Overview
- Large occupiers are launching renewal and relocation decisions five or more years ahead to secure limited top-tier options.
- In 2025, 43.8% of NYC leasing involved blocks of 100,000 square feet or more, trophy availability was 3.7%, and Manhattan vacancy sat just under 15%, the lowest among major U.S. markets.
- Landlords are assembling contiguous floors and upgrading assets, with Vornado targeting blocks of roughly 380,000 square feet at Penn 1, up to 350,000 at Penn 2, and as much as 400,000 at 1290 Sixth Avenue.
- Tenants are committing early to marquee space, including Bloomberg’s expansion at 120 Park Avenue, Guggenheim’s renewal and expansion at 330 Madison, Deloitte’s 800,000-square-foot lease at 70 Hudson Yards, and Starr’s 275,000-square-foot pre-lease at 343 Madison for 2029 delivery.
- Downtown Manhattan logged 4.75 million square feet of leasing in 2025 with vacancy down to 22.2%, while office-to-residential conversions removed 821,000 square feet from the market.