According to data from CBRE, the amount of space tenants are trying to unload at the moment is less than the year prior.
Right now, 11.2 million square feet available makes up only 22% of Manhattan’s total available space, which is around half of the amount in the months following the 2008 Wall Street crash.
In an earlier report, CBRE found that sublease availability fell in May to 234,000 square feet from April’s 340,000 square feet. In fact, two large sublease offerings amounting to nearly 314,000 square feet indicates that this will continue to be a trend in the near future.
Reports have suggested that major companies such as Netflix, Invesco and Mutual of America are all exploring new sublease offerings.
Additionally, flexible office provider Knotel is reportedly in talks to give up space at several of its Manhattan locations. According to Nicole LaRusso, Tri-State Research Director at CBRE, about one-third of the 1.2 million square feet to come to the sublease market are for flexible workspace tenancies.