New York landlords appear to be going to great lengths to keep office tenants now that the economic crisis is in full swing. Vornado Realty Trust, a New York-based real estate investment trust, was so concerned that one tenant would move out of a floor it occupied in the 57-floor One Penn Plaza building that it offered 10 free months rent, The New York Observer reported Feb. 3.
This happened back in September, the same month Lehman Brothers filed for bankruptcy. I imagine that the deteriorating economy has made landlords even more accommodating to keep tenants from moving to less expensive buildings in Brooklyn and New Jersey.
BusinessWeek editors Chris Palmeri, Prashant Gopal and Peter Coy chronicle the highs and lows of the housing and mortgage markets on their Hot Property blog. In print and online, the Hot Property team first wrote about the potential downside of lenders pushing riskier, "option ARM" mortgages and the rise in mortgage fraud back in 2005—well ahead of many other media outlets. In 2008, Hot Property bloggers finished #1 in a ranking of the world's top 100 "most powerful property people" by the British real estate website Global edge. Hot Property was named among the 25 most influential real estate blogs of 2007 by Inman News.