Lease Beat

CPA Society Flees Midtown, Signs at 14 Wall Street

The New York State Society of CPAs signed a full-floor 37,000-square-foot lease at 14 Wall Street and will leave its offices at 3 Park Avenue between 33rd and 34th Streets.

The NYSSCPA joins a number of other firms who have left midtown for Lower Manhattan. CBRE‘s Brad Gerla and Jon Cope represented the landlord, Alex Rovt, a Ukrainian fertilizing titan who bought 14 Wall Street last year for $303 million. Jones Lang Lasalle‘s Ellen Herman represented the tenant. Asking rents were in the $40 per square foot range.

14 Wall Street

14 Wall Street

Last July the healthcare provider Amerigroup moved its headquarters from 21 Penn Plaza and consolidated its offices across the city at 14 Wall Street with a lease for 165,000 square feet at the 37-story, 1-million-square-foot building.

Mr. Rovt bought the building from Capstone Equities and Carlyle Group, which had paid $325 million for it in 2007 before the market crash.

Lower Manhattan has recently been luring tenants from points north with relatively affordable asking rents. “The neighborhood’s economics are compelling as are the quality of buildings, its  transportation access and employment pool,” said Mr. Gerla.

“It’s been going on for a couple of years and will clearly continue,” Mr. Gerla said. “Even after Sandy, we’re still seeing a strong demand from Midtown and Midtown South tenants that has not abated.” Mr. Gerla added that the neighborhood should continue to evolve with the coming completion of One World Trade Center.

Ms. Herman could not be reached for comment.

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