Office leasing in Manhattan has become a key driver of the national office rebound. For the first time since 2019, tenants are taking more space than they are giving back.
National net absorption turned positive in the final months of last year. Net absorption measures the difference between move-ins and move-outs.
According to a recent report, U.S. tenants leased approximately 12.5 million square feet more than they vacated in 2025. That marked the first full year of positive absorption since the pandemic.
The improvement comes as research from CoStar suggests office vacancy may have peaked. Stabilizing demand signals a turning point for major gateway markets.
Manhattan has led the East Coast recovery. Strong leasing momentum in high-quality buildings continues to support pricing and occupancy trends.
Markets nationwide are benefiting from stricter return-to-office mandates. Companies also have clearer long-term real estate strategies than in prior years.
For New York landlords and investors, the data reinforces improving fundamentals. While challenges remain, leasing velocity is strengthening in core urban markets.
The shift suggests Manhattan is once again setting the tone for the national office cycle.
About CORFAC International – New York
CORFAC International – New York, an extension of CORFAC International delivers over 90 years of Expertise for Commercial Real Estate in the Greater NY Metro Area. Comprised of a partnership of WCRE & Chilmark Real Estate Services, CORFAC International – New York provides practical guidance, analyzes crucial transaction details for optimal workspaces and deals, by leveraging market knowledge to drive client success. As committed advocates, we deliver measurable results, serving global clients with expert advisory and property management. We match your dedication with proven expertise.
