The Momentum Builds (
A message from Ben Blumenthal) -
Since news of an effective vaccine broke, the return of New York City (and by extension, workers to their offices), was hardly a question of “if” but more so a question of “when”. Fortunately, May brought forth many positive developments that gave businesses some much-needed guidance on what to expect.
A stream of encouraging announcements has created a framework to set expectations and provide businesses with the confidence to plan:
- Fully-vaccinated folks are no longer required to mask
- 80,000 NYC employees began a staggered return to the office
- Indoor dining capacity returned to 100%
- A complete reopening of NYC has been scheduled for July 1
If you’ve recently walked the streets of Midtown, you've likely noticed busier sidewalks, restaurants & bars crowded with the “after-work” patrons, and yes, plenty of vehicle traffic on the roads. Additionally, VTS reported that NYC office demand (measured by touring activity) had increased by 25.9% month-over-month.
Similarly, our clients' interests in finalizing office space arrangements have been progressively bolder since the beginning of April; just last week, we represented three groups that finalized leases with either an immediate or July 1 occupancy date. This momentum seems to be growing stronger - and as it snakes through the leasing pipeline, we expect a flurry of office space decisions and commitments from businesses aligning their return to the office with the city’s reopening dates.
As the city emerges from COVID and big-name organizations become increasingly public about their plans to return (ie. J.P. Morgan, Google, Goldman Sachs, etc.), we have begun to see both the sublease glut receding and a markedly stronger demand not just for physical office space, but for office space in NYC.
Because let's be honest; New York City is Prime Time!
Wishing you all the best,
Ben
Ben Blumenthal
Principal Broker
Noah & Co.
For the rest of our May 2021 Newsletter, click here.
Recent Blogs
