The Real Deal New York

Microsoft-LinkedIn deal lends Empire State Building new cache

Social networking firm occupies 280K sf there

June 14, 2016 08:46AM

Empire State Building Anthony Malkin Reid Hoffman

Empire State Building (inset from left: Anthony Malkin and LinkedIn’s Reid Hoffman)

Software giant Microsoft’s $26.2 billion acquisition of LinkedIn caps off a long, slow recovery of status for the Empire State Building, where the social network makes its home.

In the 10 years since a crucial change in ownership, the tower, once called the the “Empty State Building,” has re-emerged as one of Manhattan’s top office properties, the New York Post reported.

The new era began in 2006 when one of the building’s owners, law firm Wein & Malkin, took full control of the property and embarked on a $550 million renovation, installing new elevators, corridors, bathrooms and upgrading the HVAC.

The building’s landlords signed their biggest new tenant in years, beauty company Coty, in 2008. The company took 88,000 square feet.

LinkedIn first took a floor at the classic skyscraper in 2011. It has expanded at at least four times since, moving up to a total of 280,000 square feet in mid-2015.

CEO Anthony Malkin took his firm public in 2013, creating the Empire State Realty Trust, which today owns 20 buildings in the city, containing roughly 10 million square feet of space.

Its flagship property is now over 90 percent leased, according to ESRT’s regulatory filings, with other tenants including watchmaker Bulova and stock photography firm Shutterstock.

Asking rents there range from the mid-$60s per foot to about $82 dollars, the Post reported. [NYP]Ariel Stulberg

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