Tenants take nearly 7m s/f in Lower Manhattan.The Alliance for Downtown New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of announced that the ongoing influx of businesses into Lower Manhattan Lower Manhattan is the southernmost part of the island of Manhattan, the main island and center of business and government of the City of New York. Lower Manhattan is generally defined as the area delineated on the north by Chambers Street, on the west by the Hudson River (North fueled the remarkable performance of its office market during the past 12 months. According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. CB Richard Ellis CB Richard Ellis Group, Inc. NYSE: CBG is a multinational real estate corporation currently based in Los Angeles, California, U.S.A.. On December 20, 2006, the corporation, also known as CBRE, completed acquisition of Trammell Crow Co. in a transaction valued at $2. , tenants leased 6.93 million square feet in 2006, the best showing Downtown since 2000. The submarket also saw more than 4 million square feet in net absorption, the highest annual total since 2000. The continued interest in Lower Manhattan office space drove down overall vacancy rates by 21 percent, with building owners boosting overall average asking rental rates by 25 percent, according to Cushman & Wakefield. The area's Class A buildings posted even greater growth, with vacancy rates falling by more than 31 percent and rents jumping up by 34 percent. "The continued expansion of Lower Manhattan businesses demonstrates the organic growth of existing companies and their commitment to the area," said Eric Deutsch, president of the Downtown Alliance. "27 companies, totaling in excess of 1.2 million square feet in expansion space, have grown their business Downtown in the past six months." Lower Manhattan companies that have increased their presence in the submarket during the past six months include Moody's Investors Service Moody's Investors Service A leading global credit rating, research and risk analysis firm. Moody's Investors Service A leading firm engaged in credit rating, risk analysis, and research of fixed-income securities and their issuers. boosting its occupancy by 264,000 square feet in its move from 99 Church to 7 World Trade Center; AIG AIG addressee indicator group (US DoD) AIG American International Group, Inc AiG Answers in Genesis (religious group in defense of Scripture) AIG Artificial Intelligence Group AIG Australian Industry Group taking 250,000 square feet of new space at 32 Old Slip and 79,000 square feet at 40 Wall Street; Sullivan & Cromwell added 67,000 square feet at 55 Water Street; Morgan Stanley  To comply with Wikipedia's , the introduction of this article needs a complete rewrite. & Co. leased an additional 65,000 square feet at One New
York Plaza One New York Plaza is an office building in New York City, built in 1969, and is located at the intersection of South and Whitehall Streets (). It is the southernmost of all Manhattan skyscrapers. ; and Willis expanded by 65,000 square feet in its relocation
from 7 Hanover to 1 World Financial Center.
"With Midtown space renting at a premium and the number of feasible options for tenants there dwindling dwin·dle v. dwin·dled, dwin·dling, dwin·dles v.intr. To become gradually less until little remains. v.tr. To cause to dwindle. See Synonyms at decrease. , companies are turning to Lower Manhattan in ever greater numbers," said Deutsch. "Downtown office buildings offer the same high-quality space and superior service at substantially reduced rates." New companies to Lower Manhattan were also responsible for a substantial amount of leasing activity. In the past six months, companies relocating Downtown leased approximately 1 million square feet of space. In the past two years, about 119 companies have joined the Downtown office market, signing for more than 3.1 million square feet. Major relocations to Downtown during the past three months include ABN AMRO leasing 140,000 square feet at 7 World Trade Center, Labaton Sucharow taking 70,480 square feet at 140 Broadway, IT USA signing for 35,000 square feet at 17 Battery Place South and Levitz Furniture leasing 30,000 square feet at 233 Broadway.
Lower Manhattan Office Market Data:
Q4 '06 Q3 '06 Q4 '05 Q4 '06 Q3 '06 Q4 '05
Rent Rent Rent Vac. Rt. Vac. Rt. Vac. Rt.
Class A $45.02 $41.76 $33.59 6.9% 8.0% 10.1%
Class B $35.74 $32.98 $28.76 10.2% 10.1% 10.5%
Class C $28.36 $27.39 $27.58 9.4% 10.5% 12.5%
Total $38.62 $36.18 $30.89 8.4% 9.1% 10.6%
Source: Cushman & Wakefield, Inc.
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