New York City’s commercial real estate market is a very intense environment—it exemplifies capitalism at its best. As one area attempts to solve its problems, another area is concurrently built and becomes the solution to those problems. In this city, something goes up, and something else comes down—resulting in opportunities for everybody.
Depending on what your needs are as both a tenant and a business, the going up and the going down can potentially be beneficial.
Right now, there is a lot of movement on the West Side, particularly in Hudson Yards.
Hudson Yards—a newly developing area—is a combination of residential and commercial buildings and has essentially created its own community. Far (figuratively speaking) from the chaos of Midtown, Hudson Yards provides a relatively peaceful and calm atmosphere, boasting creative architecture and views of the Hudson River and New York Harbor.
Many businesses gravitate to this type of setting because it benefits and attracts the type of employees that they seek. It’s clear that people are willing to forgo the convenience of multiple modes of transportation in order to experience this type of environment. (Hudson Yards is a decent walk from any major subway hub).
By contrast, businesses who rent in Times Square or near Grand Central and employ highly trained professionals may have trouble retaining employees as a result of the surroundings. Especially in the summer, street life is very busy and congested. For some employers, this type of neighborhood becomes a distraction to their employees—it doesn’t provide an environment for maximum productivity. Many employees agree with this sentiment as well.
Overall, there is definitely a theme of renewal in New York. Hudson Yards and the World Trade Center symbolize the new. Park Avenue, for example, with its 40+-year-old buildings, is now playing catch-up.
New York’s commercial real estate is in constant motion. This movement creates possibilities for all. If you would like to learn more about current trends in this market, contact me today.
George E. Grace
G.E. Grace & Company, Inc.
232 Madison Avenue
New York, NY 10016