NYC Office Condo Market Report — Second Half 2017
Semi-annual analysis of Manhattan office condominium sales and trends for the second half of 2017.
Download PDFMarket Overview
The Manhattan office condominium market comprises 99 buildings totaling approximately 10.9 million square feet. Midtown accounts for 6 million sqft, Midtown South 2.8 million sqft, and Downtown 2.1 million sqft. By class, Class A represents 3.4 million sqft, Class B 5.4 million sqft, and Class C 2.1 million sqft.
In H2 2017, 128,001 square feet traded across 22 sales in 19 buildings for a total of $104,988,477, at an average price of $820 per square foot and an average unit size of 5,818 sqft. Volume was consistent with H1 2017 but declined 64% compared to H2 2016 (359,082 sqft). Dollar value was 65% less than the H2 2016 record of $304,040,259 and below the 5-year average of $150,933,220. The average price of $820/sqft was slightly less than the record $875 set in H1 2017 but significantly higher than the 5-year average of $719. The 22 sales were less than half of the 46 recorded in H2 2016 and 12 fewer than the 5-year average.
By submarket: Midtown recorded 9 sales totaling 20,825 sqft for $19,519,949 at $937/sqft average. Midtown South had 3 sales totaling 16,521 sqft for $12,632,252 at $816/sqft. Downtown had 10 sales totaling 67,815 sqft for $53,066,619 at $783/sqft.
Availability stood at 730,331 sqft (6.7% rate) across 58 units in 31 buildings with an average asking price of $1,045/sqft. Midtown had 475,696 sqft available at $1,105/sqft, Midtown South 49,195 sqft at $943/sqft, and Downtown 205,440 sqft at $930/sqft.
Market Trends
Dollar Volume by Half Year
Total sales volume per period
Average Price per RSF
Volume-weighted avg vs median $/RSF
Office Condos Sold
Number of transactions per period
Sales by Submarket
Total volume by submarket (all time)
Available Inventory
Current listings by submarket
| Submarket | Buildings | Listings | Available RSF | Avg Ask/RSF |
|---|---|---|---|---|
| Midtown | 29 | 116 | 1,052,616 | $926 |
| Midtown South | 34 | 56 | 346,840 | $778 |
| Downtown | 22 | 78 | 351,106 | $1,002 |
| Total | 85 | 250 | 1,750,562 | $916 |
Five-Year Retrospective
By Rudder Property Group
Over the past five years, Manhattan office condominium values have increased 68% since H2 2012. By submarket, Midtown saw the greatest appreciation, rising 88% from $478/sqft to $900/sqft. Downtown values increased 64% from $478/sqft to $783/sqft, and Midtown South rose 44% from $532/sqft to $765/sqft.
Several notable case studies illustrate this trend. 40 Rector Street saw 126% appreciation over the period, 62 West 47th Street experienced 76% appreciation, and 99 Hudson Street recorded 58% appreciation. These gains reflect the sustained demand for office condominium ownership in Manhattan and the market's resilience through varying economic conditions.