Growing Coworking Space Inks Fifth Avenue Deal
Al Barbarino Feb. 5, 2014, 11:41 a.m.
Workplace and private office suite provider The Yard has signed a new 15-year, 18,000-square-foot lease at 234 Fifth Avenue.
The lease accounts for the entire office portion of the boutique building, located on the northeast corner of 27th Street in the Madison Square Park neighborhood.
The location, expected to open in June, marks the company’s 3rd in the city – the others in the Lower East Side and Greenpoint, Brooklyn – with additional locations slated for Gowanus, Brooklyn, Time Square South and the Upper West Side this year.
“The Yard is actively seeking strategic growth opportunities, which will enable them to offer clients the best overall value,” said Studley’s Evan Margolin, who represented the tenant with Lance Leighton, in a statement sent to Commercial Observer. “We continue to explore options in all submarkets across New York City.”
The efficient floor-plates, floor-to-window ratio, abundant natural light, prime location, views of Madison Square Park, signage and branding opportunities were all factors influencing the lease at 234 Fifth Avenue, brokers said, though a Studley spokesperson did not disclose asking rents in time for publication.
“The overall economics for The Yard’s deal are incredible for the Madison Square Park/Midtown South submarket,” Mr. Leighton said, in a statement. “The availability rate is extremely low and the market has become one of the tightest in the country.”
The Yard combines architectural design with art-infused public spaces in partnership with the IFAC art collective to offer flexible workspace solutions for companies of various sizes, with a roster that has included city firms Uber, Blue Apron, INDMUSIC and Thought Catalogue.
“We’re not about gimmicks here,” said Richard Beyda, The Yard’s cofounder, in a statement. “The Yard is the place to come to get work done.”
Peter Waters of Kenart Realties represented the landlord in-house.