Rents Signal Rise of D.C., Fall Of NY
January 8, 2010
By Christina S.N. Lewis

The office market in Washington, D.C., is poised to topple New York as the nation's most expensive, reflecting the declining fortunes of the nation's financial center and the government expansion under way in the U.S. capital. ...

... By contrast, it's been a brutal year for New York landlords. "Rents have fallen faster and more furiously than in any other time in the last 30 years," said Mitchell Steir, chairman and chief executive of Studley, the tenant-brokerage firm. ...

... Tishman Speyer, one of the country's largest real-estate companies with about 51 million square feet in its U.S. office portfolio, slashed its rents in New York by 50% from 2007, an adjustment that brokers say happened marketwide. In December, the company signed roughly 1 million square feet of leases in New York, a firm record.

Nationwide, Tishman signed about 2.25 million square feet of leases in the first half of 2009. In the second half of the year, it signed more than double that amount, 4.8 million, according to co-CEO Rob Speyer.

Link to article.