Lease Beat

Platinum Partners Inks 250 West 55th Street Lease

250 West 55th Street. (Credit: Boston Properties)

Platinum Partners, a hedge fund with more than $1 billion in assets under management, has signed a 10-year lease for the entire 23,274-square-foot 14th floor of Boston Properties250 West 55th Street, Commercial Observer has learned.

The tenant, currently headquartered at Carnegie Hall Tower, will pay rent starting in the mid-$70s per square foot, according to data from CompStak. The terms are similar to the recent deal for Modern Bank, which Commercial Observer first reported last month. Read More

Lease Beat

Revlon Relocates to 1 New York Plaza

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Revlon has reportedly signed a 15-year lease for the top two floors at Brookfield Office Properties1 New York Plaza in a relocation from 237 Park Avenue, joining a flight of value-seeking firms to recently head Downtown.

The 91,194-square-foot lease covers floors 49 and 50, the latter of which is a glass box-style penthouse with 15-foot ceilings, according to the New York Post, which first reported the deal earlier this week and noted that former occupant Goldman Sachs removed columns from the space to accommodate their trading floor. Read More

Lease Beat

Modern Bank Relocating to 250 West 55th Street

250 West 55th Street. (Credit: Boston Properties)

Modern Bank has inked a 13,200-square-foot lease on the 15th floor of Boston Properties250 West 55th Street in a relocation from 667 Madison Avenue, sources said. 

The one-million-square-foot, 38-story office tower, designed by SOM, completed last year and conceived as a contemporary take on the firm’s mid-century Lever House, has attracted a string of tenants relocating from buildings deemed impressive in their own right.

Read More

Lease Beat

Lands’ End Inks 1407 Broadway Office Lease

1407 Broadway

Retailer Lands’ End has signed a 10-year, 13,729-square-foot lease for the entire 27th floor at 1407 Broadway. The tenant will relocate to The Lightstone Group-owned property from 530 Seventh Avenue.

 “The excellent central location as well as the tower floor’s wonderful light and window line were certainly a huge draw,” said Amanda Bokman, senior vice president of CBRE, in a prepared statement. Read More

Winter Storm

Are Winter Storms Disrupting Real Estate Business in NYC? [Updated]

Another Winter Storm Bears Down On Northeast

It has been just brutal outside, a mess of snow, sleet, rain, ice and slush requiring acrobatic skills to jump from snow mound to snow mound.

While surfaces are icy, subway service has been interrupted, states of emergency have been declared and people are cold, has the wintry mix impacted the business of real estate in New York City?

Commercial Observer checked in with some real estate folks to find out.  Read More

Assignments

CBRE Named Exclusive Agent at 1407 Broadway

1407 Broadway

CBRE has been named the exclusive leasing agent at 1407 Broadway, The Commercial Observer has learned. Peter Turchin will lead the leasing team at the Lightstone Group’s 1-million-square-foot Midtown office building.

In addition to naming a new leasing team, ownership will soon begin repositioning the property, including upgrading the building’s lobby and retail façade—all with a view toward attracting a broader tenant base. Read More

The Plan

Check Out New Space at 250 West 55th Street

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Boston Properties’ 250 West 55th Street is set to come online early next month with key tenants Morrison & Foerster and Kaye Scholer having already snapped up close to half of the building. CBRE, one of the lead leasing agents at the building, is already planning for tenant expansion, offering short-term (five- to seven-year) leases for a variety of prebuilt spaces on the building’s 25th floor.

Ranging from approximately 3,200 square feet to 5,700 square feet, each space is flexibly designed to cater to a range of tenants, including law and financial services. Though CBRE has yet to begin marketing the space officially, the leasing team is already in discussions with one potential financial services tenant.

Peter Turchin, executive vice president and landlord representative, spoke to the The Commercial Observer last week about the building’s 25th floor, where work is being completed, and what opportunities abound at 250 West 55th Street. “We’re just finishing up the units right now,” said Mr. Turchin. “These will be completed in the next week to two weeks and they’re going to come online the first week after Labor Day.” Read More

Lease Beat

National Futures Association Relocating to One New York Plaza in First Post-Sandy Lease

One New York Plaza.

The National Futures Association, the self-regulatory organization for the U.S. derivatives industry, is relocating to One New York Plaza from 120 Broadway after signing a 10-year, 36,000-square-foot lease–the first for the property since it sustained damage during Hurricane Sandy. Asking rents were $49 per square foot.

“As a self-regulatory body, our responsibilities and headcount were increasing,” said Karen Weurtz, spokesperson for the NFA. “Our lease was terminating and we needed more space; this was the time to do it.” Read More

1Q13

Which Way is Up: Manhattan’s Market Boundaries are Beginning to Blur

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From the outside, 222 Broadway fits the stereotype of the Downtown financial office tower.

But when Bank of America downsized, leaving roughly 250,000 square feet of space vacant, a series of tours guided by its new owner, L&L Holdings, quickly blasted that stereotype away.

Condé Nast committed to 80,000 square feet at the tower in early March. WeWork, which provides collaborative workspace for tech and media companies, was next in line. Read More

Lease Beat

SAE Institute Leases 27,000 Square Feet At Surging 218 West 18th Street

218 West 18th Street (Photo Courtesy of Atlas Capital)

SAE Institute (f.k.a. the School of Audio Engineering) signed for a 10-year relocation and expansion that will bring it from 1293 Broadway to 27,000 square feet at 218 West 18th Street in Chelsea, The Commercial Observer has learned.

CBRE‘s Stephen Siegel, Gregg Rothkin and Peter Turchin, along with Zak Snider and Ben Fastenberg  represented the landlord, Atlas Capital Group and GreenOak Real Estate. A team from Realty Insight Group and Zimmer Real Estate Services led by RIG President Neil Schoor represented the tenant. Read More

Midtown

The Incredible Shrinking Tenant

midtown_final_joelkimmel

Earlier this year, approximately 150,000 square feet opened at the Midtown office tower 399 Park Avenue when the law firm WilmerHale, a tenant in the building, left to relocate to Lower Manhattan.

The property, a 1.75-million-square-foot skyscraper owned by the large commercial owner Boston Properties, is home to the global headquarters of Citibank and is widely considered one of the finest office buildings along Park Avenue, an exclusive and highly desirable corridor in Midtown.

Boston Properties had found takers for the building even in the worst of times, filling the few hundred thousand square feet that suddenly became available in 2008 when Lehman Brothers, a former tenant, collapsed and sparked the financial crisis.

Fast-forward to 2012, a market several years removed from the depths of the recession, and this time around, Boston Properties wasn’t taking any chances. According to the leasing agent at the property, Peter Turchin, an executive at the real estate services firm CBRE, Boston Properties quickly switched to the leasing strategy du jour: finding takers for the space one floor at a time rather than waiting for one big user to fill a large portion or all of the space. Read More

Market Report

Where Are the Big Tenants? CBRE Data Shows Lack of Large Deals in Manhattan

Peter Turchin

The leasing market in Midtown and Lower Manhattan is down due to a paucity of big office deals, the real estate services company CBRE announced this morning, releasing its data for the third quarter of the year.

“In 2011 we had five deals over 250,000 square,” Peter Turchin, a leasing executive at CBRE who delivered a presentation to the media at the company’s headquarters, said, referring to Midtown.  “In 2012 we haven’t had any. In 2011 we had 10 units leased above 100,000 square feet totaling 1.3 million square feet of deals. So far we’ve had two this year. So the real drop-off has been in the large tenant market.” Read More

Lease of the Week

How Red Bull Learned to Stop Worrying and Love Midtown South

Red Bull's new home will be at

Midtown South is hot with leasing activity and 218 West 18th Street, at the area’s nexus of activity in Chelsea, had been recently gut-renovated into pristine condition.

So when Atlas Capital and GreenOak Real Estate Partners purchased the roughly 170,000-square-foot property for about $60 million at the start of the year and handed it to a CBRE leasing team to fill, there was no question they had high expectations. Read More