The limited impact of the virus on New York City office construction means that we now expect at least 10mn sq. ft. of office space to be added across 2022-23. This could cause the vacancy rate to climb by 400-500 bps in the next three years. As a result, we are downgrading our rent forecasts for the city and expect asking and net effective rents to fall by 9% and 11% respectively by the end of 2023. WEBINAR INVITE: To mark the upcoming launch of The Long Run, our dedicated long-term service, we’re holding a special webinar on 11th February to discuss how we see economies and markets performing out to 2050. Complimentary registration here for either of two sessions.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services