Manhattan Buildings Sold:

• Plaza Hotel was sold to El-Ad Properties for $675 million sale last week. The new owners plan to upgrade the hotel and convert some of the high floors into condo apartments.
• SL Green Realty Corp. said it is buying the long-term leasehold interest in 625 Madison Avenue for $231.5 million or about $415 per square foot.
• 50 East 57th Street, an elegant, 7-story vacant building was sold for $14.25 million, more than twice what it last traded for in 1995. The buyer was the Swissotel Drake who feared a new buyer might build a building that would completely block views from the Drake's hotel north side.
• Sam Zell's REIT, Equity Residential, has bought 71 Broadway a luxury rental apartment building for $100 million or $400,000 per unit or around $550 a square foot.

NY Buildings For Sale:

• 1095 Sixth avenue is currently occupied by Verizon asking $300 million or about $250 per square foot.
• 200 and 1107 Fifth Avenue which total 1.2 million square feet are asking $300 million.

Noteworthy Leases:

• Thomson Financial signed a lease for an additional 150,000 square feet of space at its headquarters, located at 195 Broadway.
• Wachovia is optimistic that the 400,000 square feet they left behind at 199 Water Street will be leased. At present, 150,000 square feet have been rented at aggressive rents in the high $20s with cash allowances for construction as well as minimal free rent. Now 600,000 feet of former Prudential space at 1 NY Plaza, will be offered in January.

Manhattan Office Leases:

• Total Market vacancies decreased from 37.05 million RSF 36.97 million RSF and Total class A vacancies decreased from 22.31 to 21.84 million RSF.
• Total Market Vacancies decreased slightly to 36.97 million RSF, as Total Direct availability remained stable with 28.89 million RSF while Total Sublease Lease availability decreased slightly from 18.15 million RSF to 8.12 million RSF.
• Total Direct Lease availability saw a slight decrease from 28.89 million RSF to 28.87 million RSF, while Total Sublease vacancies decreased from 8.39 million RSF to 8.15 million RSF.
• Total market vacancy decreased from 37.05 million RSF to 36.97 million RSF, while total Midtown vacancy increased from 20.60 million RSF to 21.06 million RSF. Total Midtown South saw a slight decrease from 6.69 million RSF to 6.58 million RSF. Downtown vacancy decreased to 9.87 million RSF.
• Total midtown vacancy decreased from 20.96 million RSF to 20.60 million RSF. Total Direct Lease vacant space increased from 15.67 million RSF to 15.93 million RSF while total sublease vacant space decreased from 5.21 to 4.92 million RSF.
• Midtown South Direct Lease availability decreased from 5.57 million RSF to 5.34 million RSF. Total Sublease increased slightly from .98 million RSF to 1.00 million RSF.
• Total Downtown vacancies decreased to 9.67 million RSF. Total Direct space decreased from 7.65 million RSF to 7.59 million RSF, while Sublease increased slightly from 2.00 million RSF to 2.23 million RSF.

Manhattan Retail Leases:

• Total Retail availability decreased slightly to 0.41 million RSF. In Downtown, availability remained constant at 0.04 million RSF while Midtown availability saw a slight increase from 0.18 to 0.19 million RSF. Midtown South vacancy rates, however, dropped from 0.21 million RSF to 0.19 million RSF.

RSF-Rentable Square Feet
SF- Square Feet