Regus Signs Deal at 31 Penn Plaza
Gus Delaporte July 17, 2013, 7:30 a.m.
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.
The lease at 31 Penn Plaza is the latest in a series of deals for the company. Earlier this year, Regus expanded its presence downtown signing 10-year leases at 3 World Financial Center and 101 Sixth Avenue. The company already offers a number of locations in close proximity to 31 Penn Plaza, including 275 Seventh Avenue, 112 West 34th Street and 5 Penn Plaza.
Previously, Crain’s New York had reported that Regus was in the negotiations for space at 31 Penn Plaza and close to securing a deal.
Savanna, a real estate private equity firm, acquired 31 Penn Plaza in 2011 and began a $25 million capital improvement plan. As reported by The Commercial Observer, Real Estate Arts recently signed a 6,822-square-foot lease at the 18-story building and will be relocating from 641 Avenue of the Americas.
Regus was represented by Jim Wenk and Patrick Heeg of Jones Lang LaSalle. The landlord was represented by Mitchell Konsker, Matthew Astrachan and Matthew Polhemus, also of JLL.
Regus did not return requests for comment. Savanna declined to comment.