New York ($102/sqft, 17.4% vacancy) and Tel Aviv ($59/sqft, 12.4% vacancy) compete on different axes: New York on talent depth and Tel Aviv on rent and tax.
New York ($102/sqft, 17.4% vacancy) and Tel Aviv ($59/sqft, 12.4% vacancy) compete on different axes: New York on talent depth and Tel Aviv on rent and tax.
| Metric | New York | Tel Aviv |
|---|---|---|
| Region | Americas | EMEA |
| Country | United States | Israel |
| Class A rent (USD/sqft/yr) | $102 | $59 |
| Class A rent (local) | 102 USD | 220 ILS |
| Vacancy | 17.4% | 12.4% |
| Trend | rising | softening |
| Prime yield | 5.6% | 5.4% |
| Premium flex / seat / month (USD) | $1,450 | $880 |
| Submarkets covered | 7 | 5 |
| Corporate tax | 27.5% | 23% |
| Metric | New York | Tel Aviv |
|---|---|---|
| Typical term | 10 yrs | 5 yrs |
| Typical rent-free | 14 mos | 6 mos |
| Lease norms | 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. | Net leases. 5-7 year terms standard. Free rent of 4-9 months and TI of ILS 600-1,200/sqm typical on a 5-year deal. |
| Tax note | 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. | 23% Israeli corporate income tax. Approved Enterprise / Preferred Enterprise regimes provide reduced rates (7.5-16%) for qualifying R&D and high-tech activities. |
| Metric | New York | Tel Aviv |
|---|---|---|
| Talent index (0–100) | 100 | 90 |
| Talent note | 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). | Among the deepest tech, AI, cyber, and defense talent pools globally. Strong feed from Tel Aviv University, Technion, Hebrew University, and the IDF tech units (8200, Talpiot). English fluency is structural in tech. |
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.
Tel Aviv: Tel Aviv Light Rail Red Line (opened 2023), Israel Railways. Ben Gurion Airport (TLV) is rail-served. Tel Aviv Metro Lines 1, 2, 3 in planning. Bus network.
Tel Aviv is the cheaper Class A market on a USD basis.
New York has the deeper talent index (100/100 vs 90/100).
Tel Aviv has the lower headline corporate tax (23% vs 27.5%). Local incentives can change the effective rate materially.
New York typical term is 10 years with 14 months free; Tel Aviv runs 5 years with 6 months free.
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. Tel Aviv: Tel Aviv Light Rail Red Line (opened 2023), Israel Railways. Ben Gurion Airport (TLV) is rail-served. Tel Aviv Metro Lines 1, 2, 3 in planning. Bus network.
Score New York, Tel Aviv 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.