A breakdown of the data by market shows that asking rents for ground floor space in high-end retail corridors, such as Fifth Ave. between 48th and 59th streets and Madison Ave. between 57th and 67th streets, rose dramatically--22% and 38%, respectively. Overall, the average asking rent for ground floor space along the primary retail streets increased 4.9%.

"There were no real surprises in the report," says Michael Slattery, REBNY's senior VP, research. "It showed a certain stability in the marketplace. The numbers indicate that it's not robust, but still positive."

Average asking rents for all retail space in Midtown South declined 1.4%. Major retail corridors Downtown also fell. For instance Hudson Street in Tribeca had a 1.6% decline and Broadway in Lower Manhattan had a 7.4% decline for ground floor space. REBNY analysts suggest these declines Downtown reflect a continuing struggle in these areas to recover from the effects of September 11.