Chicago ($52/sqft, 24.5% vacancy) and New York ($102/sqft, 17.4% vacancy) compete on different axes: Chicago on rent and tax and New York on talent depth.
Chicago ($52/sqft, 24.5% vacancy) and New York ($102/sqft, 17.4% vacancy) compete on different axes: Chicago on rent and tax and New York on talent depth.
| Metric | Chicago | New York |
|---|---|---|
| Region | Americas | Americas |
| Country | United States | United States |
| Class A rent (USD/sqft/yr) | $52 | $102 |
| Class A rent (local) | 52 USD | 102 USD |
| Vacancy | 24.5% | 17.4% |
| Trend | flat | rising |
| Prime yield | 7% | 5.6% |
| Premium flex / seat / month (USD) | $920 | $1,450 |
| Submarkets covered | 6 | 7 |
| Corporate tax | 28.5% | 27.5% |
| Metric | Chicago | New York |
|---|---|---|
| Typical term | 10 yrs | 10 yrs |
| Typical rent-free | 22 mos | 14 mos |
| Lease norms | Modified-gross with op-ex escalations over a base year. Rent-free 18-30 months and TI $120-$200/sqft on a 10-year term are current market. | Manhattan leases are predominantly modified-gross structures with operating-expense and real-estate-tax escalations over a base year. Free rent (12-18 months on a 10-year term) and fit-out-capex">tenant improvement allowances ($130-$180/sqft for high-spec build-outs) are core economic levers. Personal guarantees are uncommon at institutional tenant scale; Good Guy Guarantees remain standard for smaller suites. |
| Tax note | Combined federal + Illinois corporate tax effectively 28.5%. Cook County personal property lease transaction tax applies. | Combined federal + New York State + NYC corporate income tax effectively reaches 27.5% for most C-corps. New York City Commercial Rent Tax (CRT) applies to Manhattan tenants south of 96th Street paying base rents above $250,000. |
| Metric | Chicago | New York |
|---|---|---|
| Talent index (0–100) | 88 | 100 |
| Talent note | Deep professional-services, fintech, and trading talent pool. Average all-in compensation indexes 88 vs. New York. | Deepest white-collar talent pool in the Americas. Average all-in compensation for senior knowledge workers indexes 100 (the global baseline used elsewhere in this Atlas). |
Chicago: CTA L lines and Metra commuter rail. Union Station and Ogilvie anchor commuter rail; Loop Elevated lines circle the historic CBD.
New York: MTA subway lines, Metro-North, LIRR, and PATH converge on Midtown and the Financial District, anchored by Grand Central, Penn Station, and the Oculus. Class A landlords now factor commute time as part of their leasing pitch.
Chicago is the cheaper Class A market on a USD basis.
New York has the deeper talent index (100/100 vs 88/100).
New York has the lower headline corporate tax (27.5% vs 28.5%). Local incentives can change the effective rate materially.
Chicago typical term is 10 years with 22 months free; New York runs 10 years with 14 months free.
Chicago: CTA L lines and Metra commuter rail. Union Station and Ogilvie anchor commuter rail; Loop Elevated lines circle the historic CBD. New York: MTA subway lines, Metro-North, LIRR, and PATH converge on Midtown and the Financial District, anchored by Grand Central, Penn Station, and the Oculus. Class A landlords now factor commute time as part of their leasing pitch.
Score Chicago, New York and up to two more markets side-by-side on Class A rent, vacancy, talent, corporate tax, and premium flex pricing — all in USD.
Reviewed by Miriam Hollander — Lead market analyst. Last updated 2026-04-15. See our methodology and editorial standards.