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

[Crawford]

I worked on Sixth Ave., very near Times Square, and it was fine. Great subway access.

But yeah, I wouldn't want to work right in the middle of Times Square. I did have a friend working at 1585, and it seemed far enough north where it wasn't a total pedestrian crush.

[ChiND]

Originally Posted by Crawford

I worked on Sixth Ave., very near Times Square, and it was fine. Great subway access.

But yeah, I wouldn't want to work right in the middle of Times Square. I did have a friend working at 1585, and it seemed far enough north where it wasn't a total pedestrian crush.

6th is one street over but a world away.

[NYguy]

Bloomberg still expanding. Would have been nice to consolidat 2 msf here.


https://commercialobserver.com/2024/10/bloomberg-sl-greens-919-third-avenue/

Bloomberg Expands to Almost 1M SF at SL Green’s 919 Third Avenue


BY MARK HALLUM
OCTOBER 16, 2024

How much space does Bloomberg need? Almost 2 million square feet, apparently.…

[ChiND]

I hope that Blackstone anchors this tower. Their ten-year lease renewal at the utterly dismal, depressing, dystopian 345 Park suggests that they have bigger long-term plans, as no one executes massive leases for a mere ten years sans long-term moving plans.

https://therealdeal.com/national/2024/10/17/blackstone-profits-jump-as-it-bets-big-on-data-centers/

[DCReid]

I'm confident that this structure will be built but it's too bad that Amazon is looking for 350k sf somewhere else...

REPORT: Amazon In Talks For 350K SF Office Next To NYC HQ

Amazon may be taking more office space in New York City following its demand that employees come back to in-person work five days a week.

Amazon is in talks to take more than 350K SF at 10 Bryant Park...

https://www.bisnow.com/new-york/news/off...for-hsbcs-space-at-10-bryant-park-126517

[ChiND]

Originally Posted by DCReid

I'm confident that this structure will be built but it's too bad that Amazon is looking for 350k sf somewhere else...

REPORT: Amazon In Talks For 350K SF Office Next To NYC HQ

Amazon may be taking more office space in New York City following its demand that employees come back to in-person work five days a week.

Amazon is in talks to take more than 350K SF at 10 Bryant Park...

https://www.bisnow.com/new-york/news/off...for-hsbcs-space-at-10-bryant-park-126517

I agree.

[NYguy]

Originally Posted by DCReid

I'm confident that this structure will be built but it's too bad that Amazon is looking for 350k sf somewhere else...

REPORT: Amazon In Talks For 350K SF Office Next To NYC HQ

Amazon may be taking more office space in New York City following its demand that employees come back to in-person work five days a week.

Amazon is in talks to take more than 350K SF at 10 Bryant Park...

https://www.bisnow.com/new-york/news/off...for-hsbcs-space-at-10-bryant-park-126517

I don’t think Amazon would be looking to take space in a highly expensive office tower like this one, especially considering their newly refurbished headquarters space in the former Lord & Taylor building. But it’s good that they are filling space.

[ChiND]

Apparently, Paramount's lease at 1515 B'Way expires in 2031. They are another potential tenant. Even if they only took 300k sf or so. Could you imagine the incredible studio space that they'd have?



SOM

https://therealdeal.com/new-york/2024/11...515-broadway-lands-in-special-servicing/

[NYguy]

Wrong tower for RXR, but moving in the right direction...


https://www.bisnow.com/new-york/news/off...se-with-535k-sf-expansion-options-126966

Ropes & Gray Relocating To RXR Tower In Deal That Could Grow To 535K SF


November 25, 2024
Sasha Jones

The Boston-based firm plans to relocate in 2028 to RXR Realty's 1285 Sixth Ave., leaving its current office in nearby 1211 Sixth Ave., where it leases 300K SF.

The 20-year lease includes expansion options, which provide the firm with room to spread to more than 500K SF at the 1.8M SF tower, according to the law firm, one of the 10 biggest in the U.S. by revenue.

Ropes & Gray said the lease is part of its goals for “substantial growth” in New York. The firm has more than 500 lawyers in the city and over 1,650 globally. It said in a release its New York office has almost doubled in size over the past decade.

“We are continuing to build an exciting future in New York,” Ropes & Gray Managing Partner ​​David Djaha said in a statement. “Our goal is to create an environment that not only meets the needs of our clients but also provides a dynamic work environment that supports our culture of collaboration and teamwork.”

Ropes & Gray will be moving into most of the 550K SF space being vacated by competing law firm Paul, Weiss when it heads to a 765K SF spread at Fisher Bros.’ 1345 Sixth Ave, for which it inked a lease last year.

Ropes & Gray’s current office is also known as the News Corp. Building at 1211 Sixth Ave., owned by Ivanhoé Cambridge. Fox Corp. and News Corp. occupy the majority, 1.2M SF, of the 2M SF tower. Last year, the Rupert Murdoch companies stayed committed to the tower, renewing its leases for another 20 years.

[ChiND]

I assume that Mary Anne’s comments about 175 and 350 Park being 79% pre-leased are inaccurate. While we know that Citadel will occupy a large part of 350, one would think that there would have been an announcement about a commitment at 175 and about the hotel closing on a firm date.

https://therealdeal.com/new-york/2024/12...he-predict-shortage-shares-deal-secrets/

[NYguy]

Originally Posted by ChiND

I assume that Mary Anne’s comments about 175 and 350 Park being 79% pre-leased are inaccurate. While we know that Citadel will occupy a large part of 350, one would think that there would have been an announcement about a commitment at 175 and about the hotel closing on a firm date.

https://therealdeal.com/new-york/2024/12...he-predict-shortage-shares-deal-secrets/

You can listen to it yourself right here.
https://www.cbre.com/insights/the-weekly-take

She’s talking about projects being built. She really gets New York, and why there is and will be so much demand. She would be a good candidate for mayor, as she understands these issues.

[ChiND]

I think she’d be good.

P.S.: Can anyone open this?

https://commercialobserver.com/2024/10/sunday-summary-park-avenue-never-looked-so-good/

[SamLYNY]

Originally Posted by ChiND

P.S.: Can anyone open this?

https://commercialobserver.com/2024/10/sunday-summary-park-avenue-never-looked-so-good/

Sure, here's a summary:


Park Avenue Never Looked So Good
[no listed author]
October 20, 2024

Still, based on what we’re seeing along the 30.9 million square feet that make up the 38 office buildings of prime Park Avenue, vacancy stands at an enviable 7.4 percent, and the average rent is $109 per square foot, which is $25 per foot higher than in the rest of Manhattan.

“Park Avenue is, I believe, the tightest submarket in the United States,” said Mary Ann Tighe of CBRE (CBRE). “It’s a landlord’s market.”

And, while Park Avenue’s news seems unusually good, it’s not like it’s the only corridor in New York real estate that has been humming lately.

SL Green, for one, had a very big number to boast about: 924,876.

That’s how much square footage Bloomberg now occupies at the REIT’s 919 Third Avenue following a renewal and expansion. (SL Green has other reasons to be happy, too; take a look at their latest earnings call — they had a very good quarter.)

“[This is] further evidence of really incredible leasing momentum,” said SL Green Chairman Marc Holliday. “This was not really within the expectations at the beginning of this year. It was a very pleasant surprise, and it’s more telling about the strength of this market.”

All this activity might explain why developers such as the legendary Gary Barnett are starting to roll up their sleeves and build in Manhattan again.

Barnett’s Extell Development just purchased the 24-story office tower at 655 Madison Avenue (which was ready to tear down) from Williams Equities for $160 million, with plans to “build something spectacular” on the site — which is a vague enough promise to pique our interest.

Barnett isn’t the only one. RXR and Hudson Bay Capital just secured a $320 million loan to jointly acquire (and recapitalize) the 700,000-square-foot office and retail property at 620 Avenue of the Americas.

[ChiND]

Thanks!

[NYguy]

https://www.hotelinvestmenttoday.com/Fin...s-reasons-for-lowering-net-room-guidance

When explaining why Hyatt had to lower its net rooms growth downward (from 5.5-6% to 4-4.5%) as part of its third-quarter earnings, Hyatt Hotels Corp. President and CEO Mark Hoplamazian said part of it was room “slippage” into 2025, but another reason was the company had to kick a higher-than-normal amount of hotels out of its system.

.....Hoplamazian said that the strategy would continue. “Our third quarter results reflect the strength of our asset-light business model,” he said. “While we’ve completed our third disposition commitment, we expect to continue to reduce our hotel ownership with the Hyatt Grand Central New York and Andaz Liverpool Street both remain under contract for redevelopment…. Additionally, we are actively engaged in other discussions and expect to sell more hotels in 2025 and beyond.

https://conferencecalltranscripts.org/summary/?id=550833&pr=true

Hyatt Grand Central New York and Andaz Liverpool Street both remain under contract for redevelopment. Upon closing, we will receive significant proceeds from these sales and upon the completion of the redevelopments, we will have magnificent new hotels in each highly desirable location.

[ChiND]

I hope that it closes soon. There are a lot of candidates for 175 Park, but they need to get things moving. I suspect that 175 Park will fill quickly.

[mrnyc]

hmm, so hyatt would like to stay, but downsize in the new building? sounds good.

[ChiND]

Can anyone access this? I’m curious if he mentions 175 Park.

https://www.crainsnewyork.com/real-estat...ion-still-possible-rxr-ceo-scott-rechler

[NYguy]

Originally Posted by ChiND

Can anyone access this? I’m curious if he mentions 175 Park.

https://www.crainsnewyork.com/real-estat...ion-still-possible-rxr-ceo-scott-rechler

From the article:

.....Rudin is developing a brand new asset. His firm has teamed up with Vornado Realty Trust to construct a new building at 350 Park Ave. with financial institution Citadel as anchor tenant.

“We’re feeling good now, definitely,” Rudin said.

Rechler, whose firm owns 26 million square feet of space, wants to build anew too and three years ago the city approved his plans for a 2 million square-foot tower at 175 Park Ave. He hopes to break ground next year but because he hasn’t signed up an anchor tenant, it’s all conceptual for now.

“Are you at liberty to talk about any of that?” the panel moderator asked Rechler, who said he could.

“He’s looking for a tenant,” Rudin chimed in, “of course he can talk about it.”

[ChiND]

Thanks.