Manhattan tech/media companies grow up and out
April 13, 2012
By: Ilaina Jonas
... The start-ups are growing up. They need more space, more privacy and offices located near their larger business partners. Maturity has sent many to Midtown, Manhattan's largest office market and home to the traditional office towers most people think of when they picture the New York borough.
These companies could provide support for rents that have taken a hit from a pullback by financial tenants and give new life to some aging buildings that banks wouldn't touch.
"This will help New York because it broadens the base of tenants that are living here," said Nick Farmakis, corporate managing director for tenant representative Studley. "Will it replace finance as the engine of Manhattan? Maybe one day, but it's far down the road if it happens." ...
... "You've got a lot of tenants all chasing the same handful of buildings in Midtown South," Studley's Farmakis said. "There's not going to be enough space for them down there at the right price. These tenants will start to migrate to Midtown and the Downtown financial district, absolutely."
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