Commercial Breaks

Savanna Closes 580K SF of Leasing in 2013

31 Penn Plaza

Real estate private equity firm Savanna closed over 580,000 square feet of leasing in its portfolio across 59 deals in 2013, The Commercial Observer has learned.

“The significant number of lease renewals, expansions and new leases is evidence of the brokerage and corporate communities’ confidence in Savanna properties,” said Nicholas Bienstock, managing partner at Savanna, in a prepared statement. “We thank the brokerage community for their continued support in these transactions and look forward to working together again in 2014.” Read More

Lease Beat

Calvin Klein Renews at 205 West 39th


PVH Corp.-owned Calvin Klein has renewed its 195,000 square feet at 205 West 39th Street, according to a report from the New York Post.

The company, which occupies the 2nd through 12th floors of the 17-story building, as well as part of the ground and basement floors, expanded by 30,000 square feet over the course of Read More

Lease Beat

Architecture Firm Signs Deal at 31 Penn Plaza

31 Penn Plaza

Architecture firm RMJM has signed a seven-year, 5,085-square-foot lease on the sixth floor at 31 Penn Plaza, the landlord announced earlier this week.

Headquartered in Britain, RMJM operates offices worldwide, including Hong Kong, Edinburgh, London, Abu Dhabi and Bahrain. The firm’s portfolio includes a number of high profile projects, such as the New Scottish Parliament in Edinburgh, the Gazprom Tower in St. Petersburg and the banking headquarters for China Merchants Bank in Shanghai. Read More

Lease Beat

Compass Group USA Takes Space at 31 Penn Plaza

31 Penn Plaza

Compass Group USA has signed a 8,600-square-foot, 10-year lease for a portion of the sixth floor at Savanna’s 445,000-square-foot 31 Penn Plaza.

The food service management and support services company serves six million meals a day throughout the U.S and Canada from its vending and coffee machines, restaurants, corporate cafes, schools, arenas, museums, and special events. Read More

Lease Beat

Ladenburg Thalmann & Co. Take 40K in Midtown

Courtesy of the City Review

Ladenburg Thalmann & Co. has inked a sublease in Midtown, the Commercial Observer has learned.

The financial services firm will take Brean Capital‘s 40,000-square-foot office space in the General Electric Building at 570 Lexington Avenue. The office, which covers two connected floors, was placed on the market earlier this year as Brean Capital moved to another building in the area to maximize efficiency. Read More

Lease Beat

Rialto Capital Management Inks Deal at 600 Madison Avenue


A division of Lennar Corporation has signed a 10-year, 17,852-square-foot lease at 600 Madison Avenue in the Plaza District.

Rialto Capital Management, Lennar’s real estate investment arm, focused on distressed and value-add properties, took the entire 12th floor at Ruben Companies’ 26-story, 327,960-square-foot tower, The Real Deal reported today.

Following a six-month grace period Read More

Lease Beat

Regus Signs Deal at 31 Penn Plaza


Continuing its aggressive expansion across New York, office suite provider Regus has signed a 10-year, 23,000-square-foot lease on the 15th floor at 31 Penn Plaza.

Regus will take responsibility for the build out of the space and is expected to move in during the first quarter of 2014. Asking rents were in the low-$50s per square foot, according to a source familiar with the negotiations. Read More

Lease Beat

Morgan Stanley Inks Largest Sublease of the Year


Morgan Stanley has inked the year’s largest sublease with an 11-year deal for 148,421 square feet of space at Vornado Realty Trust’s 1290 Avenue of the Americas.

The space is across the entire 12th and 13th floors, part of AXA Equitable’s 443,599 square feet in the 44-story, 2-million-square-foot tower, according to The Real Deal, which Read More

Power Broker

The Storm Chaser: Alexander Chudnoff on Post-Sandy NYC Recovery Efforts

Alex Chudnoff.

Alexander Chudnoff, a commercial leasing broker who takes pride in strengthening relationships with clients through “impeccable service,” was especially busy in the aftermath of Hurricane Sandy.

The Jones Lang LaSalle executive managing director was dividing his time last week between volunteer efforts in the Rockaways, where he provided hot pizza and coffee to storm victims, and getting on the phone to make sure his Downtown Manhattan clients could stay open. Though it was a difficult time, the activity of making connections was just what attracted Mr. Chudnoff to the business in the first place.

“I love to make calls. I love to canvass,” he said. “I like to develop the relationship.”

In some cases, the storm required short-term arrangements, such as lining up space with other clients or in Jones Lang’s own offices, he said. In others, clients were able to proceed with minimal disruption, as when Dentsu Holdings USA returned to work at 32 Avenue of the Americas when Rudin Management opened the building the Monday after the storm. Read More

Lease Beat

Brean Murray Subleases 15K S/F From Fortress

1345 Avenue of the Americas

The investment company Brean Murray, Carret & Co. is subleasing space at 1345 Avenue of the Americas from the large private equity firm Fortress Investment Group.

Brean Murray will take nearly 15,000 square feet being offered by Fortress on the 50-story building’s 29th floor. Asking rents for the space were in the $70s per square foot and the term of the deal stretches for about four and a half years. Read More

Lease of the Week

“The Most Complicated Deal I Personally Have Handled.”

Starrett-Lehigh Building. (Courtesy Property Shark)

It’s not uncommon to hear Manhattan’s real estate market characterized as sophisticated or complex.

Not every day, however, does a requirement as straightforward as Dentsu McGarryBowen’s uncork such an elaborate and interconnected series of transactions as it did at the Starrett-Lehigh Building.

A longtime tenant in the 2.3-million-square-foot building and one of the property’s largest users, the advertising firm needed to expand. But there was a small problem: Despite its size, the building—an artsy, far West Side location popular among creative tenants—had virtually no available space. Read More