Zentalis Sublets 31K-SF Office at 1359 Broadway It Signed for in 2021
By Mark Hallum May 19, 2023 4:02 pm
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Accounting firm LM Cohen has signed a sublease for 31,362 square feet from Zentalis Pharmaceuticals at 1359 Broadway, a building owned by Empire State Realty Trust, Commercial Observer has learned.
LM Cohen signed a 10-year deal with an asking rent of $64 per square foot, according to a source familiar with the deal.
Subtenant LM Cohen is relocating from offices at 535 Fifth Avenue. I’s unclear why Zentalis is leaving the space after only two years since signing an 11-year lease with ESRT.
Daniel Lolai, Ray Balassiano, Wayne Siegel and Eric Siegel of LSL Advisors represented the subtenant while David Stockel from CBRE (CBRE) negotiated on behalf of Zentalis.
CBRE did not immediately respond to a request for comment, while LSL Advisors declined.
Asking rent for the space in the Garment District building between West 36th and West 37th streets declined considerably from the time Zentalis signed in 2021. The space was listed then at $73 per square foot.
Zentalis focuses on developing therapies that target the biological pathways of cancers. It could simply be one of many companies with U.S. offices that are planning to exit the office to some extent, CO reported Friday using CBRE data.
That’s even as 65 percent of firms in the U.S. now require some in-person work.
Mark Hallum can be reached at mhallum@commercialobserver.com.
