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Rewards come to those who increase value.

The increase in office leasing activity in New York City, which began in earnest during the latter stages of 1991, has thankfully continued to gain momentum.

We now strongly believe, based on interest and activity at our more than a dozen Manhattan properties, that the market will continue to improve on a slow and steady course in the months ahead.

One of the major beneficiaries of this gradual resurgence has been older buildings that have been upgraded to compete effectively with their younger rivals

Indeed, I credit two factors for current upsurge in leasing activity here in New York.

First, I believe there continues to be a growing demand for quality Manhattan office space at affordable prices. Second, I believe owners who have or are in the process of adding value and improving their property, are very likely to reap the rewards of their investment in the current marketplace.

That certainly has been our experience virtually from the moment we launched a carefully conceived, multi-million dollar capital improvements program about two years ago designed to upgrade our entire portfolio of properties. As part of this effort, we just completed a major restoration and modernization at 251 Park Avenue South and we started similar effort at our showcase office building at 212 Fifth Avenue.

In addition to new lobbies, elevator controller cabs and other capital improvements to common areas, the F.M. Ring program also incorporates two other important features - new building installations of the highest quality and flexible terms and prices that reflect a keen sensitivity to market conditions.

Those elements, together with our long-standing history of timely payments on brokerage commissions, has helped refocus attention on our buildings and the tremendous opportunities they offer for space-users in the current marketplace.

As we continue to confront one of the most challenging markets in real estate history, our company remains committed to adding value whenever it can help to bring any of our buildings to the highest possible level of competitiveness.

While that may be a bit taxing on our bottom line in the short run, we believe it offers us the best opportunity for growth over the long haul.
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Copyright 1992, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Title Annotation:Review and Forecast, Section II; office leasing, New York, New York
Author:Ring, Frank
Publication:Real Estate Weekly
Date:Jun 24, 1992
Previous Article:Executive suites in prime locations prosper.
Next Article:'Niche marketing' key to confidence in housing.

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