Lease Beat

Aquila Management to Relocate to Tower 45

120 W. 45th Street, Tower 45

Aquila Management, a sponsor and distributor of mutual funds, will relocate to 120 West 45th Street, also known as Tower 45, from 380 Madison Avenue. The company has signed a 15-year lease for 8,032 square feet on the 36th floor of the SL Green property.

The tenant will pay rent in the high-$60s per square foot, according to data from CompStak. Asking rent for the space was $72 per square foot. Read More

Lease Beat

Men’s Wearhouse Signs Upper East Side Lease

mens-wearhouse-150x150

Men’s Wearhouse has signed a 10-year, roughly 8,800-square-foot lease at 1219 Third Avenue in the Upper East Side, The Commercial Observer has learned.

The menswear company is taking a 6,665-square-foot ground floor space and 2,100 square feet in the basement, said Gary Alterman of RKF, who represented both the tenant and owner, Fraydun Realty, in the transaction. Read More

Sales Beat

Levinson In Talks To Buy A Stake In And Redevelop 380 Madison Avenue

380 Madison Avenue

Developer David Levinson is in talks to invest in and help redevelop 380 Madison Avenue, an 840,000-square-foot Midtown office building sources say.

The property is currently controlled by the mercurial and enigmatic investor and developer Sheldon Solow who has a leasehold on the property. But that interest runs out in 2014 and the owners of the building, a venture led by Deutsche Bank’s real estate investment fund RREEF, want to bring on a partner to overhaul the antiquated tower. Read More

Lower Manhattan

Downtown Manhattan on the Up and Up

Downtown Manhattan.

For much of the past decade the only hope for a broker looking to make money off of Downtown office space was to do a deal like 70 Pine Street: Take a lavish 62-story Art Deco headquarters that was once owned by a spectacularly failed financial firm like AIG and turn it into opulent apartments where bankers would rather live than work.

Deals like 70 Pine Street, which instantly wiped off one million square feet from Downtown’s commercial real estate inventory when it was sold for $200 million in 2011, have been propping up statistics for the neighborhood’s office space market for years. Ever since large banks and financial companies started fleeing offices in the financial district, an influx of young families and bankers wanting to live Downtown, rather than just work there, have kept the vacancy rate from tanking even further by reducing the math on the supply end.

Now, say the brokers who have long suffered the horrors of Downtown’s commercial market, those residential conversions are starting to also pay off on the demand side. A flurry of infrastructure and amenities building to keep up with the new residents in the neighborhood is also making the area more enticing for large corporations to move in.

“It’s a chicken-and-egg scenario,” said Mark Shapses, executive managing director at Studley. “Downtown is seeing the light at the end of the tunnel.” Read More