Business

Financial Firm Renews Manhattan Lease

4 months ago

The tenant committed to the space for an additional 11 years. The post Financial Firm Renews Manhattan Lease appeared first on Commercial Property Executive.

The 45-story building underwent a $40 million capital improvement program in 2016. Image courtesy of The Durst Organization

Charles Schwab & Co. has renewed its 23,000-square-foot lease on the 37th floor of 1133 Avenue of the Americas, a 1,1 million-square-foot high-rise in Midtown Manhattan. The company has been a tenant at the building since 2014 and will occupy the space for another 11 years.

The Durst Organization owns the 45-story, Class A building. The firm was represented in-house by Executive Vice President Tom Bow, Senior Vice President Rocco Romeo and Associate Nora Caliban.

The LEED Gold-certified tower came online in 1970 and was completely renovated in 2013. Additionally, the owner invested $40 million in capital improvements in 2016. Upgrades targeted the lobby, elevators and a newly landscaped outdoor plaza.

In 2021, the property became subject to a $1.1 billion CMBS loan from Wilmington Trust and originated by Citibank in 2021, according to CommercialEdge information. The note also encumbers the asset at 114 W. 47th St.

READ ALSO: Office Visits Continue to Improve

The building features floorplates ranging between 22,000 and 35,000 square feet, 20 passenger elevators and more than 26,000 square feet of retail space. Its tenant roster includes ING Financial Holdings, National Basketball Players Association and Patterson Belknap, the same source shows.

The tower rises between the 43rd and 44th streets in the Bryant Park submarket, being within walking distance of the Rockefeller Center. The Empire State Building is 1 mile away.

Office leasing slowly picks up

Manhattan’s vacancy rate as of May was 16.2 percent, 160 basis points lower than the national average, according to a CommercialEdge office report, and 140 basis points lower over the month. Additionally, rents during the same month averaged $71.30, almost double the $37.72 figure registered nationally.

In May, Bain & Co. committed to 235,200 square feet at Milstein Properties’ 22 Vanderbilt. The firm will occupy the space starting in 2026 and will relocate from its current location within Grace Building, a 1.5 million-square-foot tower.

The same month, fintech firm Pontera Solutions signed a 40,679-square-foot lease at Empire State Building. The company will relocate from an office property in Chelsea, also owned by Empire State Realty Trust.

The post Financial Firm Renews Manhattan Lease appeared first on Commercial Property Executive.