Trading Firm Susquehanna Subleasing 74K SF From Warner Discovery at 30 Hudson Yards
By Nicholas Rizzi June 4, 2024 5:42 pm
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Warner Bros. Discovery has offloaded some of its Hudson Yards offices, Commercial Observer has learned.
Pennsylvania-based trading firm Susquehanna International Group signed a deal to take over 73,735 square feet of Warner’s 1.5 million square feet at 30 Hudson Yards, according to a source with knowledge of the deal.
Susquehanna will sublease the full-floor space until Warner’s lease runs out in 2034 then move to a six-year direct deal with landlords Related Companies and Allianz, the source said.
The source could not provide the exact asking rent but said average asking rents at 30 Hudson Yards ranges from the $110s to $120s per square foot.
Susquehanna will upgrade and expand its New York City footprint in the move uptown from its current 54,412 square feet at 140 Broadway, which it first leased in 2020, as CO previously reported.
Warner, for its part, has started to downsize its New York City offices in recent years.
The company, formerly known as WarnerMedia, bought the 1.5 million-square-foot office condominium in Related’s 100-story tower in 2014 to use as its new headquarters. It then sold the condo to Related for about $2.2 billion in 2019 — with Allianz buying a 45 percent stake from Related at the time — and leased back the space until 2034.
AT&T sold WarnerMedia to Discovery in 2022 and put more than 450,000 square feet of its 30 Hudson Yards space onto the sublease market that same year, Digiday reported. The year prior, Warner wrapped construction on the buildout of its new offices that took over the entire 375,000-square-foot 230 Park Avenue South.
It’s unclear how much space Warner is still trying to unload at 30 Hudson Yards, and a spokesperson for the company did not immediately respond to a request for comment.
Newmark (NMRK)’s Brian Goldman, Ross Perlman and Matthew Lorberbaum represented Susquehanna in the deal. CBRE (CBRE)’s Robert Alexander, Anthony Manginelli, Taylor Callaghan and Ryan Alexander brokered the sublease portion for Warner while Related handled the direct deal in-house via Stephen Winter and Elliot Karp.
Spokespeople for CBRE, Related and Newmark declined to comment.
Nicholas Rizzi can be reached at nrizzi@commercialobserver.com.
