As Hudson Yards/Manhattan West takes shape, more and more traditional Midtown tenants have committed to the new and renovated quality spaces on the Far West Side, according to JLL Research. The westward trend continues as two more relocations from Midtown were reported in August: Business services firm EY (formerly known as Ernst & Young) and pharmaceuticals giant Pfizer announced their future plans at 1 Manhattan West and The Spiral, respectively.
In addition, global professional services giant Accenture recently announced it would consolidate its New York offices, including its primary locations at 1345 and 155 Avenue of the Americas, into 250,000 square feet at the top of 1 Manhattan West. The company’s decision underscores the accelerated momentum developers of the two biggest projects on the far West Side have experienced in the last year, as a number of firms opt for new office construction over Manhattan’s older Midtown skyscrapers (betting new space will bolster efforts to retain current employees and attract new recruits), writes Keiko Morris in Morningstar.
Of the westward relocations, 44 percent will be relocating from the Plaza District alone, and 92 percent of the relocations will be from Midtown (charts do not reflect the pending EY and Pfizer deals).
The numbers also show that it is not just TAMI (Technology, Advertising, Media and Information) firms who are drawn to the innovative and efficient product on the West Side. FIRE (Finance, Insurance and Real Estate), legal and business services, as well as pharmaceuticals firms, are all making moves to Hudson Yards/Manhattan West.