Doomsday Scenario: Class A Vacancies Could Spiral to 33.6 Million Square Feet

While not really a doomsday scenario, it’s certainly close to a worst-case scenario. The potential amount of vacant space by year-end 2013 for the Class A segment of the Manhattan office market could climb from the current 24,478,576 square feet to 33,624,296 square feet.

This would cause the Class A vacancy rate to jump 340 basis points, from 9.9 percent to 13.3 percent—which would be the highest rate since December 1996. A quick aside to tell you how our vacancy rate is calculated: we include anything currently vacant or that will be vacant up to six months from the current date (each firm calculates it a bit differently, meaning you will see varying figures across myriad reports).
Read More

Doomsday Scenario: Class A Vacancies Could Spiral to 33.6 Million Square Feet