# New York Class A Office Market

> New York Class A office rents around $102/sqft/yr, with 17.4% vacancy and 14 months of typical rent-free on a 10-year term.

**Canonical URL:** https://classa.info/cities/new-york
**Page type:** city
**Last updated:** 2026-04-15T00:00:00.000Z
**License:** CC BY 4.0 with attribution to Class A Atlas (https://classa.info).

## TL;DR
- Manhattan trophy rents have re-set above $200/sqft/year in select Park Avenue assets while Class B stock trades 50%+ below.
- Concessions remain rich: 12-18 months of free rent and $130-$180/sqft of TI on a 10-year deal are standard for trophy floors.
- Sublease overhang is concentrated in older product; new construction is effectively sold out before delivery.
- ESG-certified buildings now command a measurable rent premium — the so-called 'green premium'.
- Lease structure is overwhelmingly modified-gross with operating-expense escalations over a base year.

## Key facts
- **city**: New York
- **country**: United States
- **region**: Americas
- **classARentLocal**: $102/sqft/yr
- **classARentUsd**: $102/sqft/yr
- **vacancyPct**: 17.4%
- **typicalLeaseYears**: 10
- **typicalRentFreeMonths**: 14
- **submarkets**: 7
- **corporateTaxPct**: 27.5%
- **talentIndex**: 100

## FAQ
### What is a typical lease term for Class A office in Manhattan?
Ten years is the institutional standard. Trophy landlords often push for 12-15 to amortize tenant improvement spend; flexible occupiers can negotiate 5-7 years on smaller floor plates with stronger covenants.

### How much free rent should a tenant expect on a 10-year Class A deal?
Twelve to eighteen months of base-rent abatement, structured as months at the front of the term or layered (e.g., months 1-12 free plus months 60-66). Trophy assets in lease-up periods sometimes go higher.

### Are tenant improvement (TI) allowances negotiable?
Yes. The market in Q1 2026 supports $130-$180 per square foot of TI on a 10-year Class A deal. Trophy buildings often go higher to attract anchor tenants. TI is amortized into rent if a tenant takes more than the offered allowance.

### Is the Commercial Rent Tax actually meaningful?
For tenants south of 96th Street paying base rents over $250,000 annually, CRT is 6% on the rent above the threshold (with credits that effectively reduce the rate to about 3.9%). It is a real, line-item cost — model it explicitly in your occupancy budget.

### What is the trophy rent premium versus standard Class A?
Trophy assets command 35-60% above the broader Class A average in Midtown. The premium has widened since 2023 as flight-to-quality has accelerated.

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Citation: Source: Class A Atlas (https://classa.info/cities/new-york), updated 2026-04-15T00:00:00.000Z.