This Week's N.Y. Deal Sheet
While 2020 is sure to go down as the most unusual year in recent memory, the annual year-end wave of deals is still happening, although at a smaller scale than past Decembers.
Executive search firm Heidrick & Struggles International inked a 12-year, 36K SF lease at SL Green’s newly completed skyscraper, One Vanderbilt, the landlord announced. The Chicago-based company will take up the entirety of the 25th floor. CBRE’s Michael Liss and Justin Aronson negotiated the lease for the tenant, and CBRE’s Robert Alexander, Ryan Alexander, Emily Jones and Alex D’Amario negotiated for SL Green.
The REIT also secured a new tenant for its office building at 750 Third Ave. RSC Insurance Brokerage will take up 24,515 SF in the building for the next 16 years. Avison Young’s Michael Gottlieb, Joseph Gervino, Ron Perry, Larry Epstein and Matt Perry represented RSC, while JLL’s Paul Glickman, Diana Biasotti and Jonathan Fanuzzi represented SL Green. Asking rent was $70 per SF, a person familiar with the deal told Bisnow.
Business law firm Reitler, Kailas & Rosenblatt will expand its footprint in SL Green’s 885 Fifth Ave., the landlord announced. The company penned a renewal lease for the 20th and 21st floors of the building, totaling 32K SF. Newmark’s Andrew Sachs and John Cilmi brokered the deal for the law firm, and Newmark’s Brian Waterman and Scott Klau brokered the deal for SL Green. Asking rent was $80 per SF, a person familiar with the deal told Bisnow.
Investment management law firm Florio Leahy LLP signed a 10-year, 7K SF lease at Rudin Management Co.’s 32-story office building at 641 Lexington Ave., the landlord announced. Asking rent was $65 per SF. Noah & Co.’s Benjamin Blumenthal represented the tenant, and Rudin was represented in-house by Robert Steinman. The tenant is moving from 370 Lexington Ave.
Commercial law firm Kudman Trachten Aloe LLP picked up 16K SF at SL Green’s 800 Third Ave. in a sublease agreement with Levy Konigsberg LLP, Colliers International announced. The subtenant will occupy the space until 2023. Colliers’ Michael Cohen, John Pavone and Jessica Verdi brokered the deal for Levy Konigsberg.
The Brooklyn Navy Yard Development Corp. signed seven new leases at the Brooklyn Navy Yard. Jeweler Catbird penned the largest of these leases and will occupy 24K SF in Building 77. Contractor Smalls Electrical Construction, a minority-owned business, signed a lease for 13K SF in Building 3. Both leases have a five-year term.
Thor Equities sold its retail property at 164 Fifth Ave. between 21st and 22nd streets for $40M, a spokesperson for Joe Sitt's firm told Bisnow. The building’s 14,600 SF of retail is currently leased to Alo Yoga until 2034. The buyer was described as a high net worth individual from the Middle East
Plymouth Rock Group of Cos. paid Mack-Cali $61M for an office building at 581 Main St. in Woodbridge Township, New Jersey, Commercial Property Executive reports. The buyer was previously leasing 130K SF in the building. The office space, which contains over 200K SF, is about 40 minutes outside of the city.
In another suburban office transaction, the Birch Group bought a 348,501 SF office building at 1979 Marcus Ave. in Lake Success on Long Island for $62M, Commercial Property Executive reports. Willet Cos. sold the property for $8.5M more than it paid for it in 2005.
A&H Acquisitions Corp. purchased a 37K SF, two-story retail building at 521 86th St. in Bay Ridge for $14.1M, JLL announced. The property is leased to Modell's Sporting Goods and New York & Co., both of which have filed for bankruptcy and closed their stores. JLL’s Stephen Palmese, Ethan Stanton, Michael Mazzara, Winfield Clifford and Brendan Maddigan brokered the deal for the seller, Developer’s Realty Corp.
TOP FINANCING DEALS
Fisher Brothers and J.P. Morgan Asset Management secured $400M in refinancing on the joint venture’s Midtown East office building at 605 Third Ave., Commercial Observer reports. Morgan Stanley provided the 10-year loan. Eastdil Secured's Grant Frankel, Ken Ziebelman and Ethan Pond brokered the debt.
ZD Jasper Realty and Circle F. Capital scored a $61.5M loan from Maxim Capital Group for a mixed-use development dubbed The Prime at 22-43 Jackson Ave. in Long Island City. Maxim Capital Group provided the debt. Meridian Capital Group's Adam Hakim, Andrew Iadeluca, James Murad and Adam Glick brokered the debt. When the project is complete it will include over 63K SF of residential space and over 11K SF of commercial space, according to New York YIMBY. It is set to be finished by 2021.
Simon Baron Development Group secured a $38M inventory loan for its 269 West 87th St. condominium property, the lender announced. SCALE Lending, an affiliate of Slate Property Group, provided the debt. The building currently has eight multimillion-dollar units available on the market, according to the property’s website. The units range from three-bedrooms to five-bedrooms and cost anywhere from $2.5M to $5.75M.
CORRECTION, DEC. 8, 10 P.M. ET: Colliers' represented the sublandlord Levy Konigsberg LCC in the 800 Third Ave. sublease agreement. An earlier version of this article stated the brokerage represented the subtenant. This story has been updated.