Office rents at Manhattan skyscrapers set to reach – Business News
The sky’s the restrict for Manhattan skyscraper workplace rents, after 2025 noticed a document 313 leases beginning at $100 per sq. foot. Some industry insiders stated new rents up to $250 are within reach — but additionally cautioned the C-Note bubble might burst.
The $100-and-up offers had been accomplished at 125 buildings, in contrast with the 2024 tally of 85, in accordance to JLL’s year-end Analysis of Top Tier Transactions. The complete quantity of 9.9 million sq. toes accomplished at such costs narrowly topped 9.8 million the earlier yr.
JLL declined to focus on particular tenants. But outdoors brokerage sources instructed Realty Check that SL Green’s One Vanderbilt scored the best price on a per-square-foot foundation for the second yr in a row. Kyndryl, an infrastructure service supplier, signed for a mind-boggling $305 psf for a minuscule 6,300 sq. toes.
Some industry insiders say new workplace rents up to $250 per sq. foot are within reach after a document 313 leases beginning at $100 psf final yr. mandritoiu – stock.adobe.com
The super-priced phenomenon rests on tenants’ need for premium digs with high-floor views at any price. It additionally displays the strong business scene the place sturdy demand and diminished provide decreased total Manhattan availability from practically 20% a yr in the past to 13.2%, as per JLL -– and far tighter on Park Avenue, the World Trade Center, and within the Hudson Yards space.
“The volume of $100-plus deals represents one-third of all Manhattan lease signings in 2025,” stated JLL vice chairman and analysis head Cynthia Wasserberger, who wrote the report with Margaux Kelleher.
Tech, media and knowledge industry firms dominated with 31% of all top-tier transactions.
“Rental premiums are being driven by extreme scarcity of supply, costs of new construction, and a rising-tide effect, while concessions such as free rent and tenant improvement and interior buildout contributions remain healthy,” Wasserberger stated. “It is not a stretch to assume that more top-tier buildings will seek rents in the $200+ range more frequently in 2026.”
Lease signings of more than $100 psf had been a third of such offers final yr, in accordance to JLL vice chairman and analysis head Cynthia Wasserberger. Dave Cross
The once-elusive $100 benchmark grew to become the norm at premium places in 2025. Top-tier rents begin at least 15% pricier than for the Manhattan average of roughly $85 psf.
Among the “asks” had been $120 psf at 500 Park Ave.; $105-110 psf at 75 Rockefeller Plaza; $100-plus at 330 Madison Ave.; $140 and $170 psf in numerous elements of 320 Park Ave.; and $135 on the 54th ground of 30 Rock.
Even so, a tenants’ broker not at JLL commented, “We might be nearing the ceiling of what rents can be obtained. I’m seeing pushback from some clients who are balking at the numbers even for very small spaces.”
330 Madison Ave. Stefano Giovannini
JLL wouldn’t establish tenants for any of the new leases. But outdoors brokerage and landlord sources instructed Realty Check the big-bucks commitments included MGX and Truist, which every signed for more than $200 per sq. foot at Related’s 50 Hudson Yards. Current, a cell banking fintech service firm, paid over $100 psf at Vornado’s 2 Penn.
Others shelling out large bucks had been Monday.com’s 138,399 sq. toes at 225-233 Park Ave. South; Bank of India’s 41,000 sf relocation to 425 Park Ave.; and Shopify’s 24,130 sf enlargement at 85 Tenth Ave.
500 Park Ave. Brian Zak/NY Post
Asking rents exceed $200 psf at 9 West 57th St., the place Soloviev Group introduced three new tenants in 2025 totaling over 40,000 sq. toes — Hess Group, Beaconlight Capital, and Platinum Equity Advisors.
At the Seagram Building at 375 Park Ave., the place rents additionally begin at $200, a renewal and enlargement by Mubadala Investment was reported within the $250 psf vary.
50 Hudson Yards. Christopher Sadowski
JLL’s Wasserberger predicted, “As space availability continues to tighten, rents will increase for high space whilst new construction reaches the market.
But she cautioned, “The question is whether tenants will continue to find these rents sustainable, or if they will seek alternatives.”
