HSBC Renews Massive Office Footprint at 452 Fifth Avenue
By Rey Mashayekhi April 5, 2017 2:12 pm
reprints
Banking giant HSBC has reportedly agreed to keep its U.S. headquarters at 452 Fifth Avenue after agreeing to a 548,000-square-foot lease renewal at the Midtown office building.
HSBC has extended its lease at the 30-story, 865,000-square-foot building at the corner of West 40th Street through 2025, according to The Real Deal.
Asking rent for the bank’s space at the property, owned by PBC USA, was more than $80 per square foot, the website reported—citing sources who said HSBC’s rent during the renewal period, between 2020 and 2025, will climb to $43 million annually from a current $32 million per year.
A JLL team led by Peter Riguardi represented HSBC in the transaction, while PBC USA—the U.S. arm of Tel Aviv-based real estate investment firm Property & Building Corporation (PBC)—was represented by another JLL team led by Paul Glickman. A JLL spokesman did not return a request for comment.
HSBC was reportedly considering moving its headquarters before committing to the renewal, having vetted space on Manhattan’s Far West Side—namely Related Companies’ Hudson Yards mega-complex and Brookfield Properties’ Manhattan West mixed-use development—as well as the World Trade Center in the Financial District.
Other major office tenants at 452 Fifth Avenue include law firm Baker McKenzie and investment management company Man Group.
