Leases  ·  Office

WeWork Nabs 57K SF at Zar Group’s 1450 Broadway Near Times Square


Coworking provider WeWork is continuing its rapid dominance of Manhattan space by grabbing 57,000 square feet in a Times Square office tower, Commercial Observer has learned.

WeWork signed a lease for the entire 11th through 15th floors of Zar Groups 1450 Broadway between West 40th and West 41st Streets, according to a spokesman for WeWork. The spokesman would not provide the asking rent or the length of the lease, but the tower has average asking rents between $57 and $70 per square foot, as per CoStar (CSGP) Group.

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The coworking provider will take the space in January and plans to open a WeWork outpost in the 42-story building in the first half of 2019, the spokesman said.

“Located in the heart of Manhattan and moments from the iconic Times Square, we’re delighted to have partnered with Zar Group to secure 57,000 square feet at 1450 Broadway,” Granit Gjonbalaj, WeWork’s chief development officer, said in a statement. “This will be a great new addition to our growing portfolio in the area, where we already have a substantial presence.”

Jeff Winick of Winick Realty handled the deal for WeWork while JLL (JLL)’s Mitch Konsker represented the landlord. Spokespeople for Winick and JLL did not immediately respond to requests for comment.

WeWork has become the largest office tenant in Manhattan this year and signed a deal for 138,563 square feet at SL Green Realty Corp.’s 609 Fifth Avenue earlier this week.

The company also announced plans today to install drop-off boxes for clothing rental company Rent the Runway (RTR) in the lobby of 15 of its coworking spaces in New York, Los Angeles, Washington, San Francisco, Chicago and Miami, Bloomberg reported.

“Aligned with its mission to evolve alongside members’ needs, the company is bringing RTR’s concept into the community in a way that will support women and female entrepreneurs in their approach to fashion, in work and everyday life,” per a WeWork press release on the new initiative.

Other tenants in the Zar Group’s 400,000-square-foot tower include on-demand workspace provider Breather, information technology provider Insight Enterprises and BNB Bank.

When asked about the potential competition from Breather, the WeWork spokesman did not respond to a request for comment.