EXCLUSIVE: EMC Corp. Takes 37,000
Jotham Sederstrom Dec. 8, 2011, 9:30 a.m.
EMC Corporation is expanding by about 37,000 square feet at 2 Penn Plaza, where it bases the bulk of its Manhattan operations.
The firm is a Fortune 500 company that specializes in information technology and cloud computing services and is growing according to people familiar with its space needs.
EMC will take the additional space on 2 Penn Plaza’s 26th floor for rents in the $50s per square foot a source said. EMC already leases the building’s entire 18th floor and a portion of 17 as well. Floors in 2 Penn Plaza are around 60,000 square feet apiece.
The new space that EMC will take is not contiguous to the floors that it already occupies but offered one of the few openings of that size in the 1.5 million square foot building, which is owned by Vornado Realty Trust and is virtually fully leased.
EMC will now occupy about 107,000 square feet at the property, making the company one of 2 Penn Plaza’s largest tenants. Madison Square Garden, operator of the adjacent arena that, like 2 Penn Plaza, is also perched atop Penn Station, is another sizable tenant in the 31-story building.
Jane Roundell, an executive with the brokerage company CresaPartners, represented EMC in the expansion deal.
Vornado was represented by an in-house brokerage team led by executive Craig Panzirer.
Neither Ms. Roundell nor Mr. Panzirer could be reached by press time. A spokeswoman at EMC also did not return calls by press time.
EMC is the latest in a recent series of expansion deals for Vornado. As The Commercial Observer reported yesterday, The Limited Brands Inc. has just reached an agreement to add nearly 100,000 square feet to its space at 1740 Broadway, another Vornado skyscraper. The company will now occupy about 500,000 square feet in the property, which is roughly 700,000 square feet in size.
Vornado also recently signed a lease to have the large retailer Macy’s grow by about 60,000 square feet at 11 Penn Plaza. In that deal, Macy’s took the entire fifth floor in the 1.1 million square foot building, which is one among a long list of properties that Vornado owns in the direct vicinity of the city’s busiest transit hub, Penn Station. Macy’s now occupies about 600,000 square feet at 11 Penn Plaza.
Dan Geiger, Staff Writer, is reachable at DGeiger@Observer.com