No need to proclaim the death knell for Midtown office, even though Midtown South and Downtown are getting all the attention. There's a healthy pool of tenants for which only Midtown proper will do.
Trading Group Spinoffs & Boutique Hedge Funds
Proprietary trading groups spun off from the major banks to avoid Volcker Rule conflicts of interest, says Savills Studley's Dan Posy, and these companies, some with as many as 30 employees, are looking for space. They prefer trading-ready sublease space so they can hire right away. Plus, like tech tenants, they have no projection of where their business will go and how many employees they'll need in, say, two years. Hedge funds also are picking up talent from the larger banks. And like trading group spinoffs, they want Class-A space, Dan tells us. Demand from these two groups has created a shortage of such space...Three Tenants That Prove Midtown Isn't Dead; ULI's Fall Meeting
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