As a result, major employers like Condé Nast and JPMorgan Chase have given up large office space, which has helped make nearly 19 percent of Manhattan offices available for rent, almost double the previous average, according to Newmark, a real estate services company. Decade.
About 28 percent of office workers in the New York City area, which includes parts of New Jersey, Connecticut, and Pennsylvania, returned to the office last week, more than twice as many as a few months ago, according to Kastle Systems. a security company that tracks employee card swipes in office buildings. The national average is 33.6 percent, said Kastle.
Kate Lister, president of Global Workplace Analytics, a consulting firm that advises companies on their return to the office, said hybrid work will remain an integral part of work culture even after the pandemic.
The office space won't go away, but Ms. Lister added, "The total space will go down."
Still, elected officials in New York tried to use Google's announcement as a sign of the city's recovery.
"This announcement from Google is further evidence that the New York economy is recovering and rebuilding," said Democrat Kathy Hochul in a statement. "We're creating jobs, investing in emerging industries, picking up New Yorkers and writing our comeback story together."
Mayor Bill de Blasio called the deal "a historic investment in New York City". The transaction was first reported by the Wall Street Journal.
When the St. John’s Building opens after construction is completed in mid-2023, Google will have more than 3.1 million square feet of office space in New York, making it one of the largest tenants in the city.
