Quarterly leasing activity totaled 11,000 sq. ft. during Q2 2020, a 99% decrease from Q1 and 97% below the five-year quarterly average.
Brooklyn realized 680,000 sq. ft. of negative absorption during Q2, increasing the availability rate by 140 basis points (bps) to 21.5%.
Brooklyn’s average asking rent was $46.94 per sq. ft., up 3% from Q1 and up 8% from one year ago.
The Brooklyn construction pipeline remains robust with 2.08 million sq. ft. of projects currently under-way, although the previous moratorium on non-essential construction could delay the delivery dates for these projects.
New York State has extended leasing and relocation incentive programs for an additional three to five years. These programs have been a key contributor in drawing new tenants to the Brooklyn market.