Long Island Office Market
The first quarter of 2024 recorded a net absorption of 262,329 square feet, the highest since the fourth quarter of 2021. This coincides with a decrease in total vacancy rate as strong quarterly leasing drove it down to 12.2%. Total available space decreased 296,224 square feet during the first quarter of 2024. This was driven by available direct space falling 304,555 square feet.. In the first quarter of 2024, the average asking rent decreased 4.9% year-over-year to $28.83. Despite this decline, asking rents are still 7.1% higher than the long-term average of $26.92.The first quarter saw the largest spread over the last four years between sublet and direct lease rates. This is due to sublease rates climbing 12.3% from the last quarter to a record high of $40.02.
Long Island Industrial Market
Long Island total vacancy increased to 4.6% in the first quarter of 2024, largely driven by a delivery of four properties totaling 568,679 square feet. In the first quarter of 2024, demand for industrial space rose 17.7% from the previous quarter, recording 1.0 million square feet of activity. At $16.90, average asking rents remain elevated during the first quarter of 2024.
Download Long Island Industrial Market Report 1Q24