Rents Plunge On Madison Avenue

Rents on the famous retail corridor have dropped 30% to $829 a square foot this year. Jewelry stores and banks that were previously able to afford rents close to $1,100 a square foot are disappearing. Brokers say upper Madison Avenue rents now fetch as little as $500 a square foot.

In addition, asking rents fell more than 20% to $574 a square foot during the last six months along The Fifth Avenue shopping corridor between 42nd and 49th streets.

As recently as last year, retail brokers believed those midtown blocks would begin to fill with upscale retailers, yet the vacancies left by liquidated retailers such as Circuit City have caused problems for the area.