New York, NY

Nonprofit groups, forgoing midtown spaces because of the more expensive rents, are finding opportunities in the weak leasing market in lower Manhattan. In the past two weeks, two nonprofits have leased a total of nearly 95,000 square feet downtown.

"Not-for-profits are going downtown because it is affordable,'' says David Lebenstein, co-director of the nonprofit division at Colliers ABR, along with Arlene Wysong.

The Professional Staff Congress, the union representing faculty at the City University of New York, has signed a 16-year lease for 25,500 square feet at 61 Broadway, between Exchange Alley and Rector Street. The group, which is relocating from smaller offices at 28 W. 44th Street, is also gaining a union hall for meetings. Asking rents in the building range from $29 to $32 a square foot.

"The best thing is, their new offices will cost them about the same amount they are spending now on rent," says Mr. Lebenstein, whose firm represented the union. Landlord Broadstreet Developers represented itself.

Meanwhile, the Medical and Health Research Association of New York City has signed a 16-year lease for 69,000 square feet at 40 Worth Street, between Church Street and West Broadway.  Asking rents at the property are $28 per square foot.  Newmark represents 40 Worth Street.

The association, one of the city's largest nonprofits, already has roughly 16,000 square feet at 40 Worth Street and is vacating space at 99 Hudson Street in order to consolidate.  The MHRA, which manages research projects about low-income New Yorkers, wants to be within walking distance of the Department of Health and Mental Hygiene at 125 Worth Street.

About Colliers International

Colliers International is a global partnership of independently owned commercial real estate firms. The organization's 9,141 employees span the world in approximately 250 offices in 51 countries. On a worldwide basis, Colliers manages 660,620,752 square feet, and has revenue of $US 1,174,664,792. For more information about Colliers International, visit our website at www.colliers.com.

Contact Information

David Lebenstein
212-758-0800

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