Feature

Market Share: With Companies Looking to Cut Costs, Office Shares Are All the Rage

One of the shared space companies taking NYC is PivotDesk.

The powers that be in New York City have done a great job of attracting startups—keeping them, however, is another issue.

But an up-close view of the Empire State Building is increasingly becoming a viable option for young businesses. Why? Co-working companies—which offer cut-rate office space so long as tenants are willing to share—are rushing into the Midtown South market, and beyond. Read More

The Sit-Down

Ziel Feldman and His Construction Binge, Starting With a Pair of High Line Projects

FROM A TO ZEIL: Mr. Feldman at his artfully decorated office (Photo: Aaron Adler for Commercial  Observer).

After four years of living on Park Avenue in the East 80s, Ziel Feldman will this year be moving to Marquand at 11 East 68th Street, a Beaux-Arts Revival rental-to-condominium conversion his firm is completing on Madison Avenue.

The chairman and founder of HFZ Capital Group (the H is for his wife Helene, F is for Feldman and Z is for Ziel) has worked on more than 30 conversion projects like The Chatsworth at 344 West 72nd Street, Astor at 235 West 75th Street, 11 Beach Street in Tribeca and One Madison Park. Read More

Sales Beat

312 Leonard Street Gets Highest Price East of B.Q.E.

312 Leonard east of the B.Q.E.

The sales record for the highest price per square foot for a Williamsburg property east of the Brooklyn-Queens Expressway was set earlier this month at 312 Leonard Street, Commercial Observer has learned. The property on the corner of Conselyea Street includes a 1,580 square foot restaurant, a 420-square foot two car garage and a 1,264 square foot apartment. It sold for $3.1 million ($950 per square foot).

“This was a mutually beneficial transaction in a highly desirable location,” said Peter Levitan of Lee & Associates NYC, in a prepared statement. The broker-owned company has 51 locations in the U.S. Read More

Moving On

EDC President Leaving City Post in June

Kyle Kimball, left (Photo courtesy: Ruben Diaz, Jr./Flickr).

Kyle Kimball is stepping down as president of the Economic Development Corporation after nearly two years on the job.

Mr. Kimball is the last Bloomberg aide to leave City Hall, and plans to stay until June so Mayor Bill de Blasio can find a replacement, according The Wall Street Journal, which first reported the departure. He’s wrapping up a seven-year tenure with the EDC, which negotiates the sale and lease of city-owned land, which included expanding new industries to New York and setting up a ferry system on the city’s waterways. Read More

Power Player

CBRE’s Sacha Zarba: the Go-To Guy for NYC’s Hippest Tech Tenants

Sacha Zarba of CBRE (image: Arman Dzidzovic)

Sacha Zarba knows what tech tenants want.

“Typically, they prefer older building stock,” said the executive vice president at CBRE. “They prefer pre-war, high ceilings, that brick and timber feel, exposed brick, lots of wood. They’re looking for buildings and neighborhoods where their workforce can feel at home. Access to amenities, nightlife, bars, restaurants. They [also] want to be close to where the leading technology firms are, so that they can [capitalize] on that creative vibe,” he said. Read More

Renovation and Repositioning

Landmarks Commission Greenlights Sweet Overhaul on Dumbo Waterfront

10 Jay Street.

The Landmarks Preservation Commission approved today plans to overhaul a waterfront building with a crystallized facade in Dumbo inspired by the structure’s history.

Triangle Assets, the developer, plans to convert the commercial building at 10 Jay Street, which went up in 1890, into 46 condo units along with three retail spaces at the ground level. Now that the plan’s been approved, executives expect to start demolition on May 1 and finish the project by September 2016. Read More

Lease Beat

Structural Engineering Firm Relocates Within Garment District

519 Eighth Avenue.

Rosenwasser/Grossman Consulting Engineers, the structural engineering firm that has worked on scores of residential projects in New York City, now has a new home of its own.

Commercial Observer has learned that the company has signed a 10-year lease for 8,000 square feet at the Kaufman Organization’s 519 Eighth Avenue between West 35th and West 36th Streets. RGCE will occupy the 20th floor. Read More

Lease Beat

Sister PR Firms Moving to Combined 10K SF in Midtown South

276 Fifth Avenue.

The Manhattan-based subsidiaries of Mineola, N.Y.-based Didit, an integrated marketing communications firm, will be moving to a shared 10,000 square feet in Midtown South, Commercial Observer has learned.

Didit signed a single 10,000-square-foot lease for its public relations companies LVM Group and Bridge Global Strategies, at 276 Fifth AvenueEVO Real Estate Group announced. The firms will share the space on the second floor of the 11-story, 200,000-square-foot commercial building at West 30th Street owned by 276 Managers LLC, a group that includes The Kash Group. Read More

The Lobby

Mitsui Fudosan America Appoints New CEO

John E. Westerfield

Japan’s largest developer Mitsui Fudosan, which has a 92 percent stake at 55 Hudson Yards, has named John E. Westerfield the chief executive officer of its U.S. operations.

Mr. Westerfield, who was previously a managing director at Morgan Stanley, will assume his new role on April 1, according to a press release issued by the company. Read More

Sales Beat

Glendale, Queens Mixed-Use Property Sells for $9.18M

An aerial view of 79-40 Cooper Avenue, taken from Avison Young's promotional materials for the site.

A 94,000-square-foot property in the Glendale section of Queens has sold for $9.18 million to two different buyers, according to Avison Young, the brokerage firm that represented the seller and one of the buyers.

The property at 79-40 Cooper Avenue includes eight lots, a 50,000-square-foot industrial building, two attached residential buildings, two parking lots and vacant land spread over two acres. Read More

Tax Breaks

Food Saver NY Seeks Tax Breaks to Acquire Brooklyn Home

402 East 83rd Street.

Food Saver New York, which processes and distributes food products, is looking to buy its home in the East Flatbush neighborhood of Brooklyn, according to city documents.

The industrial building at 402 East 83rd Street, owned by IJ Litwack Realty, is 25,800 square feet and sits on 21,800 square feet of land, according to the notice of public hearing from the New York City Industrial Development Agency. The purchase is expected to cost $5.4 million and Food Saver New York is seeking payments in lieu of city real property taxes and deferral of city and state mortgage recording taxes. NYCIDA will address the application at a public hearing on April 9. Read More

Lease Beat

Global Asset Management Firm Moves to East 49th Street

12 East 49th Street.

Black River Asset Management is moving to 12 East 49th Street in the Plaza District.

The company secured 8,846 square feet on a portion of the 37th floor as part of a 10-year lease at the property, Commercial Observer has learned. Black River, an asset manager for institutional investors, will share the space with Cargill Risk Management, which structures and markets over-the-counter risk management products on agricultural and energy commodities (Black River and Cargill Risk Management are subsidiaries of Cargill, the food and agricultural giant). Read More