Facebook Taking Over An Entire Building In NoMad
Facebook is close to inking a lease that would give it the entire office portion of 63 Madison Ave. in NoMad.
The deal for 870K SF is close to being signed, if it hasn't been already, The Real Deal reports. The lease will bring the social media giant's presence in the city to 2M SF.
The rents in the property, owned by Loeb Partners Realty, George Comfort & Sons and Jamestown, are between the high $80s and the low $90s per SF, according to TRD. The deal was mentioned in Savills Studley’s third-quarter report, in reference to the “intensifying demand” from tech and coworking companies that is driving leasing in the city.
Earlier this year, Facebook inked a deal to expand to a total of 880K SF at 770 Broadway. It also leases 400K SF at 225 Park Ave. South.
More than 11M SF was leased during the third quarter in the Manhattan office leasing market. That figure represents a 20% increase over 2017, according to Colliers International, and was the most active three-month period for office leasing in four years.
Coworking companies are leasing space at breakneck speed in the city. WeWork is now the city’s biggest office tenant, with 5.3M SF under its control. Coworking company Spaces took around 300K SF in the city during the third quarter, according to Savills Studley, and Knotel announced five new locations.
WeWork had a deal in place for 63 Madison, according to Savills Studley, before Facebook swooped in to take over the building.