Given the economic pressures facing the legal industry, many law firms are either downsizing, folding outright or moving to new—more efficient—office spaces.
Accordingly, there is a lot of activity in the law firm office space sector.
Along with the above commercial forces at work, law firm layouts are changing. There is less need for secretarial space, and law libraries (with hard copy books) have been significantly reduced—if not eliminated. However, the old law firm spaces can easily be re-configured by a landlord to meet the needs of the 21st century law firm.
S&P Global Market Intelligence reported recently that, “it’s a good time to be in the market for prime New York City office space.”
Commercial Real Estate Concessions: Are You Getting the Best Deal?
“I think we’re starting to see a cycle that’s beneficial for tenants. It’s going to accelerate more.” Colp-Haber said in the report.
However, many tenants that are in the market are disappointed that base rental rates are still high. While base rental rates remain unchanged, what has changed are the concession packages being offered by landlords.
Obtaining new office space is one of the major decisions that your company will make. Despite that fact, some business people mistakenly think that they have the ability to negotiate a lease on their own—or alternatively, they naïvely use multiple brokers in an attempt to obtain a good deal on space.
One hard working broker is the best route for the following reasons:
- All major brokerage firms have access to the same Costar office space listings (multiple brokers do not lead to access to additional spaces).
The new World Trade Center is a sprawling 16 acre mixed-used environment composed of 5 iconic office towers, an 8-acre Memorial Plaza, and over half a million square feet of shopping and dining. The transportation hub makes it one of the most convenient destinations to access in the city.
There is unmatched mass transit—11 subways & PATH trains which are accessible directly from the buildings. The World Trade Center offers direct, weather-protected access to most of the City’s subway, bus, and ferry lines.
Hudson Yards is the largest private real estate development in the history of the United States, and the biggest development in New York City since Rockefeller Center.
When completed in 2025, Hudson Yards will have several NYC firsts, including: New York’s first Neiman Marcus, a collection of restaurants curated by Chef Thomas Keller, and The Shed, a new center for artistic invention. In addition, there will be 14 acres of public open space, a 750-seat public school, and an Equinox® branded luxury hotel with more than 200 rooms. The development of Hudson Yards will create more than 23,000 construction jobs.
Most of we New Yorkers assume that our city is probably the most expensive place in the world. However, with respect to office space, this is not the case. New York is actually the fourth most expensive city in the world. On a worldwide basis, ahead of New York, are Hong Kong, London, and Beijing. Not surprisingly, New York retains the title of “Most Expensive City in the United States.”
There are many factors that affect the comparative rate for office rents worldwide. For example, each city has costs on top of the base rent.
When I first started in the commercial real estate business, there was a very simple maxim: ask the CEO where he or she lived, and find a property that offered a convenient commute. However, my experience in the business has shown it’s rarely that simple. When companies look for space, they have a lot of conflicting criteria that they use in order to evaluate different NYC locations. For example:
- How is the subway access?
- Are there good restaurants and stores nearby?
- Is the vicinity very crowded?
- Can you get a taxi conveniently?
- Is there parking available?