The Real Deal New York

Dumbo Heights to offer 150K sf of shorter-term office leases

Complex's "smart spaces" to include 12- to 30-month deals

October 20, 2015 11:23AM


From left: Jared Kushner and renderings of Dumbo Heights (Credit: Dumbo Heights)

Kushner Companies is chasing tech tenants for its Dumbo Heights project, offering flexible leases pitched somewhere between traditional 10-year agreements and WeWork’s 30-day deals.

The developer, along with partners RFR Realty and LIVWRK, is setting aside 150,000 square feet at 55 Prospect Street and 77 Sands Street in Dumbo for tenants interested in signing shorter, simpler leases, for between 12 and 30 months. Kushner is calling the offerings “smart spaces.”

“The way real estate is run is not always compatible with what small tenants need,” CEO Jared Kushner told the New York Post. “This is for tenants that have outgrown WeWork, but aren’t ready yet for a much larger, long-term commitment.”

The spaces on offer will run from 800 to 6,000 square feet. Tenants will share conference rooms and pantries, as well as access to the roof deck. The complex’s website has a feature that allows companies to calculate their space needs based on their employee count and the floor they want to live on.

The partners bought the five-building Jehovah’s Witness Watchtower complex in 2013, paying $375 million. The Dumbo Heights complex will contain 963,000 square feet of office space in total. [NYP, 2nd item] Ariel Stulberg