Conduct AI Takes 7K SF at Capstone’s 140 Crosby Street for First U.S. Office
Why this matters
Office continues to trade in two distinct markets: trophy assets in walkable submarkets that are leasing at or near record rents, and commodity Class B and C buildings where the basis is still resetting. Underwriting on the latter has moved toward replacement-cost-minus, with credit underwriting now leaning on tenant covenant and remaining lease term rather than mark-to-market expectations. New York continues to bifurcate sharply: trophy office leasing at record rents, commodity Class B in conversion discussions or court-supervised processes. Rent-stabilized multifamily remains supply-constrained and tightly held. For LP-positioned capital, the read-through is that the bifurcation is now a structural feature of the sector, not a cycle to wait out.
Editorial analysis · Real Estate Trail Editorial
On the RET wire
- The 260th New York story tracked on the wire in September 2026. All New York coverage →
- Disclosed office deal value tracked in September 2026: $14.7B across 78 reported transactions. All Office coverage →
Computed from Real Estate Trail’s own tracked coverage
A London-based artificial intelligence firm developing enterprise software is establishing its first U.S. office presence in Manhattan’s SoHo neighborhood, Commercial Observer has learned. The rapidly growing Conduct…
External link. Real Estate Trail does not republish source content.
Related coverage — New York · Office
Downtown Brooklyn's 1925 Office Tower Reborn as 71-Unit Condo at The Bowen
New York State Unified Court System Signs 16,000 SF Office Lease in Long Island
GARDEN CITY, N.Y. — The New York State Unified Court System has signed a 16,000-square-foot office lease in the Long Island community of Garden City. The space is located on the third floor of Garden City Center, a 20…
Milstein kicking the tires on refi for prime Manhattan office tower
New York Office Market Leaders On Talent Retention, Affordability and AI
The movers and shakers of New York City’s office market converged upon Rudin ’s 3 Times Square on Wednesday for Commercial Observer’s 2026 State of Office forum. Despite the competitive nature of their business, the g…
U.K. Media Company Future Relocates East Coast HQ to Thor’s 25 West 39th Street
British media and publishing company Future is relocating its office to a spot near Midtown Manhattan’s Bryant Park , Commercial Observer has learned. The publisher of Live Science , Marie Claire and Homes & Gardens s…
Sports Clothing Brand RBX Direct Signs 5K-SF Garment District Lease
An activewear brand has signed a lease for an office and showroom in Manhattan’s Garment District. RBX Direct took 4,800 square feet at Lal Sani ’s 102 West 38th Street , where asking rent was $35 per square foot, acc…