The Top 10 Manhattan Office Leases of Q1
Amid concerns that Manhattan’s office market is losing some steam, Q1 still gave us some impressive leases. Here are the top 10.
10. Structure Tone
Address: 330 W 34th St
SF: 82k
Term: 15 years
Moving From: Vornado’s 770 Broadway
Industry: Construction
Landlord: Vornado
Landlord Rep: None
Tenant Rep: None
The asking rent for the deal wasn’t revealed by the parties involved, but Footlocker signed a 145k SF office lease in the building last spring for an asking rent in the $70s per SF.
9. Droga5
Address: 120 Wall St
SF: 111k
Term: 12 years
Moving From: Within the building
Industry: Advertising
Landlord: Silverstein Properties
Landlord Rep: Silverstein’s Roger Silverstein and Joseph Artusa
Tenant Rep: JLL’s Ken Siegel and Howard Hersch
Asking rents were in the mid-$50s per SF, according to the New York Post. The firm already had 97k SF of space in the building.
8. UBS
Address: 299 Park Ave
SF: 120k
Term: 13 years
Moving From: Other space within the building
Industry: Banking
Landlord: Fisher Brothers
Landlord Rep: Fisher Brothers’ Marc Packman
Tenant Rep: CBRE’s Robert Alexander and Patrick Murphy
The deal takes effect when UBS’s current 466k SF lease expires in 2018. Of that space, 382k SF was subleased to Capital One in 2014.
7. Omnicom
Address: 220 E 42nd St
SF: 167k
Term: 15 years
Moving From: Renewal within the building
Industry: Marketing
Landlord: SL Green
Landlord Rep: SL Green repped itself in-house
Tenant Rep: Feld Real Estate’s Lee Feld
Asking rent for the deal was $70 per SF, according to the Commercial Observer. The building is known as the News Building, and was home to the New York Daily News from 1930 until 1995.
6. Group M
Address: 3 World Trade Center
SF: 170k
Term: 20 years
Moving From: Several locations in Midtown
Industry: Advertising & Media
Landlord: Silverstein Properties
Landlord Rep: Silverstein’s Jeremy Moss with CBRE’s Mary Ann Tighe, Stephen Siegel and Adam Foster
Tenant Rep: CBRE’s Mary Ann Tighe and Gregory Tosko
This deal is an expansion of Group M’s 520k SF lease establishing it as the building’s anchor tenant in late 2013. The 2.5M SF tower has no other tenant commitments. It’s under construction and is slated to open in about two years.
5. DLA Piper
Address: 1251 Sixth Ave
SF: 200k
Term: Not available
Moving From: Within the building
Industry: Law
Landlord: Mitsui Fudosan
Landlord Rep: Newmark Grubb Knight Frank’s David Falk and Peter Shimkin along with Mitsui Fudosan’s Christopher Perez
Tenant Rep: Newmark Grubb Knight Frank’s Moshe Sukenik and Brian Cohen
The renewal and move within the building allows the law firm to keep its offices on five consecutive floors of the building.
4. Facebook
Address: 225 Park Ave South
SF: 200k
Term: Not available
Moving From: Expansion; tenant has space at 770 Broadway
Industry: Tech
Landlord: Orda Management
Landlord Rep: Newmark Grubb Knight Frank’s Brian Waterman, Brent Ozarowski, Andrew Peretz and Courtney Adham
Tenant Rep: Colliers International’s Bob Tunis and Eric Ferriello
Buzzfeed signed a lease in late 2014 for 189k SF in the building, with a reported $85 per SF asking rent.
3. Citadel
Address: 425 Park Ave
SF: 200k
Term: 11 years
Moving From: 601 Lexington Ave
Industry: Finance
Landlord: L&L Holding Co
Landlord Rep: L&L’s David Berkey and CBRE’s Mary Ann Tighe, Evan Haskell, Sarah Pontius and Zak Snider
Tenant Rep: CBRE’s Andrew Sussman, John Nugent and Chris Corrinet
The deal includes a $300 per SF office penthouse, reportedly the highest price ever paid for Manhattan office space.
2. Salesforce
Address: 1096 Sixth Ave (aka Three Bryant Park)
SF: 210k
Term: Not available
Moving From: 685 Third Ave, 140 E 45th St and 155 Sixth Ave
Industry: Tech
Landlord: Ivanhoé Cambridge and Callahan Capital Partners
Landlord Rep: Cushman & Wakefield’s Ethan Silverstein, John Cefaly, Bruce Mosler and Robert Lowe
Tenant Rep: Cushman & Wakefield’s Gus Field
The space is part of a 400k SF block of space that MetLife will vacate when it consolidates its New York offices at 200 Park Ave.
1. McGraw Hill Financial
Address: 55 Water St
SF: 900k
Term: Not available
Moving From: Renewal within the building
Industry: Finance
Landlord: New Water Street Corp
Landlord Rep: CBRE's Howard Fiddle, Dave Caperna, Brad Gerla, Evan Haskell and Mary Ann Tighe
Tenant Rep: CBRE's Cara Chayet, Michael Liss, Ken Meyerson, Paul Myers and Ramneek Rikhy
The deal lets McGraw Hill hold onto its claim as the biggest tenant in the biggest office building in Manhattan. The deal is also the largest office lease in the city since 2014.
