How is New York’s retail rental scene these days? In a word: hot.
“What’s especially noteworthy,” said Michael Slattery, senior vice president of research of the Real Estate Board of New York, “is how improved all of the retail corridors have been. Values are rising, asking rents are up, which is the result of people being positive about New York — with population, tourism and revenues all on the rise, these are all good things for retailers.”
In REBNY’s Spring 2006 Retail Report, average asking rents per square foot for ground-floor space in the 14 major Manhattan corridors surveyed increased 18.8 percent to $329 from the same period last year. The corridors, selected by REBNY’s advisory group of retail brokers, include retail hot spots in all areas of Manhattan, such as downtown, midtown and upper Manhattan.
“Many stores are trying to gain footholds in neighborhoods in areas like SoHo and further downtown, near the World Trade Center site,” Slattery said. “This is sending a positive message to other retailers thinking of entering these areas.”
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