Priceline Negotiates Deal at 470 Park Avenue South
By Gus Delaporte November 7, 2013 7:30 am
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Priceline.com has signed a 10-year lease for the entire 9,936-square-foot 10th floor at TIAA-CREF’s 470 Park Avenue South, The Commercial Observer has learned.
The tenant will pay rent in the low-$50s per square foot, according to CompStak. Just last year, leases in the building were signed in the building with rents in the high-$30s per square foot, CompStak’s data shows.
The Midtown South property was part of a $1.2 billion joint venture between TIAA-CREF and the Norwegian Government Pension Fund Global announced earlier this year. The venture consisted of properties in Boston, New York and Washington, including 470 Park Avenue South and 475 Fifth Avenue.
The building is in the midst of an extensive redevelopment that includes a new lobby, new elevator cabs and a new HVAC system.
“The redevelopment is going to transform the building to an exciting, creative environment,” Scott Klau of Newmark (NMRK) Grubb Knight Frank, who represented the landlord, told The Commercial Observer. “We’ve already been through the building demolishing floors and should be all finished by the middle of next year.”
Earlier this year, Priceline.com relocated its New York office to the eighth floor of 485 Seventh Avenue from 100 William Street. Mr. Klau indicated that the company’s lease at 470 Park Avenue South was a relocation deal but that information could not immediately be confirmed.
The 300,000-square-foot building at 470 Park Avenue South currently boasts 60,000 square feet of available space, including over 30,000 square feet of contiguous space at the base of the building.
Mr. Klau represented the landlord alongside Brian Waterman and Erik Harris. The tenant was represented by Richard Levine and Zachary Price of CBRE.
Messrs. Levine and Price were not immediately available for comment.
