NYC Buildings in Contract:

• Murray Hill Properties and Blackacre Capital are in contract to purchase a 100-year long lease for the Sports Illustrated Building at 135 West 50th Street for $143 million.

NYC Buildings for sale:

• Donald J. Trump is exploring selling the 1.3 million square feet 40 Wall Street building, which is on a ground lease from a German family. The deal is expected to fetch between $300 and 400 a foot.
• 222 East 41st Street, a 372,000 square foot building, is coming to market and sits on a ground lease from Stahl properties.
• 717 Fifth Avenue, a 450,570 square foot tower, and one of the top office buildings in the city, is for sale.

NYC NOTABLE LEASES:

• Ecko Unlimited leased 275,000 square feet on five floors spreading over two adjoining buildings at 28 & 40 West 23rd Street. Ecko is consolidating its current six locations in the garment district and its original New Jersey space.
• John Jay College leased 60,000 square feet for classrooms, at 854 Tenth Avenue.

NEW YORK CITY BUILDINGS SOLD:

• 80 Broad Street, a 36-story 400,000 square foot office building, was purchased by Swig Burris Equities, and Broadway Management.
• A 75% interest in One Park Avenue, a 913,000 square foot Class A office building built in 1925, was acquired by Credit Suisse First Boston LLC. The acquisition was based on a total capitalization of approximately $318.5 million, or $344 per square foot. The cash NOI cap rate based on the total capitalization is 6.4%.
• 750 Third Avenue was sold for $255 million and 485 Lexington Avenue was sold for $255 million by SL Green Realty Corp. The two buildings comprise more than 1.7 million square feet.

MANHATTAN NEW CONSTRUCTION:

• 140 West 42nd Street, a new 23-story tower at 143,000 square feet glass-sheathed tower, with floor sizes from 9,000 square feet to the 5,000 square foot highest floors, has been announced.
• Milstein's project for the southeast corner of Eighth Avenue and 42nd Street will likely be a commercial/residential mix, with 450,000 square feet of apartments in an "80/20 project" and the project will be out of the ground by year’s end.

New York City Office Market Highlights:

• Total Class A vacancies increased from 23.00 million RSF to 23.23 million RSF, while Total Market vacancies decreased from 39.90 million RSF to 39.05 million RSF.
• Total Direct Lease availability decreased from 31.35 million RSF to 30.48 million RSF, while Total Sublease vacancies increased from 8.54 million RSF to 8.57 million RSF.
• Midtown availability increased from 21.81 million RSF to 21.86 million RSF, while Midtown South availability decreased from 7.37 million to 6.92 million RSF. Total Downtown Vacancy rates decreased as well from 10.72 million RSF to 10.27 million RSF.
• Total Vacant space in Midtown increased even though Total Direct Lease space availability decreased from 16.58 million RSF to 16.44 million RSF. Total Sublease availability increased from 5.23 million RSF to 5.42 million RSF.
• Midtown South Direct Lease availability fell to 5.79 million RSF from 6.21 million RSF, and Sublease vacancies decreased slightly as well from 1.16 million RSF to 1.14 million RSF. Total Downtown vacancies decreased as Direct Lease space decreased from 8.56 million RSF to 8.25 million RSF, while Sublease availability decreased from 2.16 million RSF to 2.02 million RSF.

New York City Retail Market Highlights:

• Total Retail availability increased from 0.52 million RSF to 0.56 million RSF. Downtown Vacancy remains the same at 0.04 million RSF.
• Midtown Vacancy rates decreased from 0.23 million RSF to 0.22 million RSF.
• Total Midtown South Vacancy rates increased from 0.25 million RSF to 0.30 million RSF.

New York City Industrial Market Highlights:

• Total Industrial Vacant space decreased to 0.80 million RSF from 0.86 million RSF due to a decrease in Total vacancies in Midtown from 0.50 million RSF to 0.41 million RSF.
• Total vacancies in Downtown increased to 0.02 million RSF from 0.01 million RSF.Total vacancies in Midtown South increased to 0.43 million RSF from 0.42 million RSF.

Legend

RSF-Rentable Square Feet SF- Square Feet

July 2004 Graphs and Statistics