Anthony Malkin and Christina Chiu

It might seem self-evident, but life is usually pretty good when you own the world’s most famous building. 

As the top executives of Empire State Realty Trust — owner of the Empire State Building and approximately 8.6 million square feet of rentable commercial space in the New York area — both Anthony Malkin and Christina Chiu have been at the top of their games recently. 

The firm had nine consecutive quarters of positive lease rate absorption and 11 consecutive quarters of positive blended marks on Manhattan portfolio leases (meaning new lease rents emerged higher than the previous round). The total commercial portfolio is 91 percent leased (up roughly 2 percent from last year), and the Empire State Building Observatory has been ranked the top tourist attraction by Trip Advisor for two years in a row. 

Moreover, ESRT’s stock price has kept chugging along steadily at $9 per share, and remains 60 percent higher than its May 2020 low. Malkin and Chiu credited proactive investments the firm has made in its largely Manhattan-based office portfolio for the stability. 

“That really distinguishes our portfolio, where we have invested over $1 billion to fully modernize our assets,” said Chiu. “This is where the demand is: There is a flight to quality, and there is a demand for top-tier space within any rental price point, and we are huge beneficiaries of that.”  

Through her proactive balance sheet management, Chiu has led the charge during a time of high interest rates and cratering office demand. Her team has already addressed the entire $315 million of debt maturity due in 2025. So now ESRT doesn’t have a significant maturity until the end of 2026, when $175 million is due, and the firm’s strategic disposition of suburban CRE assets last year has brought its 2027 maturity down to $155 million, Chiu said.  

The financial health of the famous Empire State Building Observatory is also back on track, generating $94.1 million in revenue in 2023, as a new reservation system has streamlined traffic and a partnership with Disney has helped brand the experience for a fresh generation of visitors. 

“We see continued upside with the Observatory,” said Malkin. “2023 was a year of wins.”