A new report from CBRE shows that retail leasing in Manhattan was down 25 percent during the third quarter of 2017. With an uptake of 506,000 square feet, leasing and renewal activity fell from 673,000 square feet during the three months prior. Also according to the report, the number of ground-floor availabilities on Manhattan’s busiest shopping strips continues to decline from the peak registered earlier this year. There were 197 ground-floor retail spaces vacant during the third quarter on the 16 major retail corridors the brokerage tracks, falling for the second quarter from a peak of 212 spaces in the beginning of the year. The average asking price was also off, falling 13.4 percent year-over-year to $711 per square foot. “The retail market in Manhattan is still finding its new level,” CBRE research director Nicole LaRusso said. “The modest decline in the number of available spaces is a positive sign, though rents continue to decline.” LaRusso also noted that availability remains high, and a large portion of new deals, about 20 percent, are short-term leases of three years or fewer.
