BDT & MSD Combine Offices at 550 Madison After Merger
By Rebecca Baird-Remba December 5, 2023 3:51 pm
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BDT & MSD Partners, a merchant bank formed this year by the merger of two financial firms owned by Michael Dell and Byron Trott, is consolidating its separate New York offices into one at 550 Madison Avenue.
The company inked a deal for 70,000 square feet on the 19th through 21st floors at the 37-story skyscraper formerly known as the Sony Building, Bloomberg first reported.
Spokespeople for landlord Olayan Group and BDT & MSD both declined to comment. Bloomberg did not include the terms of the lease. A source familiar with the deal said it was long-term, and the asking rent was $175 per square foot.
BDT & MSD was formed in January after Trott’s merchant bank, BDT & Company, combined with Dell’s investment firm MSD. The firms have separate offices — BDT at 450 Park Avenue and MSD at One Vanderbilt — and both teams will migrate to 550 Madison over the next three years, according to Bloomberg.
Olayan Group recently completed a $300 million renovation of the landmarked 1984 tower that upgraded its retail spaces, facade and public garden. Designed by Philip Johnson, the building fronts the entire block on Madison Avenue from East 55th and East 56th streets.
Sources with knowledge of the deal said that the lease brings the 685,000-square-foot building to nearly 90 percent occupied.
It wasn’t clear who brokered the deal. However, CBRE’s Howard Fiddle, Scott Gottlieb, Mary Ann Tighe and Arkady Smolyansky are responsible for leasing at the property. A CBRE spokesperson didn’t immediately return a request for comment.
BDT & MSD will join private equity firm Clayton Dubilier & Rice, financial consultant Junto, fashion brand Hermès and insurer Chubb at the tower.
Rebecca Baird-Remba can be reached at rbairdremba@commercialobserver.com.
