office lease

Fintech giant Finastra expanding into 285 Madison penthouse

Finestra.PNG

RFR Realty LLC  announced that global financial technology provider Finastra – created when Misys and D+H joined forces in June this year – has expanded into the 11,275 s/f  full-floor penthouse at 285 Madison Avenue.

Finastra already occupies 23,500 s/f on the fourth floor of the newly repositioned office tower near Grand Central Terminal and Bryant Park.

Finastra is the third largest Fintech (financial technology) firm in the world. It has over 9,000 customers across 130 countries, including 48 of the top 50 banks globally.  The expanded office space will bring all New York-based employees under one roof.

The landlord was represented by Alexander Chudnoff, Mitchell Konsker, Dan Turkewitz and Diana Biasotti of JLL, as well as RFR’s Senior Vice President and Director of Leasing AJ Camhi. Jon Sarkisian, Neil King and Emily Jones of CBRE represented the tenant in the lease transaction.

“We are delighted that this exciting global financial technology firm, Finastra, has chosen to expand its presence within 285 Madison,” said Camhi. “The leasing velocity we’ve seen here since we completely reimagined this well-located office tower speaks volumes about tenants’ desire to match a sought-after location with an array of exceptional on-site amenities.”

The Finastra expansion comes on the heels of Tommy Hilfiger (PVH Corp.) signing a 200,000 s/f lease to relocate its U.S. corporate headquarters to 285 Madison Avenue, joining  global firms including Brighthouse Financial, Pepsico, Bessemer Venture Partners, StriVectin Operating Company and General Electric Company.

In addition to the flurry of new office leasing at the building, recent retail deals at 285 Madison Avenue will bolster the building’s transformation, adding additional amenities for tenants and the surrounding neighborhood.

The Benjamin Group—the restaurant operator behind the Benjamin Steakhouse and Sea Fire Grill concepts—signed a 16-year lease for 9,020 s/f for a Benjamin Steakhouse. Popular Community Bank, part of the international financial services group Banco Popular, signed a lease for the 3,553 s/f corner space. London-based coffee purveyor Taylor Street Baristas occupies 1,040 s/f of space adjacent to the restaurant, as well as a portion of the mezzanine.

The building was acquired by RFR vacant in 2012 and has been transformed through a $65 million  renovation and design upgrade. This includes a landscaped roof terrace with lounge seating and an adjacent indoor multipurpose collaboration space with tables and selected art. The building lobby also has a rotating contemporary art program, currently featuring works by Peter Dayton, Enoc Perez, and Mike Bidlo.

Other tenant amenities include a private lounge, event space, fitness center complete with showers and men’s and ladies’ locker rooms, and a bike storage area.

BY REW 

SEPTEMBER 19, 2017

http://rew-online.com/2017/09/19/fintech-giant-finastra-expanding-into-285-madison-penthouse/

Three Financial Services Firms Ink New Office Leases at 600 Lex

SL Green Realty Corp. has signed three new financial services tenants at its 600 Lexington Avenue office tower in Midtown East, the real estate investment trust announced today.

In the largest deal, investment banking advisory firm GLC Advisors & Co. took 12,487 square feet comprising the entire ninth floor of the 36-story, 305,000-square-foot property on the northwest corner of East 52nd Street. GLC signed the seven-year lease, which will commence in December, late last month and will move to 600 Lexington Avenue from its current location at Cohen Brothers Realty Corp.’s 805 Third Avenue.

Private equity firm NexPhase Capital, meanwhile, inked a five-year lease for the entire, 8,607-square-foot 12th floor at the building. The deal, which was signed this week, is anticipated to commence at the beginning of November and will see NexPhase relocate from Boston Properties’ 399 Park Avenue.

Finally, alternative investment manager KCL Capital signed a five-year deal to take the entire 6,780-square-foot 28th floor at 600 Lexington Avenue. The transaction was sealed late last month, with KCL’s lease expected to commence in the middle of October. The company’s current location was not disclosed.

Asking rent in the transactions ranged from the low $70s to mid-$80s per square foot, according to sources with knowledge of the deals. A JLL team of Paul GlickmanDiana BiasottiJonathan Fanuzzi and Ben Bass represented SL Green in the transactions. Daniel Posy and Jason Roberts of Savills Studley handled the GLC and KCL leases for the tenants, while Newmark Knight Frank’s Brian Goldman and Eric Cagner worked on behalf of NexPhase.

The deals take 600 Lexington Avenue to “nearly 99 percent occupancy,” Steven Durels, SL Green executive vice president and director of leasing and real property, said in a statement. Durels added that the building’s “efficient, small floors with floor-to-ceiling windows and white glove service” have proven “highly appealing to upscale tenants.”

Tenants at the property include hedge funds MKP Capital ManagementElement Capital and LibreMax Capital.

BY REY MASHAYEKHI SEPTEMBER 15, 2017 8:00 PM

https://commercialobserver.com/2017/09/three-financial-services-firms-ink-new-office-leases-at-600-lex/

BlackRock zeroes in on 50 Hudson Yards for Headquarters

Rendering of 50 Hudson Yards (credit:   New York YIMBY  )

Rendering of 50 Hudson Yards (credit: New York YIMBY)

BlackRock is in talks with Related Companies to move its headquarters to 50 Hudson Yards.

The asset manager is negotiating to take 850,000 square feet at the planned 62-story office tower, the Wall Street Journal reported. The firm, which manages $5.1 trillion in assets, had also eyed Tishman Speyer’s the Spiral at 509 West 34th Street, but, according to the Journal, seems to be leaning toward Related’s property. If the deal goes through, it would be one of the biggest office leases in the city this year.

BlackRock currently leases 700,000 square feet in two buildings – Fisher Brothers and Soho China’s 55 East 52nd Street and Rudin Management’s 40 East 52nd Street. The leases expire in 2023. At last check, the average asking rents for flashy office space in Midtown was about $82 per square foot. That translates to BlackRock spending $69.7 million annually for the space at 50 Hudson Yards, though rent will likely vary.

The firm is expected to make a final decision as early as by the end of November.

A JLL team is leading the BlackRock’s search, as The Real Deal first reported in February. [WSJ] — Kathryn Brenzel

Investment Adviser Renews Nearly 14K SF at Rudin’s 845 Third Avenue

845 Third Avenue. Photo: CoStar Group

845 Third Avenue. Photo: CoStar Group

An investment counseling firm has opted to renew its headquarters at the Rudin family’s 845 Third Avenue for another 10 years, Commercial Observer has learned.

Inverness Counsel will stay put in its 13,787 square feet at the building between East 51st and East 52nd Streets into 2026, according to a press release provided by the landlord.

The firm, which manages about $2.6 billion in assets, has been based at the property since August 2006, CoStar Group indicates.  

“Inverness Counsel has enjoyed its long-standing relationship with the property’s ownership as it established its headquarters in the space over 10 years ago,” Cushman & Wakefield’s Eric Reimer, who represented the tenant in the deal, said in prepared remarks.

Rudin was represented in-house by Thomas Keating, the head of commercial leasing for Rudin Management Company, which oversees the building. Asking rent was $59 per square foot, according to a spokeswoman for the landlord.

“We are delighted that our long-term tenant Inverness Counsel has recommitted to 845 Third Avenue for another decade,” William Rudin, the chief executive office of Rudin Management, said in a statement.

The 53-year-old building is no stranger to financial and corporate firms. Other occupants of 845 Third Avenue include investigator K2 Intelligence, financial firm Kroll Bond Rating Agency and home health provider SeniorBridge Family Companies.

 

https://commercialobserver.com/2016/10/investment-adviser-renews-nearly-14k-sf-at-rudins-845-third-avenue/

Thor Lures Personal Finance Company From Third Avenue

597 FIFTH AVENUE. PHOTO: COSTAR GROUP

597 FIFTH AVENUE. PHOTO: COSTAR GROUP

Thor Equities has leased out a full floor of its 597 Fifth Avenue to a personal finance firm, Commercial Observer has learned.

ValuePenguin will occupy the whole fifth floor, or 6,370 square feet, of the 81,000-square-foot building between East 48th and East 49th Streets, according to a press release from Thor.

The company signed a 10-year deal at the property, also known as the Charles Scribner’s Sons Building, and is moving from a smaller space at 600 Third Avenue, according to Thor.

Asking rent was in the deal was $65 per square foot, a source familiar with the deal said.

Douglas Elliman’s Anita Grossberg represented ValuePenguin, while Thor’s Adam Rappaport represented the landlord in-house with Christel Engel and Robert Gallucci of Colliers International. Grossberg did not immediately return a request for comment.

“The quality of the existing building meant that we wouldn’t be required to do significant imagining on our own about what to do with the office,” Jonathan Wu, the chief executive officer of ValuePenguin, said in an email. “Instead we could simply extend what was already there and focus on our business.”

Thor seems to be leasing out full floors of the 1913 building, originally built to house Scribner’s Bookstore. In April 2015, CO reported that Bateleur Capital signed a deal for the whole 6,364-square-foot ninth floor, and GCT Constructors inked a lease for the entire 6,364-square-foot fourth level.     

“597 Fifth Avenue is ideally situated on Fifth Avenue between Bryant Park and Central Park, with Grand Central Terminal, [Pennsylvania] Station and the Port Authority Bus Terminal all in close proximity,” Melissa Gliatta, Thor’s chief operating officer, said in prepared remarks.  

https://commercialobserver.com/2016/10/thor-lures-personal-finance-company-across-fifth-avenue/

 

Investment Manager Staying Put at SL Green’s 600 Lexington Avenue

600 LEXINGTON AVENUE.

600 LEXINGTON AVENUE.

An international investment firm has re-upped its three-floor lease at SL Green Realty Corp.’s 600 Lexington Avenue.

Commercial Observer has learned that MKP Capital Management has renewed for more than five years at the building between East 52nd and East 53rd Streets. The firm currently occupies the 16th through 18th floors, according to a press release provided by the landlord.

An SL Green spokeswoman said the investment manager has been based at the 300,000-square-foot property since 2010. Asking rent in the renewal was $85 per square foot, she added.

SL Green leasing chief Steven Durels noted in prepared remarks that the 36-story tower is “a magnet for financial firms because of its boutique-size floors flooded with natural light, floor-to-ceiling windows and upscale lobby.”

John Mambrino and Evan Margolin of Savills Studley represented the tenant and declined to comment via a spokeswoman. Larry Swiger represented SL Green in-house.

Popular sandwich shop Pret A Manger signed a deal in June 2014 to occupy a portion of the building’s retail section, as CO reported at the time. The eatery took a  corner section at the Midtown property.

Some of the other office tenants at the building include Nissan and aviation firm NetJets, a Berkshire Hathaway subsidiary. 

https://commercialobserver.com/2016/10/investment-manager-staying-put-at-sl-greens-600-lexington-avenue/

BlackRock's relocation would shake city's office market and policymakers

BlackRock's plan to trade Park Avenue for Hudson Yards reveals the cracks in the commercial real estate landscape.

BlackRock's plan to trade Park Avenue for Hudson Yards reveals the cracks in the commercial real estate landscape.

Whenever BlackRock speaks, the markets quake. When BlackRock picks a location for its headquarters, the city’s office market will tremble. And the de Blasio administration could find itself under an unwelcome spotlight.

Consider this a tale of the city’s three most important office markets.

BlackRock—one of the world’s largest money managers—occupies two buildings just off Park Avenue, once the most prestigious address in midtown. But employers including Citigroup and Major League Baseball have been leaving midtown east because the buildings there are old—66 ½ years, on average—and outmoded for the way large corporations configure their operations.

BlackRock considered and then ruled out anchoring Larry Silverstein’s 2 World Trade Center tower. In January, Fox and News Corp. similarly backed out of an almost-completed deal to move to the building, which offers low rents through large city subsidies.

Now BlackRock is eyeing the far West Side. It could relocate to Hudson Yards, the great legacy of the Bloomberg administration, or to a tower that Tishman Speyer is planning one block north. It would be in good company at either location, as Hudson Yards’ developer, the Related Cos., haslured a list of well-known names: Coach, Milbank Tweed, KKR, SAP and Time Warner, to name a few. They are moving into the most modern office space anywhere, helped by significant tax breaks.
Although BlackRock might stay in midtown, as Fox and News Corp. did, the odds of a move seem good.

Here’s what the BlackRock story tells us about the city’s three major office districts:

  • Downtown continues to struggle to lure the high-profile, big-name tenants it needs to fill the new skyscrapers at the World Trade Center site. Whether it can do so remains an open question, especially if the city’s economy weakens.
  • The far West Side is established as the go-to location for successful companies that want to make it clear they are the best in their business. Its future seems secure.
  • Midtown east is in danger of seeing its tenants slip away unless the de Blasio administration can finally push through a rezoning to allow a handful of new office buildings and modernization of old ones—something the Bloomberg administration failed at three years ago.

The de Blasio administration did green-light the SL Green Tower opposite Grand Central Terminal in a nifty deal that produced at least $220 million in improvements at the transit hub. But one building won’t solve the problem.

The latest de Blasio proposal seems to have broader support, possibly because it is forgoing money for transit improvements to instead help the landmark churches in the area sell their air rights—a decision made to neutralize a potential opponent. But it has been three years since the Bloomberg midtown east effort crashed. Time is a-wasting for the help the area needs.

http://www.crainsnewyork.com/article/20161009/BLOGS01/161009896/blackrocks-planned-move-to-hudson-yards-reveals-weakness-of-midtown-east-and-downtown-commercial-real-estate-markets

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/

Winton Capital leaves Seagram Building for 315 PAS

Hedge fund to take 35K sf at Columbia Property Trust tower

315 Park Ave South in NoMad (inset from top: Winton Capital’s David Harding and Columbia Property Trust’s Nelson Mills)

315 Park Ave South in NoMad (inset from top: Winton Capital’s David Harding and Columbia Property Trust’s Nelson Mills)

U.K.-based hedge fund Winton Capital is relocating from the Seagram Building to 315 Park Avenue South in Midtown South.

The investment firm signed a 10-year lease for 34,844 square feet at Columbia Property Trust’s under-renovation office tower, according to the Wall Street Journal. Columbia CEO Nelson Mills said the move was a “badge of honor” for 315 Park.

Winton will have a private elevator, lobby and elevators in the 328,193-square-foot building. The asking rent for the space was $105 per square foot.

Columbia, a real estate investment trust, paid $375 million to buy the 20-story pre-war building from Spear Street Capital in 2014. L&L Holding Company manages the property and handles leasing services.

Spear Street bought the building in 2013 from Craig Nassi’s BCN Development for $250 million.
Columbia has also reeled in new tenants including Equinox, which is taking 44,000 square feet, and Fullscreen, a YouTube channel aggregator that’s taking 17,000 square feet.  Oracle Corp. plans to expand its footprint there, as well.

https://therealdeal.com/2016/07/11/winton-capital-leaves-seagram-building-for-315-park-avenue-south/

Financial Manager Renews at SL Green’s 485 Lexington Avenue

485 LEXINGTON AVENUE.

485 LEXINGTON AVENUE.

Offit Capital Advisors, an employee-owned finance firm, has inked a 10-year renewal at 485 Lexington Avenue, Commercial Observer has learned.

The firm will remain in its 14,206 square feet on the whole 24th floor of the SL Green Realty Corp.-owned building between East 46th and East 47th Streets, according to a press release from the landlord. Offit Capital has been based at the 921,370-square-foot property since September 2010, CoStar Group indicates.

Asking rent in the deal was $78 per square foot, according to an SL Green spokeswoman.

“We are delighted that Offit Capital has elected to extend its occupancy with us,”Steven Durels, the head of leasing for SL Green, said in prepared remarks. “Leasing momentum in Midtown East and particularly in the Grand Central [Terminal] submarket has remained very strong this year.”

Larry Zuckerman of Newmark Grubb Knight Frank represented Offit Capital, while Natasha Brown represented SL Green in-house. An NGKF spokeswoman did not immediately return a request for comment.

Earlier this month, Tailwind Capital signed an early renewal for its full-floor space one level below on the 23rd floor, as CO previously reported. The investment firm is staying in its 14,206-square-foot office for an additional five years. Memorial Sloan Kettering Cancer Center signed a 54,200-square-foot sublease for seven years on the second floor of the building in February 2014.

https://commercialobserver.com/2016/06/financial-manager-renews-at-sl-greens-485-lexington-avenue/

Tailwind Capital Renews 14K-SF Lease at SL Green’s 485 Lexington Avenue

485 LEXINGTON AVENUE (PHOTO: COSTAR GROUP).

485 LEXINGTON AVENUE (PHOTO: COSTAR GROUP).

Private equity company Tailwind Capital has signed an early renewal for its 14,206-square-foot offices at SL Green Realty Corp.’s 485 Lexington Avenue.

The investment firm will remain on the entire 23rd floor of the 32-story Midtown office tower between East 46th and East 47th Streets, which is also known as the Grand Central Square, according to the tenant’s broker CBRE. The firm declined to provide the asking rent in the five-year deal.

A CBRE team of Evan FiddleBen Friedland and Michael Movshovich represented the tenant. While Tailwind Capital looked around at other buildings for its offices, it “ultimately found that 485 Lexington was the best solution for them,” Mr. Fiddle said, without providing further explanation.

Natasha Brown and David Kaufman of SL Green represented the landlord in-house on the transaction. Kaufman did not return a request for comment.

SL Green bought the 925,364-square-foot steel and glass building at 485 Lexington Avenue and the nearby 750 Third Avenue for a combined $480 million in 2004 from pension fund TIAA-CREF, according to city records.

Current tenants in the tower include insurance agency The Travelers Companies, investment firm GoldenTree Asset Management and printer and photo-copying equipment company Xerox Corporation.

https://commercialobserver.com/2016/06/tailwind-capital-renews-14k-sf-lease-at-sl-greens-485-lexington-avenue/

Merrill Lynch takes 125K sf at 75 Rockefeller Plaza

Landlord RXR Realty poured $150M into renovations since 2014

From left: 717 Fifth Avenue, 75 Rockefeller Plaza and RXR’s Scott Rechler

From left: 717 Fifth Avenue, 75 Rockefeller Plaza and RXR’s Scott Rechler

Merrill Lynch Wealth Management is trading its Fifth Avenue digs for four floors at RXR Realty’s newly-renovated 75 Rockefeller Plaza.

The investment company signed a lease for 125,000 square feet on the second through fifth floors of the 623,000-square-foot building, Commercial Observer reported. Since 1998, Merrill Lynch has roughly the same amount of space 717 Fifth, according to CoStar.

Terms of Merrill’s long-term lease at 75 Rock were not reported, but asking rents in Midtown averaged $81 per foot during the first three months of 2016, according to Colliers International.

Scott Rechler’s RXR took control of the building in 2013 when it signed a 99-year, triple-net lease with the owner, British billionaire Mohamed Al Fayed. It has poured $150 million into renovations since the 2014 departure of anchor tenant Time Warner Cable.

Merrill was represented by CBRE’s Robert Alexander, Ryan Alexander, Ramneek Rikhy and Emily Jones. Cushman & Wakefield’s Bruce Mosler, Tara Stacom and Mikael Nahmias represented RXR.

In addition to Merrill, other tenants include doll brand American Girl, which signed a 40,000-square-foot lease at the building’s retail space. Last year, Bank of America took a 200,000-square-foot lease at 75 Rock. [CO] – E.B. Solomont

https://therealdeal.com/2016/06/21/merrill-lynch-takes-125k-sf-at-75-rockefeller-plaza/

FinTech Firm, Investment Bank Take Full Floors at 19 West 24th Street

19 WEST 24TH STREET.

19 WEST 24TH STREET.

Two tenants have each inked entire floors at Kaufman Organization’s 19 West 24th Street, which together account for more than 10,000 square feet of space.

Commercial Observer has learned that TransferWise, a financial services platform, has signed a five-year, 5,418-square-foot lease for the entire ninth floor at the property between Broadway and Avenue of the Americas.

The company, which allows users to transfer money abroad “without hidden fees,” will take the entire ninth floor of the 63,015-square-foot office building between Fifth Avenue and Avenue of the Americas. It plans to move into the building in the summer from coworking space at WeWork’s digs at 175 Varick Street.  

Asking rents in the building were in the $70s per square foot, according to a Kaufman spokeswoman. Colliers International’s Michael Thomas, who represented the tenant, declined to comment on the deal.

The building “continues to attract a diverse mix of high-quality tenants as the building offers updated loft-style office spaces located in one of the most sought after office destinations,” Kaufman’s Grant Greenspan, who represented the landlord with colleagues Michael Heaner and Elliot Warren, said in a statement.

In the second deal, Pursuit Advisory, an investment bank that provides services to media, technology, digital and private equity firms, has also taken a five-year, 5,418-square-foot lease for the entire eighth floor. Pursuit Advisory is also moving in during the summer from a temporary space in Lower Manhattan.

Pursuit Advisory “wanted a cool, hip area,” Arash Sadighi of TheSquareFoot, who represented the bank, told CO. “They felt that 24th Street off Madison Square Park gave them what they wanted.”

With these two leases, the 12-story building is now 85 percent occupied with only two floors remaining. Other tenants include Blue Ocean Brokerage, men’s custom clothing line Knot Standard, health technology company AiCure and a family-owned distributor of wines and spirits, Wilson Daniels Wholesale.

https://commercialobserver.com/2016/06/fintech-firm-investment-bank-take-full-floors-at-19-west-24th-street/

TIAA signs two new tenants at 685 Third Avenue

Commonwealth Secretariat and NewOak Capital will take about 46K sf between them

TIAA’s Kevin Smith and 685 Third Avenue in Midtown (Photo: CoStar)

TIAA’s Kevin Smith and 685 Third Avenue in Midtown (Photo: CoStar)

A financial services firm and the governing body of the Commonwealth of Nations, formerly the British Commonwealth, will soon take up residence at TIAA’s 685 Third Avenue.

Commonwealth Secretariat, an organization representing 53 sovereign states, mostly part of the former British Empire, signed a deal to take 27,000 square feet on the building’s 11th floor at an asking rent in the $60s per square foot

Michael Burgio and Daniel Organ of Cushman & Wakefield represented the tenant, which is leaving its current home at 800 Second Avenue, the New York Post reported.

NewOak Capital will take the buildings 21st floor, a total of 17,800 square feet. Asking rent for that space was higher, $77 per square foot. Newmark Grubb Knight Frank’s Larry Zuckerman and Dan Gronich represented NewOak.

JLL’s Matt Astrachan, Frank Doyle, Clark Finney, Jonathan Fanuzzi and Dan Santagata represented the landlord in both deals.

The building’s largest tenant, Salesforce, recently announced it was planning to consolidate its operations at its new headquarters at 3 Bryant Park, which is now officially known as the Salesforce Tower New York.

TIAA took out a $190 million loan last year to fund renovations at the 646,000-square-foot Midtown East tower.

https://therealdeal.com/2016/06/15/tiaa-cref-signs-two-new-tenants-at-685-third-avenue/

First Commercial Bank, Consulting Company Each Sign Full-Floor Deals at 750 Third Avenue

750 THIRD AVENUE.

750 THIRD AVENUE.

After 15 years on the top floor at 750 Third Avenue, Taiwan-based First Commercial Bank has re-upped, Commercial Observer has learned, and advisory and expert services firm Ankura Consulting Group is moving onto a full floor in the Grand Central Terminal-area building.

Commercial Bank’s 11,779-square-foot space spans the entire 34th floor of the 857,354-square-foot office building between East 46th and East 47th Streets, according to information from landlord SL Green Realty Corp. The renewal lease is for 15 years, said Daniel Horowitz of Savills Studley, who represented First Commercial Bank in the deal.

“The building obviously is well-managed by SL Green and [Commercial Bank is] on the top floor of the building so they have the prestige of having a relatively modest-sized presence and maintaining an outsized commanding view of Third Avenue,” Horowitz said. Natasha Brown represented the landlord in-house in the transaction.

Commercial Bank will perform “some modest upgrades, reconfigure the space and make it productive for the ensuing years,” Horowitz added.

Meanwhile, Atlanta-based Ankura signed a new five-plus-year lease covering 11,779 for the entire 28th floor of the building, according to a release from SL Green. The building asking rents range from $69 to $72 per square foot, according to Steven Durels, the director of leasing and real property for SL Green. He noted that the company will move in later this summer after a build-out.

Don Preate of Cushman & Wakefield represented Ankura, while David Kaufman acted in-house for SL Green. A spokesman for C&W didn’t immediately respond to a request for comment.

“We are delighted to welcome Ankura to the building, and retain First Commercial Bank, Ltd., for the long-term,” Durels said in prepared remarks. He added that “these transactions are testament to the continued robust leasing activity currently be experienced in Midtown Manhattan and particularly within the Grand Central Terminal submarket.”

SL Green acquired the building in July 2004 from TIAA-CREF for $255 million, according to property records. Other tenants in the building include accounting firms Eisner and Marcum, as well as Endurance Reinsurance and FTI Consulting.

https://commercialobserver.com/2016/06/first-commercial-bank-consulting-company-each-sign-full-floor-deals-at-750-third-avenue/

Visa swipes in at 277 Park Avenue

Credit card processor inks 25K sf lease at Stahl’s Plaza District tower

277 Park Avenue

277 Park Avenue

If the Stahl Organization were looking for a slogan for its 2.1 million-square-foot office tower at 277 Park Avenue, it could try, “Everywhere you want to be.”

Financial services firm Visa, best known for its branded debit and credit cards, inked a lease for the full, 25,000 square-foot 50th floor near the top of Stahl’s Plaza District tower, sources told The Real Deal.

The asking rent for the 10-year deal was $125 per square foot.

A team at Cushman & Wakefield including Peter Occhi, Mark Boisi and James Frederick represented the landlord. David Hollander at CBRE negotiated the deal on behalf of Visa.

The brokers declined to comment.

The space, which boasts dramatic double-height ceilings, became available for the first time in half a century two years ago as one half of a 50,000 square-foot penthouse on the 49th and 50th floors. That was when the Continental Grain Company relocated to the General Motors Building at 767 Fifth Avenue.

The 49th Floor remains on the market, according to CoStar.

Back in 2014, Visa dropped the “It’s” from the company’s popular slogan, abbreviating it to simply: “Everywhere you want to be.”

The company is relocating from the William Kaufman Organization’s 777 Third Avenue, where it currently occupies 10,810 square feet on part of the building’s 23rd Floor. That space is now available for sublease, with a term running through 2023.

277 Park is also home to Stahl’s headquarters.

Other tenants in the building include JP Morgan Chase, which has 571,000 square feet in the tower, and Sumitomo Mitsui Bank Corporation, a subsidiary of Japan’s fourth-largest bank.

https://therealdeal.com/2016/06/02/visa-swipes-in-at-277-park-avenue/

Goldman Sachs’ Real Estate Finance Co-Head Jumps Ship to Start B-Piece Fund

JONATHAN STRAIN (PHOTO: LINKED IN).

JONATHAN STRAIN (PHOTO: LINKED IN).

Jonathan Strain, the co-head of U.S. Real Estate Finance at Goldman Sachs has left the company in order to start his own fund, Commercial Observer can first report.

The new fund will focus on purchasing B-pieces of commercial mortgage-backed securities, according to two people familiar with the move.

Mr. Strain co-led the U.S. Real Estate Finance group along with Ted Borter. He joined Goldman Sachs in 2014 after heading up JP Morgan Chase’s CMBS Capital Markets group for seven years. Prior to that, Mr. Strain held positions at Dillon Read Capital Management, UBS and Morgan Stanley.

Mr. Strain’s last day at Goldman was Friday of last week, according to one of the sources.

A spokesman for Goldman Sachs declined to comment. Mr. Strain could not immediately be reached for comment.

https://commercialobserver.com/2016/05/goldman-sachs-real-estate-finance-co-head-jumps-ship-to-start-b-piece-fund/

1/0 Capital Takes Squarespace Space at 459 Bway

459 BROADWAY (PHOTO: COSTAR GROUP).

459 BROADWAY (PHOTO: COSTAR GROUP).

1/0 Capital, an investment firm in the consumer credit and technology sector space, has found new digs in a Chetrit Group building in Soho, Commercial Observer has learned.

Website builder Squarespace has subleased 1/10 Capital 12,500 square feet at 459 Broadway, spanning the fourth and fifth floors at the property between Grand and Howard Streets, also known as The Devlin Building, according to Bertram Rosenblatt of Vicus Partners, who represented 1/10 Capital along with colleague Roy Abraham.

1/0 Capital’s deal is for four years, which is when Squarespace’s 10-year lease expires, Mr. Rosenblatt said, and the asking rent was $72 per square foot.

After sealing the deal at the end of last month, 1/0 immediately moved in, consolidating from roughly 8,000 square feet at 625 Broadway, 3,000 square feet at 32 East 57th Street and 1,500 square feet at 450 Park Avenue, according to Mr. Rosenblatt.

“It’s just really about putting everybody in one place, with all of the brands under one roof,” Mr. Rosenblatt said. He added that the new offices were great because they’re “flooded with light,” 1/0 Capital has rooftop access, the building is in “the right place” and it’s convenient for the founder and his wife, who live nearby.

Paul Myers and Rocco Laginestra of CBRE represented Squarespace in the deal. The brokers declined to comment via a spokeswoman.

Yoga Works is in 6,500 square feet each on the second and third floors, according to CoStar Group, and Gem Realty is in 500 square feet on the ground floor.

https://commercialobserver.com/2016/05/10-capital-takes-squarespace-space-at-459-bway/

High-frequency trading firm takes 69K sf at 4 WTC

Hudson River Trading leaving current FiDi office at 32 Old Slip

4 World Trade Center in the Financial District (credit: Silverstein Properties)

4 World Trade Center in the Financial District (credit: Silverstein Properties)

High-frequency trading firm Hudson River Trading is taking 69,000 square feet of office space at Silverstein Properties 4 World Trade Center in the Financial District.

The company will occupy the 57th and 58th floors at the 72-story, 2.3 million-square-foot office tower starting next year.

Hudson River Trading’s space comes with a 5,000-square-foot outdoor terrace located on a setback on 4 WTC’s 57th floor and invisible from the street, according to the New York Post. The terms of the deal and asking rents at the building were not disclosed.

The firm, which uses automated trading algorithms to carry out its high-frequency trading operations, will be leaving its current office at 32 Old Slip, also in the Financial District.

Hudson River Trading will join the likes of software company MediaMath, which has 106,000 square feet at 4 World Trade Center, and sports cable network SNY, which occupies 83,000 square feet there.

The Port Authority of New York and New Jersey anchors the property, which houses the agency’s 650,000-square-foot headquarters.

Swiss insurance giant Zurich’s U.S. subsidiary is reportedly in negotiations to take around 70,000 square feet at 4 World Trade Center, as Crain’s reported earlier this month. [NYP] – Rey Mashayekhi

Schroders takes 74K sf at 7 Bryant Park

Bank of China bought the 30-story tower for $600M last year

7 Bryant Park and a bank of China location

7 Bryant Park and a bank of China location

The U.S.-based arm of global financial services firm Schroders is set to move to Bank of China’s 7 Bryant Park in Midtown.

Schroders Investment Management North America signed a 15-year lease to take the 17th through 21st floors, and part of the 16th floor, for a total of 74,000 square feet, the New York Post reported.

Asking rent for the space was reportedly above $100 per square foot. Mary Ann Tighe and Howard Fiddle of CBRE represented Bank of China in the deal, while Stuart Eisenkraft represented Schroders.

Schroders is leaving its offices at 875 Third Avenue in 2017.

Houston-based developer Hines built the 450,000-square-foot 7 Bryant Park along with JPMorgan’s asset management arm. Bank of China, originally the building’s anchor tenant, decided to buy the property last year for $600 million. The bank occupies 250,000 square feet there. Hines remains the property and asset manager.  [NYP] — Ariel Stulberg