Quote:
Originally Posted by chinchaaa
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***Copied from the Economic Development Thread***
I would not read too much into this.
This was more of a function of Facebook negotiating for a rate lower than to what Parsley was willing to agree. Remember, Parsley is still on the hook for this entire building.
Facebook was negotiating to take over Parsley's lease. And, they were looking for a deal (more than likely below market rate). At the moment, there does not seem to be a good enough deal to be had in this building.
I don't blame them for trying. Parsley (more specifically, its parent company) are pretty desperate to offload this lease. But, not desperate enough to cut a deal for whatever Facebook was requesting.
As the article suggested, Facebook may look at 6X. They may also take a look at The Republic, or maybe a combo of Stonelake's new tower and the BBVA/PNC tower. Heck, Parsley (via JLL - the leasing agent for 300 Colorado) may call them back to the table in the near future.
Walking away is not a rare occurrence when playing the leasing game.