New York ($102/sqft, 17.4% vacancy) and Toronto ($57/sqft, 17.6% vacancy) compete on different axes: New York on talent depth and Toronto on rent and tax.
New York ($102/sqft, 17.4% vacancy) and Toronto ($57/sqft, 17.6% vacancy) compete on different axes: New York on talent depth and Toronto on rent and tax.
| Metric | New York | Toronto |
|---|---|---|
| Region | Americas | Americas |
| Country | United States | Canada |
| Class A rent (USD/sqft/yr) | $102 | $57 |
| Class A rent (local) | 102 USD | 78 CAD |
| Vacancy | 17.4% | 17.6% |
| Trend | rising | flat |
| Prime yield | 5.6% | 5.5% |
| Premium flex / seat / month (USD) | $1,450 | $920 |
| Submarkets covered | 7 | 6 |
| Corporate tax | 27.5% | 26.5% |
| Metric | New York | Toronto |
|---|---|---|
| Typical term | 10 yrs | 10 yrs |
| Typical rent-free | 14 mos | 18 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 — tenant pays a base rent plus a proportional share of operating expenses, realty taxes, and utilities (TMI). Rent-free of 12-24 months on a 10-year term is current market. Bank guarantees common for non-investment-grade covenants. |
| 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. | Combined federal + Ontario corporate tax 26.5%. Toronto Municipal Land Transfer Tax applies on purchase, not on lease. |
| Metric | New York | Toronto |
|---|---|---|
| Talent index (0–100) | 100 | 80 |
| 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). | Deepest financial-services and tech talent pool in Canada. Average all-in compensation indexes 80. |
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.
Toronto: TTC subway plus GO Transit commuter rail converge at Union Station. The PATH connects most Financial Core assets underground.
Toronto is the cheaper Class A market on a USD basis.
New York has the deeper talent index (100/100 vs 80/100).
Toronto has the lower headline corporate tax (26.5% vs 27.5%). Local incentives can change the effective rate materially.
New York typical term is 10 years with 14 months free; Toronto runs 10 years with 18 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. Toronto: TTC subway plus GO Transit commuter rail converge at Union Station. The PATH connects most Financial Core assets underground.
Score New York, Toronto 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.