Boies Schiller Flexner Lists Office Space At Hudson Yards
Boies Schiller Flexner is the latest Manhattan office tenant looking to offer its space on the sublet market.
As the borough's total sublet availability is on a path to surpass the peak of the Great Financial Crisis, the national law firm led by famed power attorney David Boies is looking to get rid of a portion of its 83K SF of office space at 55 Hudson Yards, five years after signing its initial lease, Business Insider reports.
Boies Schiller was the first tenant to ink a lease at the property, developed by Related Cos. Oxford Properties Group and Mitsui Fudosan, in 2015, Crain’s New York Business reported at the time.
Mitsui owns 90% of the building, where Boies Schiller leases four floors at a base rent over $9M in a deal that runs until 2035, according to The Real Deal. When Facebook signed a lease at three Hudson yards buildings, including 55 Hudson Yards, last year, it brought the skyscraper to 99% leased.
Other major companies have been looking to downsize their office footprints as the threat of the coronavirus’s spread remains palpable and the work-from-home revolution continues, including at the city's newest, priciest office towers. Last week, Uber offered 80K SF of its 308K SF office at Silverstein Properties’ 3 World Trade Center, Business Insider reported.
In Q3, 16.1M SF of available sublet space was added to the market. Office space occupied by technology, advertising, media and information companies — such as Omnicom Group, Zillow and Global Holdings — made up 45% of that overall number. Sublet space increased in October by 1.25M.
Companies looking to get rid of their space are giving steep discounts, The New York Post reports. On Park Avenue, companies were reportedly paying $25 per SF on subleased office space.
Boies Schiller may be facing financial issues, the American Lawyer reported last week. It failed to increase employees’ salaries by its deadline Oct. 15, after delaying it in June.