Find a space that inspires creativity in your work.
Find a space that inspires creativity in your work.

The Tech Start-Up Boom in Midtown South

It recent years, technology start-ups have leased hundreds of thousands of square feet of vacant New York City office and loft space. These social media, web design, online gaming and Internet marketers have a strong preference for Chelsea, The Flatiron District, Madison Square and globally Midtown South. Now being well established, they have changed the identity of these neighborhoods, giving them a young and energetic vibe.

Strong Preference for Industrial Loft Space

Style being a key factor when they select a space, tech companies especially value former industrial buildings, properties which offer very desirable features: open ceilings, brick walls, large windows with an abundance of natural light as well as concrete or wood floors. These industrial chic spaces are conducive to the collaborative work environment that fits with the creative team members accustomed to working together in an informal but well structured environment.

The spatial needs of these tech businesses are specific. They typically include a reception area, conference rooms, open space for cubicles or private offices for staff, possibly a media room and dedicated server room. And of course a kitchenette and small dining area. Not to mention that the space has to offer plenty of well-located electrical outlets and access to high-speed Internet. The speed, capacity and cost of connectivity offered by a landlord in their building is no small matter.

Featured Listings

  • Loft Style Office with Industrial Chic in West 29th Street 231 W. 29th Street, Partial 4th Floor Loft Loft style space located just a short walk from Penn Station. Beautiful creative space with 11' ceiling height and polished concrete floors. The current is condition is a white box, but the landlord will build to suit. Perfect space for tech companies, PR or advertising agencies, architectural firms or any creative user seek open plan space with an industrial feel.   Office
    15400 231 W. 29th Street, Partial 4th Floor Loft
    231 West 29th Street New York NY 10001
  • Great Views of Union Square in Broadway 851 Broadway 2,750 Square Foot double corner space with views of Union Square Park. Currently, raw, ownership is planning to pre-build  with 2 conference rooms and a bullpen that will accommodate up to 22 cubicles. Management will install a new tenant controlled package HVAC unit. Existing concrete floors will be sanded and polyurethaned. Ownership seeking a 7-10 year lease commitment. A brand new building lobby has recently been installed. The property has been upgraded with new elevator cabs and building mechanicals. Office
    18333 851 Broadway
    851 Broadway New York NY 10003
  • Plug & Play Union Square Office in Park Avenue South 198 Park Avenue South Wonderful corner space. Great skyline views. Mix of offices and open areas. Tenant controlled HVAC. 11' ceiling height. Approximately 12 built in cubicles. Extensive use of glass. Very bright, cheerful, loft space. Great for any creative or office intensive use. Space currently vacant. Landlord is seeking a 5-10 year lease term. Modifications to existing space negotiable. This Midtown South office listing is in one of the neighborhoods most desirable buildings. Office
    19684 198 Park Avenue South
    198 Park Avenue South New York NY 10003
    • Penthouse Loft
    • 2,191 Sq. Ft.
    • $9,494 / month
    • Madison Avenue
    • Midtown / Grand Central
  • Penthouse Loft in Madison Avenue 273 Madison Avenue Full-floor penthouse office rental in upscale Madison Avenue office building. Currently white box space. Landlord will build to suit. Double corner space with oversized windows facing East, North, and South. Highly efficient layout with low loss factor. Possible to construct up to 5-6 offices, conference room plus a bullpen. Or this space would work well for any tenant (creative agency, Internet or computer programming firm) that requires a mostly open plan. Ownership will install central HVAC. This space is currently vacant. Ownership seeking is seeking a 5-7 year lease term. Electricity billed as submetered. Escalations are 3% plus tenant's proportionate share of any real estate tax increase. Lobby is attended 24/7.  This property is located near Grand Central Station. Office
    9494 273 Madison Avenue
    273 Madison Avenue New York NY 10016
  • Corner, White Glove Class A in Madison Avenue 203 Madison Avenue Bright corner with spectacular skyline views!! 2 windowed offices, conference room, wet pantry and open area. 750,000 Square Foot Class A skyscraper. Beautifully restored, 24/7 attended Art-Deco lobby. On site owner/management. Murray Hill, Madison Avenue. Near Empire State Building, Morgan Library. Short walk to Penn Station. Proximity to 3,4,5,6 subway lines, PATH Train. Office
    12810 203 Madison Avenue
    203 Madison Avenue New York NY 10016
  • Bright Corner, Move In Ready in Varick St. Commercial Office Rentals at 181 Varick Street Gorgeous Tribeca industrial style office space for lease a in former printing building on Varick Street. The space features polyurethaned concrete floors and, 12' ceilings. Exposures are South and East, with the space getting plenty of natural light and open views. Cooling is via tenant controlled HVAC, with high end rounded ductwork along the ceilings. Asking rent for this 2,267 Square Foot Hudson Square is $11,712/month. Additional charges are the cost of electricity plus  annual rent escalation (typically 3% plus tenant's proportionate share of real estate tax increase). Located in a top notch, 329,000 Square Foot, class B commercial building constructed in 1930. Management is on premises. The same group of owners have operated the building since the 1930s. Locate your business in young, hip and trendy Tribeca. This neighborhood enjoys all the advantages of SoHo but without the crowds. To learn more about leasing this space call Alan Rosinsky at (212) 447-5403.   Office
    11713 Commercial Office Rentals at 181 Varick Street
    180 Varick St. New York NY 10014

Leasing Challenges

Metro Manhattan has encountered key issues when negotiating office and loft leases on behalf of technology firms.

Keeping your Security Deposit to a Minimum
While many of these firms have strong balance sheets, young companies and start-ups often have not yet achieved profitability. In these circumstances, negotiating the minimum security deposit is a real challenge.

Planning for Expansion
Some of these tech firms take off quickly. They can quickly hire staff, outgrow their offices and quickly require expansion space. So it is essential, if possible, to negotiate an expansion option in the lease: that allows for a move to larger offices within the building. But since landlords do not always agree to an expansion option, the sublease clause in the lease is critical: it allows you to dispose of your space and move elsewhere.

A New Wave of Tech Firms On The Way

As we all know, Google (111 Eighth Avenue), Facebook (770 Broadway) and Twitter (249 W. 17th St) are tech industry icons that all have office space in Midtown South. Their presence has attracted hundreds of start-ups to the area.

Now innovative industries such as virtual currency (Bitcoin), bio-technology and 3D printing are spawning a 2nd wave of start-ups. And these revolutionary firms, which will change the face of the world, are competing to lease the best New York City office rentals.

When Should You Call Metro Manhattan Office Space?

Typically, technology start-ups rent their first space in an executive office suites. Since these shared environments offer very short leases, you don’t need to commit for more than a few months. Additionally and they are cost effective for a staff that does not exceed three individuals.

Once your company employs more personnel you are going to save money by renting space directly from a landlord. At that point give a call at (212) 447-5403.

Lease a Hip Industrial Space for Your Tech Start-Up

Metro Manhattan Office Space has extensive experience negotiating leases on behalf of Internet marketing, computer programming, social media and other technology firms. We have represented established companies as well as start-upsContact us here to learn more about the hippest office and loft space in Chelsea, The Flatiron District, Union Square and NoMad.

 

 

 

 

Last update