NEW YORK | 15 Penn Plaza (Hotel Penn) | 1,050 FT / 315 M | 52 FLOORS

[Dac150]

This area is definitely in store for some exciting times and a complete revitalization. The transit improvements will only continue to fuel vertical development in the area.

[Dale]

Regarding the 'On the Horizon' article, how does the writer figure that 15 Penn will take 'years' to find a tenant ?

[hunser]

Some residents were resigned to the fact that chaos is part of life in Midtown.

that's right. if you don't like to live in [midtown] manhattan and constantly complain about everything then it's time to move away, i don't know maybe to nebraska!?

[BStyles]

Originally Posted by Dale

Regarding the 'On the Horizon' article, how does the writer figure that 15 Penn will take 'years' to find a tenant ?

Because there are other skyscrapers across the city looking for tenants as well, so 15 Penn is not being put on a silver plater for potential tenants. It has to wait in line like everyone else.

[Alliance]

Originally Posted by Dale

Regarding the 'On the Horizon' article, how does the writer figure that 15 Penn will take 'years' to find a tenant ?

Because there is already a surplus of office space in Midtown and there is a tremendous amount of office space going up downtown. There is no real need for a giant office tower here in my opinion.

I'm not against the building at all. Its actually shaping up to be far more likable the most New York's other projects. These new detailed renderings have actually increased my faith in it. However, there is a reason they are going for a 2013 start date. There is no current market for a building of this size and its going to take a few years to shore up financing and tenants. If it takes 3 years to build and open, that will put us at 2016. This is a long term plan. If Vornado thought he could finance it now and fill the tower in 2013, I bet he'd be starting already.

[Dale]

So we know two things then:

(1) NYC is not building Class A office space fast enough.

(2) 15 Penn will take years to snag a tenant.

[SkyscrapersOfNewYork]

with so many companies looking for space i expect WTC 2 and 3 to fill up quickly with more than enough tenants left looking for space to fill 15 Penn Plaza.

[brian.odonnell20]

there's a lot of companies looking for space but only a few can kickstart an entire project, let alone one as massive as these approved towers up and down the city.

[RobertWalpole]

There are quite a few companies looking for 1m+sf of space and very few towers that can accomodate them.

I think that the title of this thread should be "Morgan Stanley Tower."

[brian.odonnell20]

which companies ?

[NYguy]

Originally Posted by Dale

Regarding the 'On the Horizon' article, how does the writer figure that 15 Penn will take 'years' to find a tenant ?

They said it "could" take years, and it could, though its not likely to. Keep in mind, a lot of the companies that are going to require new leases for space will need it by as early as 2014-15. To get these towers built by then, leases would have to be signed within a year. So, while it theoretically could take years for any skyscraper to find a tenant (even 2 and 3 WTC), its not likely to.



WTC tower 3 needs a minimum lease commitment of 400,000 sf to keep rising, so if Silverstein were lucky enough to pluck even one of these potential tenants, that one would rise to full height. But there will be more in need of space in the coming years. And this tower is being developed with the idea of either signing multiple tenants (1,216 ft) or as a single, headquarters tower for a financial firm (1,190 ft).

Originally Posted by Alliance

However, there is a reason they are going for a 2013 start date.

I think you have this confused with the Girasole (3 Hudson).

[NYguy]

Even if this tower were to start the process of construction (demo, site prep) tomorrow, it wouldn't be ready before 2014.

[Dac150]

Give it another year or two and you will begin to see companies scrambling to find or renew space before their lease agreements are up. Several companies have publically been scouting for new space as multiple articles have indicated.

Morgan Stanley has been flirting with a new HQ location for many years now (745 Seventh Avenue among others).

UBS has been scouting around for a new location for the Investment Banking division and well as their Wealth Management division. Sounds like they’ll vacate 299 Park, nothing certain on 6th Avenue.

Bank of America is still in need of additional space while wrestling with where to put Merrill once their lease expires at the WFC.

Deloitte has on many occasions expressed interest in new and more practical space; currently based in the WFC.

BNY Mellon has adamantly proclaimed interest in departing from their long time One Wall Street HQ.

I’d also keep my eye on AIG, Pfizer and Societe Generale. There are many others out there, some you’ve heard of and many you haven’t. The commonality amongst all of them is that they’re hungry for modern class A office space.

[NYguy]

Originally Posted by Dac150

Give it another year or two and you will begin to see companies scrambling to find or renew space before their lease agreements are up. Several companies have publically been scouting for new space as multiple articles have indicated.

I will be very surprised if they don't actually land an anchor tenant by sometime next year, though it's possible something could happen before Christmas even. It certainly helps Vornado's case that they actually have approvals to build the tower, in whatever form it takes. With a tenant would come the neccessary financing.


http://www.nydailynews.com/ny_local/2010..._to_turn_down_proposed_15_penn_plaz.html[

The new skyscraper hopes to provide "a world-class headquarters" for a financial industry firm, though discussions with potential tenants are still in preliminary stages.

[NYguy]

This is one tower that could have been on its way up into the sky by now...

http://www.nypost.com/p/news/business/it...ssionid=6558F9C7FFF98CCC943388CC0A85AC3C

Merrill Lynch execs would prefer to be at Vornado Realty Trust's Hotel Pennsylvania site opposite Madison Square Garden, sources told The Post.

While Brookfield Properties and Battery Park City officials have been able to enlarge their proposed trading floor addition by eating into the lobby of 2 World Financial Center, it would still mean relocating all of the employees for three to four years, as the investment bank doesn't want to endure a disruptive floor-by-floor renovation job.

"What Larry [Silverstein] has decked up financially is not superior to [Vornado's] Hotel Pennsylvania, and it's not big enough," our source said.

Top execs are expected to meet with city officials within a week to chomp the numbers and the land-use review time frame on the 3 million square-footer proposed by Vornado.

_______________________________________________

http://www.thecityreview.com/hotelpenn.html

At one point, Vornado was planning to build two very tall office buildings on the site of the existing Garden, but in recent months public officials were reported to have decided against such a plan as too crowded. The design of the planned towers was never released to the public but were understood to have been exquisite skyscrapers........As an indication of the rather incredible "momentum" that has suddenly been generated for reshaping an area notorious for its uninspired architect and very substantial traffic problems in the nearby Garment Center and the Lincoln Tunnel was the recent disclosure that Merrill Lynch was considered relocating from the World Financial Center at Battery Park City into a very large skyscraper on the existing site of the Hotel Pennsylvania, which is one of very many sites in the vicinity owned by Vornado Real Estate Trust.

The Merrill Lynch plan is astounding given recent disclosures about the fact that it has lost several billion dollars this year in investments related to sub-prime mortgages and that a move uptown might cost it about one billion dollars more than remaining in Lower Manhattan...........In January, 2007, Lehman Brothers expressed interest in the Hotel Pennsylvania site, subsequently Merrill Lynch became the primary potential user of the site. According to an October 25, 2007 article in The New York Times by Charles V. Bagli, Merrill Lynch was negotiating a "billion-dollar 65-year lease" that called for demolishing the hotel and erecting a tower with 80,000-square-foot trading floors in its base.

[NYguy]

Image from the Real Deal...
http://therealdeal.com/newyork/articles/rivalries-rev-up

[SkyscrapersOfNewYork]

one question,what are these for? the large extended floors in the back of NYC's recent supertalls, BofA has one,NYT has one and now 15 Penn Plaza will have one. so what are they for and why cant they be incorporated into the tower to add height?



http://www.pbase.com/nyguy/image/121867389/original.jpg


http://farm3.static.flickr.com/2558/3776143843_12dfcae937_b.jpg

[patriotizzy]

Originally Posted by NYguy

Image from the Real Deal...
http://therealdeal.com/newyork/articles/rivalries-rev-up

The Empire State Building is the most beautiful building out there, in my opinion. However, I don't agree with the owner that just because of that, it means that New York can't evolve the way it has. I find it ignorant and greedy, and that's just not right. I welcome Hotel Penn, as it would only make the skyline that much more impressive and beautiful.

[JSsocal]

Skyscrapers of New York: They are trading floors, where companies want very large floor areas. You'll notice 2 and 3 WTC have them. Quite simply: They're very attractive to tenants. As for the NYTimes tower, I think they have a theater in there or something.

[Alliance]

Originally Posted by patriotizzy

I find it ignorant and greedy.

I find its called capitalism. You protect your business and prevent competition. If you are spending half a billion dollars to renovate your building, you don't want a brand new one to be built a few blocks away.