Leases  ·  Office

Fintech Startup Ramp Doubles Footprint With Move to 28-40 West 23rd Street

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Fintech startup Ramp is moving eight blocks uptown into bigger digs above a hardware store. 

Microsoft (MSFT) is handing its keys to Ramp after it signed a sublease for Microsoft’s 66,000 square feet on the entire second floor of the Home Depot building at 28-40 West 23rd Street in Manhattan’s Flatiron District, Commercial Observer has learned. 

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Ramp’s long-term lease will go into effect when Microsoft’s deal expires in the second quarter of 2024, a spokesperson for the building’s landlord, Williams Equities, said. 

The spokesperson did not disclose the exact length of the lease or the asking rent, but average asking rent in the Flatiron District was $61.25 per square foot in the second quarter of 2023, according to a report by Lee & Associates NYC. A spokesperson for Microsoft did not immediately respond to a request for comment.

The 23rd Street space is more than twice the size of Ramp’s current 30,404-square-foot office on the sixth floor of 71 Fifth Avenue just off West 15th Street a block from Union Square. 

Ramp offers corporate credit cards and a range of other services it pitches as cost-cutting tools for businesses. It pulled in $300 million in its most recent funding round this summer, according to PitchBook, and has raised nearly $1.7 billion in debt and equity financing since its founding in 2019, Tech Crunch reported.

“This relocation is a meaningful milestone,” Ramp CEO Eric Glyman said in a statement.

Ramp’s headcount increased by more than 50 percent over the past year, according to talent head Jacob Wallenberg.

Colliers (CIGI)Mac RoosAndrew Roos, Michael Cohen and Jessica Verdi represented the building owner in the deal. 

“Ramp is one of the fastest growing startups in New York,” Mac Roos said in a statement. “We look forward to their continued growth as they bring the kind of creative energy and workforce that thrive within the building.”  

Cushman & Wakefield (CWK)’s Michael Mathias and Richard Johns represented Ramp. A spokesperson for C&W did not immediately respond to a request for comment.

The mixed-use property comprises two buildings totaling 561,000 square feet between Fifth and Sixth avenues. Home Depot occupies the ground floor, lower level and mezzanine. Estee Lauder brand Aramis is also a tenant.

Williams Equities recently renovated the lobbies of both buildings of the property and added new cooling towers on the roof. Plans to build a roof deck are also in the works, according to the landlord.

Abigail Nehring can be reached at anehring@commercialobserver.com.