Marketing Company Cheil Moving to 37K SF at Vornado’s Penn 1
By Nicholas Rizzi July 10, 2024 12:00 pm
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Marketing company Cheil will be trading its Meatpacking District offices for space uptown in Penn 1, Commercial Observer has learned.
Cheil signed a 15-year lease for 37,000 square feet on the entire 37th floor of Vornado Realty Trust (VNO)’s 57-story office tower at 1 Penn Plaza just north of Madison Square Garden, according to a source with knowledge of the deal. Asking rent was $115 per square foot, the source said.
The Korea-based marketing company, owned by Samsung, currently has New York City offices that take up the entire 55,000-square-foot 837 Washington Street, as CO previously reported. It first inked the deal for the Washington Street property in 2014, outbidding heavy hitters Facebook, Google and Ferrari for the space.
Cheil was founded in Seoul in 1973 and has outposts in 46 countries around the world, according to its LinkedIn page. Its North American arm — which Joe Maglio recently took the helm of — has offices in Los Angeles, Toronto and Plano, Texas, according to its website.
Its move to Penn 1 will reduce its space by nearly 33 percent and bring it to the same building as its parent company. Samsung moved part of its New York City offices to 36,000 square feet in the office tower in 2023, CO previously reported.
Savills’ Nick Farmakis and Kirill Azovtsev represented Cheil in the deal while Vornado handled it in-house via Josh Glick, Jared Silverman and Anthony Cugini. Savills and Vornado declined to comment.
Other tenants in the recently renovated, 2.5 million-square-foot Penn 1 include investment advisory firm Canaccord Genuity Group and securities litigation law firm Rolnick Kramer Sadighi.
Nicholas Rizzi can be reached at nrizzi@commercialobserver.com.
