Heidell, Pittoni, Murphy & Bach, LLP has renewed its 30,000-square-foot lease at 99 Park Avenue in Midtown’s Grand Central submarket for an additional ten years, sources tell The Commercial Observer.
The firm sealed the deal for the seventh floor — which was set to expire in 2015 — through May 2026, hoping to lock rents in before they rise any further along the main city thoroughfare.
Rents in the building run in the high $50s to low $60s per square foot, a source familiar with the deal said.
“It seems like a win-win because the landlord gets a tenant that could have relocated, while the tenant was able to lock in a rent now as opposed to waiting until 2015,” the person said. “The tenant is getting a great deal.”
Jones Lang LaSalle’s Paul Glickman and Diana Biasotti represented the landlord, but the brokers did not respond to requests for comment in time for publication.
Avison Young’s Michael Leff represented the tenant. He declined comment, but the source familiar with the transaction said Mr. Leff began talks for the deal before Avison Young poached him from Newmark Grubb Knight Frank.
Canada-based real estate firm Avison Young named Mr. Leff principal in December 2012, basing him in its New York City offices with a number of responsibilities including site selection, lease negotiation, strategic planning and tenant representation.
The 26-story, 640,122-square-foot, building between 39th and 40th street, was designed by Emery Roth & Sons and built in 1953, developed by Tishman Construction and according to public records is managed and owned by Eastgate Realty. The landlord also owns 120 Park Avenue, 410 Park Avenue and 875 Third Avenue.
Metropolitan National Bank, Collective Media, Clear Channel Adshel, printing giant RR Donnelley, recruitment agency Right Management are among the building’s largest tenants.