BOMA New York: Hospitality excellence in New York City commercial real estate - by Patrick Dolan

As Manhattan’s office market transforms, BOMA New York members are embracing a fundamental shift toward hospitality-driven services. This transformation extends far beyond traditional amenities, it represents a full reimagining of commercial properties as hospitality destinations that prioritize tenant experience, data-driven decision making, and utilizing iconic spaces in strategic ways. From dedicated hospitality teams to occupancy tracking, building owners are learning valuable lessons from the hospitality industry to create more engaging and responsive work environments. 

The integration of hospitality principles into commercial real estate operations has accelerated, with building owners recognizing that exceptional service directly translates to improved tenant retention. BOMA New York members are leading this evolution by implementing innovative hospitality strategies to address both the physical environment and human experience within their properties. 

Third-party amenity operators have become critical partners in this hospitality transformation. Convene, a global lifestyle hospitality company specializing in high-end meeting and event venues, collaborates with leading property owners to integrate hospitality services within commercial buildings, enhancing both asset value and tenant satisfaction through premium workplace experiences. 

Recognizing the growing importance of this sector-wide transformation, BOMA New York is launching a new Hospitality Committee to provide members with dedicated resources, best practices, and strategic guidance for implementing hospitality excellence across their portfolios. This initiative will help standardize and elevate hospitality approaches throughout our commercial real estate market. 

Data-driven insights help property managers understand and respond to tenant needs. For example, the citywide peak-day occupancy rate from June 5 through June 11 was 69.2%, according to Kastle Systems. These occupancy analytics enable building owners to optimize amenity programming, adjust service levels, and make other informed decisions. 

The hospitality model extends beyond service delivery to encompass strategic space planning and regulatory considerations. NYC established incentive zoning to encourage the creation of public plazas, with developers receiving a “bonus,” which usually comes in the form of added floor space, for adding privately owned public spaces. Understanding these zoning implications allows property owners to maximize their hospitality offerings while creating additional value through strategic development. 

Empire State Realty Trust demonstrates how commercial real estate can be transformed into a world-class hospitality destination through its iconic Observatory Experience. The Empire State Building Observatory was named the #1 Attraction in the World in Tripadvisor’s Travelers’ Choice Awards: Best of the Best Things to Do, and #1 Attraction in the U.S. for the third consecutive year. The Observatory Experience features a $165 million reimagined experience that includes 10,000 s/f of interactive galleries, exhibits on sustainability and construction history, and climate-controlled observation decks with floor-to-ceiling windows on both the 86^th and 102^nd floors. 

As we look toward the future of New York City commercial real estate, hospitality excellence will continue to evolve as a fundamental differentiator in an increasingly competitive market. The most successful implementations combine sophisticated service delivery with the strategic use of technology and data, creating an environment where tenants can thrive. Through continued innovation and strategic partnerships, BOMA New York members are ensuring that Manhattan’s commercial properties set the global standard for hospitality-driven real estate experiences. 

Patrick Dolan, RPA, is chairman of BOMA New York.