New York ($102/sqft, 17.4% vacancy) and Tokyo ($113/sqft, 4.6% vacancy) compete on different axes: New York on talent depth and Tokyo on rent and tax.
New York ($102/sqft, 17.4% vacancy) and Tokyo ($113/sqft, 4.6% vacancy) compete on different axes: New York on talent depth and Tokyo on rent and tax.
| Metric | New York | Tokyo |
|---|---|---|
| Region | Americas | APAC |
| Country | United States | Japan |
| Class A rent (USD/sqft/yr) | $102 | $113 |
| Class A rent (local) | 102 USD | 50000 JPY |
| Vacancy | 17.4% | 4.6% |
| Trend | rising | rising |
| Prime yield | 5.6% | 3% |
| Premium flex / seat / month (USD) | $1,450 | $980 |
| Submarkets covered | 7 | 6 |
| Corporate tax | 27.5% | 30.6% |
| Metric | New York | Tokyo |
|---|---|---|
| Typical term | 10 yrs | 5 yrs |
| Typical rent-free | 14 mos | 4 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. | Tokyo leases are typically 5-7 years with a 2-year tenant notice. Standard leases are 'fixed-term' (teiki shakuya) or 'ordinary' (futsu shakuya) — fixed-term is increasingly common for Grade A. Rent is base + common-area maintenance billed separately. Restoration to original (genjo kaifuku) is contractual and significant. Personal seal (jitsuin) requirements apply. |
| 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. | Effective corporate tax rate 30.6% (national + local). Tokyo Metropolitan corporate inhabitant tax adds a meaningful local component. |
| Metric | New York | Tokyo |
|---|---|---|
| Talent index (0–100) | 100 | 84 |
| 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). | The largest single-language white-collar talent pool in the world. Average all-in compensation for senior knowledge workers indexes 84 vs. New York's 100, though English-fluent bilingual talent commands a premium. |
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.
Tokyo: JR Yamanote loop plus 13 metro lines connect every Class A address. Shinkansen termini at Tokyo, Shinagawa, and Ueno support inter-city corporate networks.
New York is the cheaper Class A market on a USD basis.
New York has the deeper talent index (100/100 vs 84/100).
New York has the lower headline corporate tax (27.5% vs 30.6%). Local incentives can change the effective rate materially.
New York typical term is 10 years with 14 months free; Tokyo runs 5 years with 4 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. Tokyo: JR Yamanote loop plus 13 metro lines connect every Class A address. Shinkansen termini at Tokyo, Shinagawa, and Ueno support inter-city corporate networks.
Score New York, Tokyo 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.