Health Care Tech Startup Stellar Inks 17K-SF Deal on Park Avenue South
By Celia Young October 27, 2021 11:20 am
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Stellar Health, a health care technology startup, snapped up a 17,255-square-foot sublease at 215 Park Avenue South for its corporate office, increasing its footprint in Manhattan eight-fold.
The company will relocate from 2,143 square feet at 127 West 26th Street to the entire 10th floor of SL Green Realty Corp.’s 20-story office building. The off-market, “short-term deal” closed in mid-September, according to a spokesperson for CBRE (CBRE), which represented Stellar in the deal.
The CBRE representative declined to disclose the identity of the sublandlord. However, Clarifai, a startup that builds artificial intelligence technology for image and video recognition, signed a four-year, three-month lease for the entire 10th floor in 2018, Commercial Observer previously reported. Clarifai did not immediately respond to a request for comment.
“We are excited that we were able to assist Stellar Health to fulfill its growing office space requirements,” CBRE’s Ben Friedland said in a statement. “The health tech company has been growing rapidly since its inception and required the additional space to meet its expansion needs.”
Though Stellar is expanding to the corner of East 18th Street and Park Avenue South, the company is not giving up a remote-work option and employees can come into the office as often—or as infrequently—as they want, per CBRE.
“At this time of rapid growth and expansion, we knew we needed a larger, more modern space to attract top talent,” Michael Meng, co-founder and CEO of Stellar, said in a statement. “We’re excited to utilize the office as we shape our company culture to be even more collaborative, compassionate and creative.”
To fill the office and its ranks, Stellar plans to hire 40 analytics, engineering, product, operations, finance, human resources, and growth and market development personnel by the end of the year using the $60 million it nailed last month in a Series B funding round led by equity firm General Atlantic, with Point72 Ventures and Primary Venture Partners participating.
Stellar will join flexible office provider Industrious and jewelry and luxury goods retailer Tiffany & Co. at the property, which SL Green (SLG) spent $1.6 million renovating in 2017. The landlord remodeled 215 Park Avenue South’s lobby, adding new flooring, walls and lighting and upgrading the building’s elevators.
Friedland represented Stellar in the sublease along with Gary Davies and Taylor Scheinman. SL Green handled it for the sublandlord. The landlord did not immediately respond to a request for comment.
Celia Young can be reached at cyoung@commercialobserver.com.
