Yeshiva University Opening New 160K-SF Health Campus in Herald Square
By Abigail Nehring August 19, 2024 1:08 pm
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Yeshiva University will take over ASA College’s former Herald Square space for a new healthcare campus.
The private Orthodox Jewish university signed a 32-year leasehold condominium agreement for 160,000 square feet across the mezzanine, ground floor and entire fifth through ninth floors of 1293 Broadway, according to landlord JEMB Realty.
A spokesperson for JEMB did not disclose the asking rent, but office asking rents in the neighborhood averaged $109.26 per square foot in the second quarter of 2024, according to a report by Cushman & Wakefield. The deal was first reported by the New York Post.
The 138-year-old university has grown from its roots on the Lower East Side to occupy four campuses across Manhattan and the Bronx. Yeshiva is growing its healthcare and life sciences footprint in the city since it parted ways with its former medical college, the Albert Einstein School of Medicine, in 2016, a $465 million deal that cut its endowment nearly in half, The Forward previously reported.
That effort has already been underway at 220 East 42nd Street, where Yeshiva is opening a new 30,000-square-foot nursing school this fall.
The deal at the 10-story 1293 Broadway, across the street from Macy’s, helps Yeshiva further establish a new foothold in the city’s healthcare industry, according to the university.
“Yeshiva University’s new campus is an expression of our strategic growth as leaders in healthcare education,” Yeshiva President Dr. Ari Berman said in a statement. “We look forward to Yeshiva becoming an even greater participant in the New York Midtown neighborhood and its community.”
JLL (JLL)’s David Carlos, who was at Savills at the time of the deal, arranged it for Yeshiva while JEMB was represented in-house by Jacob Jerome and Morris Bailey along with Newmark (NMRK)’s Brian Waterman, Brent Ozarowski, David Berke and Kevin Sullivan.
“Yeshiva has an amazing entrepreneurial spirit,” Carlos said. “Healthcare education has been an area of real growth that they’re focused on.”
Jerome, Bailey and a spokesperson for Newmark declined to comment.
A spokesperson for JEMB said Yeshiva’s new campus “represents an enormous win for the Herald Square neighborhood.”
It’s also good news for JEMB, which was in trouble with its $255 million mortgage for the 258,412-square-foot building after the for-profit ASA College lost its accreditation and shut down last year, as The Real Deal reported.
The property at the corner of Broadway and West 34th Street is now fully occupied with the Yeshiva deal, according to JEMB. Discount retailer H&M occupies the lower floors and union group the Joint Industry Board of the Electrical Industry signed a 30,000-square-foot deal at the property last year, as Commercial Observer previously reported.
Abigail Nehring can be reached at anehring@commercialobserver.com.
