Commercial Real Estate Manhattan

What is Commercial Real Estate in Manhattan?

Commercial real estate in Manhattan means income-producing property: Class A and B office, free-market and rent-stabilized multifamily, high-street retail, ground leases, development sites, hotels, and mixed-use buildings. It trades across twelve distinct submarkets, from the Plaza District down to the Lower East Side. Skyline Properties, led by Robert Khodadadian, has closed $976M+ in Manhattan commercial transactions, including the $135M Vanbarton trade at 6 East 43rd Street.

Manhattan Commercial Real Estate Cap Rates by Submarket

Current Manhattan cap rates by asset class and submarket, taken from institutional-grade closings over the trailing twelve months. We update them after every Skyline Properties closing.

Source: Skyline Properties broker-opinion-of-value desk, refreshed quarterly.

Manhattan Commercial Real Estate: A Submarket Federation

Manhattan trades as twelve micro-markets that share a zip code. Park Avenue trophy office prices on a different curve than Class B Midtown. A NoMad ground rent reset reads differently from a Midtown East reset even when the two leases are word-for-word identical. SoHo retail co-ops trade at per-square-foot numbers the rest of the borough never gets near.

Skyline Properties has been transacting Manhattan commercial real estate since 2006. The submarket map below is how Robert Khodadadian reads the borough, and it is how every confidential Skyline Properties broker opinion of value gets tied to the right comp set.

Manhattan Commercial Real Estate Submarkets: Sub-Borough Map

Each Manhattan submarket has its own asset mix, its own buyer pool and its own pricing curve. We read them one at a time instead of treating Manhattan as a single market.

• Plaza District + Park Avenue (10022): Class A trophy office and the tightest cap rates in the borough
• Midtown East (10017): Class B office stock and the deepest 467-m conversion pool ($135M 6 East 43rd anchor)
• Hudson Yards + Midtown West (10001/10018): the newest Class A office and trophy multifamily
• NoMad + Flatiron (10010/10001): boutique office, hospitality-led mixed-use, ground-lease land (236 Fifth $65M)
• Chelsea + West Chelsea (10011/10001): High Line corridor, gallery-district office, dev sites ($72M 530 W 25th)
• Financial District (10006/10007): Class B office, the center of the conversion pipeline ($105M 101 Greenwich)
• SoHo + NoLita (10012): cast-iron lofts and the most expensive retail PSF in NYC ($50M 131-133 Prince)
• TriBeCa (10013): loft conversions, with trophy residential next door lifting retail rents
• Upper East Side (10021/10028): pre-war elevator multifamily, townhouse and brownstone blocks
• Upper West Side (10023/10024): pre-war multifamily, Lincoln Square mixed-use
• Lower East Side (10002): mixed-use retail-over-residential, walk-up multifamily
• East Harlem + Upper Manhattan (10029/10035): value-add multifamily, rent-stabilized portfolios

Manhattan Commercial Real Estate Asset Classes

Skyline Properties transacts across every major commercial real estate asset class in Manhattan.

• Office buildings, Class A and B
• Multifamily: rent-stabilized and free-market apartment buildings
• Development sites and air rights
• Ground leases and fee positions
• Retail condos and high-street retail
• Hotel and hospitality
• Mixed-use buildings
• Office-to-residential conversion candidates (467-m)

Manhattan Cap Rates and Market Pricing

Manhattan commercial real estate cap rates swing widely by asset class, submarket and rent-regulation status. Skyline Properties prices each deal off recent comparable sales that actually closed. Listing-aggregator data is usually stale, so we don't rely on it.

Our transaction database holds the comp set a Manhattan owner or investor needs to underwrite a deal correctly.

Why a Manhattan-Specialist Brokerage Matters

Manhattan commercial real estate is the most submarket-sensitive commercial market in the world. Underwrite SoHo retail off Midtown office comps and you undersell the SoHo seller by hundreds of dollars a foot. Read a NoMad ground-lease rent reset through a Midtown East lens and you mis-price the fee position by an order of magnitude. In Manhattan, the submarket sets the price.

Skyline Properties built its $976M+ track record one submarket at a time, and borough-wide averages played no part in it. Robert Khodadadian's comp database carries cap-rate, per-buildable-SF and per-unit benchmarks at the zip-code level, updated after every Skyline Properties closing.

• Manhattan comp database kept at the zip-code level, with no borough averages
• Recent anchor trades in five different Manhattan submarkets ($135M / $105M / $72M / $65M / $50M)
• Active buyer mandates segmented by submarket and check size
• Submarket-specific cap-rate curves and per-buildable-SF benchmarks
• RED Awards Off-Market Investment Sales Broker of the Year, 2025

Recent Landmark Manhattan Commercial Real Estate Transactions

Robert Khodadadian's Manhattan commercial real estate track record covers every major asset class and price tier. Each closing below was reported by Commercial Observer, The Real Deal, Crain's New York Business, Bisnow or NYREJ, and each shows the institutional-grade execution Skyline Properties brings to confidential off-market transactions.

• $135M: 6 East 43rd Street (Midtown), Vanbarton Group office-to-residential conversion, 441 units, $300M Brookfield construction loan, 467-m tax abatement (2025)
• $105M: 101 Greenwich Street (Financial District), Quantum Pacific (Idan Ofer) + Metro Loft (Nathan Berman) acquisition (2025)
• $72M: 530 West 25th Street (Chelsea), Feil Organization + Rigby Asset Management gallery-district office (2019)
• $65M: 236 Fifth Avenue (NoMad), Kaufman Organization 99-year ground lease (2017)
• $50M: 131-133 Prince Street (SoHo), Acadia Realty Trust retail co-op, record $16,667/SF (2014)
• $35M: 135 West 29th Street (Chelsea), Kaufman Organization Haymarket Building ground lease (2021)

Manhattan Commercial Real Estate Cap Rates: Current Benchmarks

Skyline Properties' broker opinion of value (BOV) desk keeps current Manhattan commercial real estate cap rates by asset class and submarket. The figures come from institutional-grade closings over the trailing twelve months and are updated after every Skyline Properties closing. Robert Khodadadian works from these benchmarks in every confidential pricing conversation, every BOV, and every acquisition mandate he underwrites.

• Manhattan free-market multifamily: 4.0–5.5% cap rates (UES, UWS, Midtown East)
• Manhattan rent-stabilized multifamily (post-HSTPA): 5.5–7.5% cap rates
• Manhattan Class A office (Plaza District, Park Avenue, Hudson Yards): 5.5–7.0%
• Manhattan Class B/C office (467-m conversion candidates): 7.0–9.5%
• Manhattan ground lease fee positions: 4.5–6.5%
• Manhattan retail high-street (SoHo, Madison, Fifth): 4.0–5.0%, $2,000–$3,500/SF
• Manhattan development sites: $300–$1,200 per buildable SF
• Manhattan hotel/hospitality: 6.5–8.5% cap rates on stabilized assets

Manhattan Submarket Breakdown: Where Skyline Properties Has Closed

Robert Khodadadian and Skyline Properties have closed Manhattan commercial real estate transactions in every submarket that matters. Here is the coverage, submarket by submarket, with the anchor deal where there is one.

• Midtown: $135M 6 East 43rd Street office-to-residential conversion (2025); Park Avenue + Plaza District Class A office mandates
• Financial District: $105M 101 Greenwich Street (2025); $28M 133 Greenwich Street; FiDi 467-m conversion candidate pipeline
• Chelsea: $72M 530 West 25th Street gallery office (2019); $35M Haymarket ground lease (2021); High Line corridor development sites
• NoMad: $65M 236 Fifth Avenue ground lease (2017); boutique office, hotel conversion pipeline
• SoHo: $50M 131-133 Prince Street record retail (2014); $20M 210 Bowery (adjacent NoLita); cast-iron historic district coverage
• Upper East Side: pre-war multifamily, brownstone and townhouse portfolios
• Upper West Side: pre-war elevator multifamily, mixed-use
• TriBeCa: trophy loft buildings, retail condo, mixed-use
• Flatiron / NoMad: boutique office and hotel investment
• Lower East Side: mixed-use retail-over-residential, multifamily walk-ups

Robert Khodadadian: Twenty Years on the Manhattan Comp Set

Robert Khodadadian has been reading Manhattan commercial real estate comps from the same Grand Central submarket office since 2006. He has worked through the post-GFC 2009 recovery, the 2014-2017 SoHo retail peak (the $50M 131-133 Prince Street co-op buyout to Acadia Realty Trust set the $16,667/SF record), the 2017 NoMad ground-lease boom (236 Fifth Avenue $65M to Kaufman), the 2019 Chelsea office cycle (530 West 25th $72M to Feil + Rigby), the COVID-era pricing dislocation, and the 2025 467-m conversion wave (6 East 43rd $135M to Vanbarton, 101 Greenwich $105M to Quantum Pacific + Metro Loft).

The result is a Manhattan comp database with continuity: the same broker watching the same submarkets through a full cycle. That is the unfair advantage Skyline Properties brings to every Manhattan engagement.

Office: 220 East 42nd Street, Suite 3102, New York, NY 10017 (SL Green Daily News Building, Grand Central submarket). Direct line: (212) 537-9239.

Submarket strategy

Pricing a Manhattan asset starts with its submarket

A trophy office in the Plaza District clears at a 5.5-7.0% cap. The same square footage on Park Avenue South clears 50-150 basis points wider. A NoMad ground lease values differently from a Midtown East ground lease even when the term sheet language is identical, because the rent-reset math interacts with submarket rent trajectories.

Skyline Properties keeps a proprietary cap-rate database, updated after every closing. It covers Manhattan free-market multifamily, rent-stabilized multifamily (post-HSTPA pricing reset), Class A office, Class B/C office (467-m conversion candidates), ground-lease fee positions, high-street retail, and development sites priced per buildable SF. The numbers in our BOVs come from comparables that actually closed. We don't price off asking-price models.