The Office Tenants' Wish List
Gregg Cohen - Corporate Real Estate Specialist
I help companies lease office space
December 2019 — The 23rd Foot
"Knowledge is power"- Sir Francis Bacon
THE OFFICE TENANTS' WISH LIST
With the holidays just around the corner, “wish lists” seem to the topic of many conversations. Staying on theme, for those thinking about 2020/2021 and their next lease, we thought we’d share the findings from our meetings with tenants this year. Interestingly they are quite consistent with the findings of Gensler’s 2019 US Workplace Survey, MIT’s Center for Real Estate and Sustainable Design, as well as a few other surveys conducted this year.
1. Quality IT Connectivity
2. Amenities
3. Accessibility to Public Transportation
4. Natural Light
5. Quiet & Tech-Free Zones
6. Alternative & Collaborative Workspace
7. Flexibility
8. Green Space
Keep an eye out for this month's blog post, where we go into greater detail about each of these asks.
BEST DEALS BY THE FOOT
$55 per square foot - great for a law firm or an accounting firm. Seven years of term through 2026. Perimeter offices and open space for 8 in the middle Building is going through a rebranding. RFR now owns, has upgraded the lobby (Jeff Koons artwork) and building is being repositioned to $90-$100 per square foot. More details here.
Full floor, Penthouse. Office Intensive. 15 offices, 4 conference rooms with Open Space for 10 people. A deal is done in the mid $80's per square foot. $25 LESS than direct space in the building. Leave your office 5 minutes before the train departs.
Call Hedge Funds or those who need open space. Bryant Park views await you on the 17th floor with light from the north and the south. If green (trees) is a priority it should be included on your next tour.
Full floor, family office space priced $40 BELOW direct deals in the building. No expense was spared in the buildout. They've decided to relocate south of the Mason-Dixon which creates this amazing opportunity 35% LESS than direct space in the building at $70 per SF.
Grand Central location, Park Avenue address. I can't believe this is still available. Entire 23rd floor, 4 sides of light, with glass-fronted offices and conference rooms. It would be great for a law, accounting, or insurance firm as it has 2 conference rooms, 15 offices and open space for 20.
RECENT SUCCESS STORY
Manchester Capital Management LLC
"I would like to extend my personal and professional thank you for the outstanding service that you performed on our behalf. You were true to your word in acting as a representative for our lease renewal. I would not hesitate to give you my highest recommendation, unequivocally, to any tenant who is looking for representation as they set forth into the real estate jungle out there."
— Jeffrey Hall, Senior Managing Director
IT'S A BEAUTIFUL DAY IN THE NEIGHBORHOOD
Midtown: Akerman continues the flood of departures out of 666 Fifth Avenue. They'll be heading west to 1251 Sixth Avenue where they have leased 100,000 square feet. Moving further north, it sounds like the Sony Building at 550 Madison may have it's anchor tenant (125,000 square feet) in Perella Weinberg. That would be a decent blow to the GM Building at 767 Fifth, where PWP currently occupies space.
We're told that the Black Rock, 51 West 52nd is being put up for sale by ViacomCBS. And 330 Madison successfully changed hands this month with Abu Dhabi selling to Munich Re for somewhere between $850-900 million.
Midtown South: If you recall last month's letter we spoke about FAANG being out in full effect. That's Facebook, Apple, Amazon, Netflix & Google. This past month we in fact saw Facebook signed for 1.5 million square feet at 30, 50 & 55 Hudson Yards. Fresh on the heels of that signing it sounds like FB may also be close to another 700,000 square feet at the Farley Post Office. With those headlines, Amazon signing for 335,000 square feet at 410 Tenth Avenue sounds like small potatoes. But it's massive in its own right.
Dentsu Aegis also made headlines with its 300,000+ square foot lease signing at 341 Ninth Avenue.
FiDi: Law Firm Cozen O'Connor is consolidating its midtown (277 Park Avenue) and downtown (45 Broadway) locations with a new lease at 3 World Trade Center for 77,000 square feet.
250 Church was sold to Normandy & Columbia Property Trust for $205.5 million.
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5 年Great insight as always Gregg Cohen - Office Leasing Specialist! I like, Amenities, Natural Light, and being close to public transportation - that would be my office space wish list! :)?