Merchant Bank Raine Group Relocating NYC HQ to Park Avenue Tower

PARK AVENUE TOWER AT 65 EAST 55TH STREET. PHOTO: COSTAR GROUP

PARK AVENUE TOWER AT 65 EAST 55TH STREET. PHOTO: COSTAR GROUP

Merchant bank The Raine Group is moving its New York City headquarters to Park Avenue Tower at 65 East 55th Street after agreeing to take more than 33,000 square feet of space at the Midtown office building, Commercial Observer has learned.

The firm agreed to a 15-year, 33,253-square-foot lease last week for the entire 23rd and 24th floors at the 36-story, 620,000-square-foot property located on Park Avenue between East 55th and East 56th Streets, according to sources with knowledge of the deal.

The Raine Group plans to move to its new space next summer from its current digs at SL Green Realty Corp.’s 810 Seventh Avenue between West 52nd and West 53rd Streets, where it presently occupies the entire 17,320-square-foot 39th floor.

Asking rent in the transaction was $135 to $140 per square foot, sources said. Newmark Knight Frank’s Brian Goldman and Matthew Lorberbaum represented the tenant in the deal, while landlord Equity Office was represented in-house by Zach Freeman and Scott Silverstein as well as by NKF’s Brian WatermanJared HorowitzBen ShapiroBrent Ozarowski and Lance Korman.

Freeman, the vice president of leasing for the Blackstone Group-owned office landlord, said in a statement that the merchant bank was drawn to Park Avenue Tower’s recently completed renovations, which include a redesigned lobby and outdoor plaza and a new 20,000-square-foot tenant amenity center known as The Club. The amenity center features a fitness center, a recreation area equipped with billiards and Ping-Pong tables, a dining area and conference rooms.

“We are proud to have achieved optimal results for [The Raine Group], maximizing Equity Office’s design/buildout offering at Park Avenue Tower to create a dynamic and collaborative space in direct alignment with Raine’s objectives,” NKF’s Goldman said in a statement.

The Raine Group specializes in the technology, media and telecommunications industries, where it arranges and advises on transactions in addition to pursuing its own investments. The firm advised Japanese telecommunications corporation SoftBank in its $21.6 billion takeover of Sprint in 2013 and former Microsoft executive Steve Ballmer in his $2 billion purchase of the National Basketball Association’s Los Angeles Clippers in 2014, while also investing its own capital in ventures like Vice Media. In addition to its New York headquarters, The Raine Group has offices in San Francisco, Los Angeles, London, Shanghai and Mumbai.

At Park Avenue Tower, the merchant bank joins the likes of real estate investment firm Monday Properties, which recently agreed to take more than 16,000 square feet at the building, as CO reported earlier this month. Other companies on the property’s finance-heavy tenant roster include Cyrus Capital PartnersOak Hill Capital PartnersStephens Inc.Eminence Capital, the National Bank of Canada and talent agency ICM Partners.

BY REY MASHAYEKHI DECEMBER 20, 2017 1:52 PM

https://commercialobserver.com/2017/12/merchant-bank-raine-group-relocating-nyc-hq-to-park-avenue-tower/

Financial Adviser Adds Nearly 17K SF on Same Block as Its HQ

53 WEST 23RD STREET.

53 WEST 23RD STREET.

Betterment Holdings has taken 16,909 square feet at 53 West 23rd Street toaccommodate the investment management company’s growthThe Wall Street Journal reported. The building is between Fifth Avenue and Avenue of the Americas, on the same block as its headquarters, which are at 61 West 23rd Street.

The new space spans the entire fourth floor, a spokesman for landlord Adams & Co., told Commercial Observer. James Buslik and Alan Bonnet, both of Adams & Co., represented the company in-house in the deal. Mike Matthias of Savills Studleyrepresented Betterment.

Betterment signed a five-year lease in the 12-story 1915 building with an asking rent of $66 per square foot, the Adams & Co. spokesman said. The company moved into the space last month.

Notable office tenants include millennial news site Elite Dailywhich is in 22,255 square feet, as CO previously reported. The media company took the entire 12th floor from Tremor Video, which moved to Times Square. Saks IncorporatedAnthony Lawrence of NY4 Kids Entertainment and W.B. Mason, are also office tenants. Electronics and home appliance retailer P.C. Richard & Son is in the property’s retail space, occupying three floors for just less than 38,000 square feet, according to CoStar Group.

The Adams & Co. brokers didn’t respond with a comment, and nor did a spokesman for Savills Studley

https://commercialobserver.com/2016/10/financial-adviser-adds-nearly-17k-sf-on-same-block-as-its-hq/

Broker-dealer inks 22K lease at SL Green’s 521 Fifth Avenue

Asking rent was $70 per sf

Asking rent was $70 per sf

Broker-dealer KGS-Alpha Capital Markets is taking more than 20,000 square feet in SL Green Realty’s 521 Fifth Avenue.

The company inked a lease for 22,368 square feet at the 503-foot-tall office tower, formerly known as the Lefcourt Colonial Building. The asking rent was $70 per square foot, the New York Post reported. KGS is moving from its current location at Boston Properties’ 601 Lexington Avenue, where it reportedly subleases about 30,000 square feet.

Cushman & Wakefield’s Tara Stacom, Justin Royce, Matthias Li and Barry Zeller represented SL Green. KGS was represented by Savills Studley’s Jeffrey Peck, Daniel Horowitz and Chris Foerch.

SL Green bought the building in 2006 as part of a joint venture, but took complete control of the property in 2011. In 2012, the real estate investment trust sold a 49.5 percent equity interest at the tower to Plaza Global Real Estate Partners for $72 million. Other tenants in the 409,000-square-foot building include RKF, CFC Capital and Equinox Fitness.

https://therealdeal.com/2016/10/04/broker-dealer-inks-22k-sf-lease-at-sl-greens-521-fifth-avenue/