Microsoft is reportedly looking to sublease its office in Manhattan’s Times Square. At the moment, large technology companies have begun to cut back on real estate spending.
Microsoft is looking for a tenant for its more than 42,000-square-foot (3,900 square meters) office at 11 Times Square, according to data released by real estate data firm CoStar. Microsoft declined to comment on the news.
Microsoft, which has been cutting jobs recently, has also made other real estate cuts, including abandoning plans to build a new office building in London.
The real estate spending adjustments have exacerbated pressure on office landlords, who have previously suffered record vacancy rates and lower demand.
It’s a dramatic change for the technology sector, once a major driver of leasing. Companies including Google parent Alphabet, Meta and Amazon have all announced plans to cut their respective spending on real estate; Twitter and Spotify Inc. also began subleasing their office space this year.
