NEW YORK | 175 Park Avenue (Grand Hyatt) | 1,581 FT | 92 FLOORS

[ChiND]

This is interesting. I wonder if Ares is a financial partner with RXR in 175 Park.

https://www.ft.com/content/8fcea870-ee56-43a0-9060-380cada6dc08

Big developer launches $1bn fund to buy distressed New York offices


RXR and Ares Management are betting on a thaw in the commercial real estate market

Big developer launches $1bn fund to buy distressed New York offices

RXR and Ares Management are betting on a thaw in the commercial real estate market…

[ChiND]

This is promising news reported by the FT and others; financial institutions expect their workers in the office.

https://www.ft.com/content/e02748eb-ef80-491e-abd7-7822fdc85374

Bank of America warns return-to-office laggards with ‘letters of education’

Banks take tougher stances as financial job market weakens almost four years after start of pandemic

[Hudson11]

Unsurprising. Bank of America just signed a big 550k sqft lease in Jersey City and has even more space in Manhattan that they need to make use of on 42nd and 6th. They're championing the office over work from home. Some companies will insist. But many will not.

[jbermingham123]

FYI: Mods, this building for some reason lacks a link to "forum discussion" below its diagram entry

[ChiND]

I wonder if Nomura is a possible prospect.

https://www.crainsnewyork.com/commercial...ices-firm-seeks-downsize-its-real-estate

[NYguy]

There are still tenants out there looking for 1msf+.


https://nypost.com/2024/01/31/business/nyc-office-market-rebounds-quickly-as-nyc-demand-surges-40/

Manhattan office market rebounds faster than rival cities as NYC demand surges 40%


By Steve Cuozzo
Jan. 31, 2024

Manhattan’s pandemic-pummeled office market is headed for a spectacular rebound — and not only landlords, but business advocates and eatery owners are thrilled.

Although the Manhattan office market hit bottom in 2023 with more than 20% vacancy rate, the short-term future looks rosier, according to a new report from national real estate technology platform VTS.

Its latest quarterly Office Demand Index (VODI) found that demand for space in the Big Apple rose nearly 40% in 2023 over the previous year — lifting demand to 75% of pre-pandemic times.

By comparison, office space demand grew by only an average 19.6% around the US. The New York City market is the nation’s largest by far with nearly a half-billion square feet. Runner-up Los Angeles has only 317 million square feet and much-in-the-news Miami a mere 41 million square feet, according to brokerage CBRE.

Kathryn Wylde, president of the Partnership for New York City business-advocacy organization, said the findings were “consistent with anecdotal evidence from our members, many of whom are re-upping leases or moving to newly renovated or brand new spaces.”

She noted, “Financial and professional services industries, which are our major office employers and tenants, account for an out-sized share of the tax revenues that fund municipal services.

Keeping those businesses and their employees in the city are not just good for our economy, but essential for the quality of life across all five boroughs.”

Several deals that were in the works last year actually got done this week.

Sources told The Post that Barclays Bank renewed its lease for 1.1 million square feet at 745 Seventh Ave. Evercore, an investment banking advisory firm, added 95,000 square feet at Fisher Brothers’ Park Avenue Plaza, lifting its footprint there to more than 500,000 square feet.

Meanwhile, Blackstone, Jane Street Capital and American Express are among top-class tenants reportedly looking for large blocks of space to move or expand in Manhattan.

https://nypost.com/2023/10/27/real-estate/a-dozen-new-office-towers-are-set-to-rise-in-manhattan/

Hippo-sized companies like Blackstone, American Express and Jane Street Capital are known to be in the market, scouting for about 1 million square feet each.

[NYguy]

https://www.costar.com/article/161632600...y-changing-market-prepares-to-shop-again

…Today he controls a firm with a combined asset value of about $19 billion. With the commercial property market upended by higher borrowing costs, among other factors, the third-generation real estate mogul is seeing investment opportunities — part of an "eyes wide open" approach he mentioned this week in an interview on CNBC — including in top-tier office buildings that may be in financial distress. Like other real estate CEOs, he's looking for the best ways to manage debt on some properties at a time of high interest rates.

And he thinks big. RXR plans to co-develop 175 Park Avenue in New York, a project billed as a nearly 1,600-foot-tall tower with the highest occupied office floor and highest hotel in the Western Hemisphere.

Between Tuesday and Thursday, RXR, with its own policy requiring workers in the office four days a week, has seen its office utilization rate return to the pre-pandemic level of about 80% to 90%, he said. He pointed to a recent Ernst & Young study that found fully remote work declined to 1% of the U.S. workforce in 2023 from some 34% in 2022. “When you are in the office three or four days a week, from an office standpoint, it doesn’t really change how much space someone’s going to lease,” he said.

Both RXR's 61 Broadway in Manhattan’s Financial District as well as the Helmsley Building, an asset that RXR puts in the lower end of digital category, have run into mortgage issues. Rechler sees the potential to convert both buildings into mixed-use properties with office and residential.

[ChiND]

That model looks great. Hopefully, an anchor will be announced this year.

[BanBrokenChatBots]

Looks almost like a two tone glass effect in particular the center portion (purple/blueish) in comparison to the outside edges.

[GertElim]

Originally Posted by BanBrokenChatBots

Looks almost like a two tone glass effect in particular the center portion (purple/blueish) in comparison to the outside edges.

I think you're looking at the core in the center portion.
And you're looking 'through' the building at the edges.

[mrnyc]

from a couple days ago -- lex side of the hyatt --

[NYguy]

^ It will be beautiful…









https://www.dezeen.com/2021/02/10/175-park-avenue-supertall-skyscraper-som-new-york/

[ChiND]

I really hope that this is built. There are a lot of very high-end firms seeking huge blocks of space. Blackstone and Morgan Stanley come to mind.

[montydawg]

Originally Posted by ChiND

I really hope that this is built. There are a lot of very high-end firms seeking huge blocks of space. Blackstone and Morgan Stanley come to mind.

I’m really excited about this building as I’ll get to see the spire from my window. This being such a critical juncture in NYC, with the subway beneath, I hope they fully consider all the different anti-terrorism measures to that ground floor area. I wonder if the bollards alone can stop all threats, considering the large vehicles that can drive on the street. Perhaps they will consider widening the sidewalk and taking away the curb lane, and perhaps not exposing those columns on the ground floor

[Busy Bee]

Not every structure can be 100% protected from an actor determined to unleash chaos, just like every bridge can't be engineered to survive the direct impact of a skyscraper sized cargo ship.

[NYguy]

Originally Posted by montydawg

I’m really excited about this building as I’ll get to see the spire from my window. This being such a critical juncture in NYC, with the subway beneath, I hope they fully consider all the different anti-terrorism measures to that ground floor area.

That should be considered for every building, everywhere, as I'm sure it was for this one, and every other new tower going up.

[Doubleu1117]

Originally Posted by ChiND

I really hope that this is built. There are a lot of very high-end firms seeking huge blocks of space. Blackstone and Morgan Stanley come to mind.

Is there actual talk of Morgan Stanley? I know they own 1585 Broadway fully, so I don't know that they'd have the appetite to expand to this trophy space and/ or ability to offload their current HQ. Maybe consolidate the other offices they have around the city to here. I know they kicked tires on Hudson Yards in the past, but I don't know what they planned with 1585.

[SkyHigher]

Originally Posted by mrnyc

from a couple days ago -- lex side of the hyatt --

Nice alien graffiti on the top right.

If proven project is cancelled

[GertElim]

Originally Posted by SkyHigher

Nice alien graffiti on the top right.

If proven project is cancelled

All I see in this photo is the beautiful Chrysler Building.

[ChiND]

Hopefully, this news about NY’s high return to office rate will be helpful for securing an anchor tenant.

https://www.bloomberg.com/news/articles/...wall-street-banks?embedded-checkout=true

“New York City’s Return-to-Office Rate Nears 80%, Driven by Banks“


By Nacha Cattan
April 10, 2024 at 3:22 PM EDT

“Wall Street firms including Goldman Sachs Group Inc. and JPMorgan Chase & Co. have helped push New York City’s return-to-office ….”