor is also a good bet if the space has windows facing the street and you can install signage that grabs attention.
Make sure you understand exactly what you’re getting: Manhattan retail or store space generally has very low loss factors (usable vs. rentable space), which generally range from 3-10%. Manhattan retail space is generally leased in “as is” condition with no landlord work, but landlords may consider offering free rent in lieu of construction.
Prime Locations for NYC Retail Space
The rent for retail stores is driven strictly by the location. Manhattan retail rental rates vary from $75.00 per square foot all the way up to $2,000. The higher end of that range is mainly reserved for ground floor space along the ”Gold Coast” located from 50th Street up to 62nd Street, and from Madison to Fifth Avenue. Rents in this highly desirable area start at $600per square foot. Chic retailers such as Cartier, Barneys, Hermes, Bergdorf Goodman, Fortunoff and Dolce and Gabbana have stores on the Gold Coast.
Manhattan Retail Space is Limited
With the limited supply of leasable NYC retail space, the market is fiercely competitive. It’s not uncommon to find yourself competing with multiple prospective tenants for the same space. Due to strong demand and limited supply, negotiability on asking rents is minimal and landlord concessions are negligible. Landlords can afford to be selective about the types of businesses who use their buildings and at what terms.
Successfully leasing NYC retail space is often about who you know. Our brokers have years of experience negotiating New York City commercial retail and office space leases We are well-connected and know how to leverage our relationships with landlords, leasing agents and property managers to help your business find just the right space and location.
How much does it cost to rent a store in NYC
Retail rents in New York City come at a premium, especially around Fifth Avenue, Madison Avenue or Park Avenue, which are some of the priciest retail streets in the world. Prices here can go as high as $4,000 per square foot for a ground-floor space with street frontage. Boutique stores can be rented in neighborhoods like SoHo, Chelsea or the Garment District, where rental rates are much more affordable.