April 15, 2020 Miriam Hall, Bisnow New York

Across the country, businesses are coming to grips with economic pain on par with the Great Depression and social distancing requirements stretching for months, if not years.

For office landlords and their tenants, this new world order is particularly uncertain as extreme lockdowns roll into a second month in major markets like New York. Both sides are keen to protect their financial interests, and delicate, tense conversations about rent payments are taking place.

Though landlords are generally quick to tout how they view their occupiers as partners, many are now saying that if tenants want or are expecting some form of relief, they had better be prepared to prove they need it.

“We are asking ourselves the following question: ‘Is this an existential crisis or is this someone blowing smoke?’” said one New York City office building owner, requesting anonymity as negotiations are ongoing.

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