Fisher Brothers JV Closes Largest Office Lease of 2023

Fisher Brothers JV Closes Largest Office Lease of 2023




1345 Avenue of the Americas is an approximately 2 million-square-foot office building in Manhattan.

1345 Avenue of the Americas went through a large-scale capital improvement project that involved the addition of an amenity floor. Image courtesy of CommercialEdge

In the largest office lease of the year, Fisher Brothers and institutional investors advised by J.P. Morgan Global Alternatives have signed a 20-year, 765,000-square-foot agreement at 1345 Avenue of the Americas, an approximately 2 million-square-foot office building in Midtown Manhattan. Law firm Paul, Weiss, Rifkind, Wharton & Garrison LLP will relocate its headquarters to 18 floors of the 50-story tower. The tenant was represented by Newmark, while CBRE, Holland & Knight LLP and an in-house team worked on behalf of the landlord.

Other tenants at the tower include Brevan Howard, who signed an 83,403-square-foot lease expansion last year, AllianceBernstein, Virgo Business Center and Peter J. Solomon Co. Earlier in 2023, Greenspoon Marder LLP signed a 41,613-square-foot sublease at the skyscraper.

READ ALSO: Getting in the Heads of Office Tenants

Dating back to 1969, the high-rise features floorplates ranging between 27,638 and 44,021 square feet, according to CommercialEdge data. The LEED Silver-certified building also has some 45,000 square feet of retail space and 31 passenger elevators.

A recently upgraded property

The tower underwent multiple cosmetic renovations throughout the years. In 2021, Fisher Brothers and J.P. Morgan implemented a $120 million capital improvement program that involved upgrades to the building exterior and a new lobby with touchless elevators. Plans also called for a new amenity floor, dubbed @Ease 1345, featuring 5,500 square feet of flexible meeting space, a tenant lounge, a wellness center, hybrid meeting spaces and an event capacity of up to 440 guests.

1345 Avenue of the Americas is an approximately 2 million-square-foot office building in Manhattan.

The 50-story tower’s lobby was renovated in 2021. Image courtesy of CommercialEdge

Located between 54th and 55th streets, the office tower is less than a mile from Rockefeller Center and 3.6 miles from Lower Manhattan. John F. Kennedy International Airport is within 17 miles.

Fisher Brothers’ Head of Leasing Marc Packman, Senior Director of Leasing Clark Briffel, Director of Leasing Charles Laginestra and Assistant Director of Leasing Josh Fisher negotiated the deal. CBRE’s team comprised Vice Chairmen Howard Fiddle and Peter Turchin, First Vice President Ben Joseph, as well as Executive Vice Presidents William Iacovelli and Anthony Dattoma, while Holland & Knight’s team was led by Partner Russ Rabinovich and Associate Jennifer Haberman. The Newmark team that represented the law firm was led by Vice Chairmen Moshe Sukenik and Chris Mongeluzo, together with Senior Managing Director Brian Cohen.

Office leasing in Midtown Manhattan

In one of the most recent deals in Midtown, PJT Partners renewed and expanded its lease at SL Green Realty Corp. and Vornado Realty Trust’s 1.3 million-square-foot 280 Park Ave. tower. The investment bank committed to 270,000 square feet for 15 years. Another large long-term deal was Weill Cornell Medicine’s expansion to 300,000 square feet at 575 Lexington Ave., a 745,000-square-foot building also in the Plaza District.

According to the latest CommercialEdge office report, as of November Manhattan had a vacancy rate of 17.4 percent, 80 basis points lower than the national average. The borough maintained its position as the most expensive market for office leasing with an average of $70.8 per square foot—dropping 5.3 percent year-over-year.


Source link