Some variation across the city is evident in CRBE’s reporting across the board; landlords are open to negotiations more than ever before, with retail real estate deals closing for 14% less than the asking rent on average.
Generous concessions by landlords previously unthinkable before the pandemic include tenant improvement allowances and free rent periods. While this might not be favorable to landlords immediately, the rewards will come from more retailers signing long-term leases. It’s a win-win for the landlord and tenant.
The future looks brighter for the NYC, Long Island, and Tri-State area, with indicators showing an upswing in the commercial real estate markets and beyond.