Lease Beat

Video Ad Software Company Heads to 114 Fifth Avenue

114 Fifth Avenue.

TubeMogul, a publicy traded enterprise software platform for digital branding, is relocating to 114 Fifth Avenue at the southwest corner of West 17th Street from the Union Building to accommodate the company’s anticipated growth, brokers in the deal told Commercial Observer.

Emeryville, Calif. based Tubemogul has subleased the entire ninth floor, totaling 19,326 square feet, at the L&L Holding Company building from online news venture First Look Media, which holds a 10-year lease for the floor (First Look Media has additional space in the building) expiring June 2024. CO first reported news of First Look Media’s lease in the building in March 2014.  Read More

Lease Beat

Financial Institution Relocating to 10K SF at Metropolitan Tower

Metropolitan Tower at 142 West 57th Street (Photo: CoStar).

Wedbush Securities has signed a lease for 10,008 square feet on part of the fifth floor at Metropolitan Tower at 142 West 57th Street between Avenue of the Americas and Seventh Avenue, Commercial Observer has learned.

The deal is for five years and four months with a four-month rent abatement, a source with knowledge of the deal said. The tenant is relocating from 90 Park Avenue on May 1. The asking rent was $60-plus per square foot. Read More

Refinance

L&L Refinances Metropolitan Tower With Aareal Loan

Metropolitan Tower.

New York-based L&L Holding Company took a $100 million loan from German lender Aareal Capital Corporation to refinance a commercial portion of its Metropolitan Tower at 146 West 57th Street, records filed with the city show.

The five-year mortgage closed on March 26 and replaces a 2011 loan from ING Real Estate Finance, which sold $1.6 billion of its debt to Wells Fargo in August 2013. Read More

Lease Beat

Lululemon Stretches Into 114 Fifth Avenue

114 Fifth Avenue.

Lululemon Athletica has secured a 15,964-square-foot lease at L&L Holding Company‘s 114 Fifth Avenue, Commercial Observer has learned.

The yoga apparel company signed a 10-year lease for the space, which spans the ground floor, basement and mezzanine level, according to a source with intimate knowledge of the deal. The asking rent was $500 per square foot on the ground floor, $100 per foot in the selling basement and $75 on the mezzanine. Lululemon is slated to move in by end of the third or fourth quarter of 2015. The other retail tenant in the building is Bank of America, which occupies 6,000 square feet. Read More

Lease Beat

Hedge Fund to Expand On West 57th Street

142 West 57th Street

Hedge fund manager and global alternative asset management firm the Och-Ziff Capital Management Group will expand into another West 57th Street skyscraper through a 16-year, 15,586-square-foot lease at Metropolitan Tower, Commercial Observer has learned.

The publicly traded American financial firm will grow its footprint to the entire ninth floor at L&L Holding Company’s 142 West 57th Street in January by adding the new digs to go with its current block of more than 100,000 square feet at the Solow Building Company’s 9 West 57th Street one block east, said David Berkey of L&L. Read More

Power Broker

L&L’s Andrew Wiener Is Building With Legos

Andrew Weiner. (Adam Jones)

Andrew Wiener of L&L Holding Company has worked on high-profile Midtown South deals like Lego System’s new flagship at the former International Toy Center and Gawker Media’s 2015 planned relocation to 114 Fifth Avenue.

The director of leasing for the privately held owner, operator and property manager, Mr. Wiener partners with veteran David C. Berkey, and the duo, along with Samantha Fishbone, are tasked with leasing the firm’s 6.5-million-square-foot portfolio of Class A commercial office buildings primarily in Manhattan. Read More

Grand Openings

Lego’s Flagship Store to Soft Open This Week [Updated]

Inside the new Lego store at 200 Fifth Avenue, as of  last week.

Lego’s New York City flagship will soft open at 200 Fifth Avenue this Friday at 11 a.m., according to a spokeswoman for LEGO Systems, and the grand opening is scheduled to span Columbus Day weekend.

The toy manufacturer is a couple of months behind schedule as it was supposed to soft-open in mid-July and then officially open over the course of a weekend in August, DNAinfo reported in April.  Read More

Lease Beat

Gawker Relocating to 114 Fifth Avenue

114 Fifth Avenue.

Media company Gawker Media LLC, known for verticals Gizmodo, Jezebel, Valleywag and Deadspin, has signed a 15-year lease for 58,900 square feet spanning three full floors at 114 Fifth Avenue.

“We will be moving out of the walk-up Nolita loft space that has been our home since 2008. Earlier today, we signed a lease for three floors of 114 Fifth Avenue,” Gawker owner Nick Denton wrote in a staff memo that will go out this afternoon, and obtained by New York Observer. Gawker will have its own entrance on 17th Street. Read More

Sales Beat

Prudential, L&L Acquire 511-541 West 25th Street

511 West 25th Street. (PropertyShark)

Prudential Real Estate Investors and L&L Holding Company have acquired 511-541 West 25th Street from the Related Companies in a $160 million joint venture, the buyers announced in a statement yesterday.

The interconnected office properties are located in the shadow of the High Line and boast 200,000 square feet of space and 300 feet of retail frontage. The century-old buildings were renovated within the past two years. Read More

Sales Beat

Deutsche to Buy Stake in 222 Broadway: Report

222 Broadway.

Deutsche Asset & Wealth Management has agreed to acquire a 95-percent stake in 222 Broadway, Real Estate Alert reported yesterday. The deal, brokered by Eastdil Secured, values the property at approximately $500 million.

Beacon Capital and L&L Holding Company paid Bank of America $230 million for the building in 2012. Boston-based Beacon is selling its equity stake in the building while L&L will stay on as a partner and building manager, according to the report. Read More

New Developments

Developers, WeWork Eye Former Prison

550 West 20th Street. (Credit: PropertyShark)

A number of developers and co-working giant WeWork toured the former Bayview Correctional Facility, a defunct women’s prison in Chelsea, with an eye toward possibly bidding on the property, according to a report by The Wall Street Journal.

The Related Companies, L&L Holding Company, Taconic Investment Partners and William Macklowe Company toured the facility, the Journal reported. The list of other potential suitors that viewed the property includes the rapidly expanding co-working space provider WeWork, Steinway Musical Instruments and Avenues: The World School. Read More

Prospective Tenants

First Look Media Negotiating Space at L&L’s 114 Fifth Avenue

114 Fifth Avenue.

New online news venture First Look Media is negotiating a full-floor lease at L&L Holding Company’s redeveloped office tower 114 Fifth AvenueCommercial Observer has learned from someone with knowledge of the deal. The floors are just shy of 20,000 square feet.

In the interim, the news start-up, which was financed with $50 million by the eBay founder and billionaire Pierre Omidyar, will be subletting a floor (which are about 11,000 square feet each) at 162 Fifth Avenue between 18th and 19th Streets that was leased by major Hollywood talent agency, CAA. CAA has relocated to the Chrysler Building, as Commercial Observer previously reported. Read More

East 23rd Street

Flatiron BID Looks to Draw High-Profile Tenants to East 23rd Street [Updated]

View of 23rd Street facing west from Park Avenue South

Flatiron 23rd Street Partnership is hoping to raise the profile of one stretch of its district that has been under the radar, in part due to scaffolding that has been up for years: East 23rd Street between Third Avenue and Avenue of the Americas.

With streetscape and free public wireless network projects underway, the BID’s executive director, Jennifer Brown, told Commercial Observer that she hopes sprucing up East 23rd Street will help “attract” high-quality tenants. Read More