San Francisco-based Yammer will be opening a 13,500-square-foot office in New York’s tech hub.
The tech firm has signed a five-year lease for Atlas Capital Group’s 218 West 18th Street. The building is around the corner from Google-owned 111 Eighth Avenue, the building that prompted a wave of office openings for tech companies in the neighborhood.
“This was in response to the surge of tech talent in New York and necessity to have a presence on both coasts, driven by their peer group.” said Frederick Fackelmayer, a senior associate at CBRE and broker for the tenant, in an email. “Yammer made the launch of their [New York] operations a priority.”
Mr. Fackelmayer was joined by fellow CBRE brokers – Ben Friedland, Sacha Zabra and Michael Hirsch – in representing the tenant. The team focuses about 90 percent of their time on commercial real estate in Midtown South and is finalizing the terms for eBay’s first New York office.
“It’s all about the neighborhood,” Mr. Fackelmayer added. “There is nowhere else on the planet experiencing the same commitment from Yammer’s industry niche at the moment. […] Everybody wants to be in Midtown South and the competition for great space like 218 West [18th Street] is fierce.”
The asking rent in the 13-story, 166,000-square-foot building was in the mid $50s per square foot. Fellow CBRE brokers Peter Turchin and Gregg Rothkin were on the opposite side of the table representing the landlord.