Tech companies are often users of coworking spaces and flexible private serviced offices, particularly if they are high-growth companies, because the flexible leases allow them to flex whilst they are in growth stages.
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While some technology companies have been in the area for years, the recent addition of several big names has cemented Union Square’s reputation as New York’s technology hub.
Apple recently moved into the area, and the arrival of user-review site Yelp is pending.
The term ‘Silicon Alley’ was first used to describe the cluster of technology companies in the Flatiron area, extending to SoHo and TriBeCa; however, it now refers to New York’s technology industry as a whole.
This year alone, a dozen technology firms have signed leases on a combined 135,000 square feet of office space in the area, Union Square Partnership has said.
Matt Meeker, who works for Dogpatch Labs, a co-working space in the neighbourhood, told the Wall Street Journal: “I can hardly walk through Union Square and not see people I know and see other tech entrepreneurs just hanging out or having lunch.
“In the early-stage start-up community, there is quite an aversion to the feeling of Midtown and the feeling of the Financial District.”
Other technology companies that call Union Square home are Savored, GetGlue, Freewheel Media, Mr Youth, Gorilla Nation Media and eMusic.
Katherine Sullivan, Yelp’s Director of Sales, told the Wall Street Journal: “As we evolved and found our footing in New York, the signs have begun pointing to Union Square.”
Rents in the area average out at about USD 46 per square foot, which is actually higher than most downtown office space. But the abundance of trendy cafes and bars and the availability of large, loft-like office space has continued to draw technology companies.
Another key factor in the surge was the arrival of two venture capital firms, Union Square Ventures and Polaris Venture Partners.
Editor’s notes: TechCrunch reported in January 2013 that Dogpatch Labs would be closing its New York space. As of July 2023, Dogpatch Labs operated its popular entrepreneurship hub in the CHQ building in the heart of Dublin’s Digital Docklands, also known as Silicon Docks.
As of July 2023, Apple operated a store in Union Square and had sublet 220,000 square feet at 11 Penn Plaza from Macy’s. Macy’s had relocated its headquarters to Long Island City.
In May 2014, Yelp moved into office space at 11 Madison Avenue in Midtown. In September 2012, Savored was acquired by Groupon.
In November 2013, TV discovery startup i.TV acquired GetGlue. FreeWheel Media was acquired by Comcast Corporation for $320 million in 2014 and, as of July 2023, was based at 1407 Broadway.
In November 2011, LBi International acquired Mr Youth in a deal worth between $40 and $50 million. As of September 2021, the company had moved its headquarters to Beverly Hills, CA.
As of July 2023, eMusic was based on Lexington Avenue.
On September 15th 2026, it was reported that Union Square Partnership had announced the return of Harvest 2026 – the annual fall benefit event would bring together chefs, restaurants and bars from the Union Square area for an evening showcasing the district’s culinary scene.
The event would be held on November 10th, and the 2026 lineup would include newcomers such as Leon’s, Osteria and Mission Ceviche, along with established destinations including Michelin-starred Rezdôra, Union Square Cafe, Gramercy Tavern, Knickerbocker Bar & Grill, Tarallucci e Vino and many more.
In July 2026, it was reported that Union Square Partnership had released its annual analysis of Union Square’s economic trends and found that public investments in the surrounding area have improved foot traffic and commercial operations, with storefront occupancy in the USP Business Improvement District reaching 90.1 per cent as of last month.