Emmanuel Dunand/Agence France-Presse — Getty Images
A businessman made his way Monday into One New York Plaza in Manhattan's financial district, where the cleanup from Hurricane Sandy was still underway.
More than two weeks after Hurricane Sandy came ashore in Manhattan, sending an 11-foot surge of seawater over much of the southern tip of the island, the financial district is still in tatters.
Dozens of office buildings that were flooded by the storm still lack power and are off-limits to tenants, and many streets are a chaotic mess of generators, work crews and pumps.
Still trying to gauge the extent of the damage, many landlords have been vague about when their buildings will reopen. And some tenants, who have been uprooted to tiny conference rooms in New Jersey or industrial spaces in Brooklyn, are weighing whether to come back to the neighborhood at all.
But despite the uncertainty and destruction, many analysts don’t expect the bulk of tenants to pack up and leave for good, nor do they think that future tenants will rule out the neighborhood over fears they might get flooded.
“I don’t think it will become an overriding factor in the location decision,” said John Wheeler, the head downtown broker for Jones Lang LaSalle, echoing other top brokers. “I guess time will tell if I’m being too sanguine about this.”Brokers add that the neighborhood remains a compelling place to locate a business. Even with some train lines hampered by storm damage, it is still amply served by mass transit, with more than a dozen subway lines and ferry service. The new apartments and condos built in recent years, along with new boutiques and restaurants, also mean that many people can now live a few blocks from their office.
Besides, rents are notably competitive with other business districts in Manhattan, at about $40 a square foot in the financial district, compared with $65 in midtown, according to Cassidy Turley, the brokerage, though the downtown figure is expected to climb when the two new World Trade Center buildings come online.
Complicating the prognosis about the neighborhood’s long-term health is the fact that getting an exact handle on the extent of damage has been tricky. Many major landlords have been reluctant to respond to even basic questions about the status of their buildings. And many brokers have refused to discuss individual properties.
And while the city’s Buildings Department declared early last week that nine downtown buildings were completely off-limits, and another 445 were partially habitable, it did not differentiate between commercial and residential structures.
Jones Lang LaSalle has been one of the few brokerages to tackle the issue. It concluded that a hefty 20 percent of all the major office buildings below Canal Street are closed, or 37 out of 183, according to data compiled as of Monday. And those shuttered buildings, most of which are east of Broadway, represent 29.2 million square feet of space, the data shows.
Anecdotal evidence, too, suggests the damage has been severe. Late last week, the Water Street corridor, which runs along the East River, appeared alarmingly hard-hit.
Men in white hazmat outfits pushed garbage bins on streets, which rumbled with the sounds of generators. Several traffic lights were still dark. Clumps of yellow hoses snaked up escalators and through lobbies. And security guards, protecting against looters, were more numerous than people wearing suits.
Among the buildings confirmed closed were: 99 Wall Street, 199 Water Street, One Wall Street Plaza and 180 Maiden Lane. Others that appear to be closed include 55 Water Street, 85 Broad Street, 7 Hanover Square and 10 Hanover Square, among others. Four New York Plaza, where The Daily News is based, could be closed for a year, though One New York Plaza, whose basement shopping center took on 30 feet of water, should reopen in two weeks, according to a spokeswoman for the building’s landlord, Brookfield Office Properties.
Going forward, some tenants are concerned that floods will become a regular occurrence; after all, just 15 months ago, the city was soaked by Tropical Storm Irene. These tenants say their fears were confirmed by comments that Gov. Andrew M. Cuomo made after Hurricane Sandy about how destructive weather events are likely to recur.
“He was like, ‘If you don’t believe in global warming, wake up and see what’s happening here,’ and he was right,” said Andrea Katz, a development director for WBAI, the public radio station, which has a 10,000-square-foot space at 120 Wall Street. The lower floors of the Art Deco building, which is at South Street and owned by Silverstein Properties, were flooded by Hurricane Sandy.
Square Feet: A Wounded Wall Street Is Expected to Stay Put
This article
Square Feet: A Wounded Wall Street Is Expected to Stay Put
can be opened in url
http://newsjacket.blogspot.com/2012/11/square-feet-wounded-wall-street-is.html
Square Feet: A Wounded Wall Street Is Expected to Stay Put
