The Real Deal New York

Milk Studios founders plan coworking space at Industry City

Media company takes 60K sf to sublease as shared office facilities

July 30, 2015 04:00PM

Rendering of Industry City in Sunset Park

Rendering of Industry City in Sunset Park

UPDATED, Sept. 1, 3:09 p.m.: The founders of Milk Studios, a company with several media and fashion ventures, are the latest entrants into the coworking world with a 60,000-square-foot lease at Industry City that they plan to offer as flexible office space.

Mazdack Rassi and Erez Shternlicht, co-founders of Milk Studios, run several businesses with different functions, including providing studio space, renting equipment and developing websites. Connections to companies in these creative fields could help it segue into the coworking space game, according to Crain’s.

The lease will likely include an option for Rassi and Shternlicht to expand into 200,000 square feet eventually.

Industry City, located in Sunset Park, is an industrial hub owned by a partnership between Jamestown, Belvedere Capital, Angelo Gordon, and the Fruchthandler and Schron families. Jamestown also owns a Chelsea building at 450 West 15th Street that is often referred to as the “Milk Studios Building.”

Financial services provider Citco recently announced that it will open its first coworking space at 350 Park Avenue.

In early July, Rudin Management and Boston Properties announced they are developing a 675,000-square-foot building at the Brooklyn Navy Yard to be anchored by shared office space provider WeWork. [Crain’s] — Tess Hofmann

Correction: A previous version of this story stated that Milk Studios, rather than its founders, was behind the new coworking space venture.