Our Retail Advisory Group reports a noticeable increase in retail tenant interest and competition for space. This tenant interest has led to an increase in asking rents and activity in Manhattan, particularly for space in major retail corridors, such as those highlighted in our report.
The asking rent for all available space in Manhattan increased 4 percent to $118 psf since spring 2010. Similarly, the Midtown and the East Side neighborhoods saw the average asking rent for all available space increase 10 percent to $149 and 9 percent to $180 since the spring of this year.
However, beyond the popular and well-known shopping corridors highlighted in our report, our group points out that vacancies persist and rents have remained flat in many smaller, local shopping areas.