JLL’s technology report “Cracking the hardest code: Where to find tech talent?” is an interesting and thought-provoking piece. Given the growing concentration of talent in software development and computer programming in tertiary markets like Albany, NY and Columbus, OH (among other surprising locations), will technology companies continue to pay sky-high office rents in Manhattan?
Ponder this: according to JLL Research, TAMI industry office-using employment, largely driven by technology companies, has increased by nearly 29% since 2007 resulting in asking rents that have doubled since 2009 in some submarkets favored by the tech sector—like the Gramercy Park submarket in Midtown South.
Will tech companies continue to flourish in Manhattan despite the high rent? Or will they follow the talent and create a new valley in a tertiary market? What do you think?