Santander Bank Renews 192K-SF Lease at Sage’s 437 Madison Avenue

Santander Bank is keeping its U.S. headquarters at 437 Madison Avenue for a while longer, Commercial Observer has learned.

The Spanish bank signed a seven-year renewal for 191,667 square feet across the fifth through 10th floors of Sage’s 40-story Midtown East office tower, according to the landlord. The deal also comes with an option to extend the lease.

“This deal, one of the largest seen in the market this year, shows the resurgence of Manhattan’s commercial real estate market,” Sage’s Michael Lenchner, who represented the landlord in-house along with Jack Brennan, said in a statement.

“437 Madison Avenue is our flagship property, in one of the city’s most prized locations and offering our Oasis amenity space,” Lenchner added. “We’re pleased Santander is committed to keeping the location as their headquarters.”

The exact asking rent was not disclosed, but Sage said asking rents for base units at the property range from $79 to $84 per square foot.

Savills’ Mitti Liebersohn, Arthur Mirante and Ana Erickson brokered the deal for the tenant. Spokespeople for Savills and Santander did not immediately respond to requests for comment.

Santander landed at the building between East 49th and East 50th streets in 2020, when the bank signed a sublease from coworking giant WeWork for 160,000 square feet, as Commercial Observer previously reported.

It’s unclear when Santander expanded its space at the building and moved to a direct deal, but the bank relocated its headquarters from 45 East 53rd Street as part of the sublease.

“We’re excited to see Santander not only continue to call 437 Madison Avenue their home in the U.S., but also extend their presence here with Sage,” Sage CEO Jonathan Iger said in a statement.

Other office tenants of 437 Madison include accounting firm Armanino. Art gallery Eden Gallery leases ground-floor retail space.

Isabelle Durso can be reached at idurso@commercialobserver.com.