The Real Deal New York

Deloitte subsidiary inks 40K sf sublease in Hudson Square

Digital arm of Big Four firm takes a chunk of Pearson space at 330 Hudson Street

October 10, 2016 04:20PM
By Rich Bockmann

330 Hudson Street

330 Hudson Street

The digital advertising subsidiary of Big Four accounting firm Deloitte is expanding to Hudson Square, where it’s signed a sublease for nearly 40,000 square feet of space.

Deloitte Digital, which since its founding in 2012 has grown to 7,000 global employees and had $2.1 billion in revenue last year, signed a sublease with the educational publisher Pearson at Ivanhoe Cambridge and Callahan Capital Properties’ TRData LogoTINY 330 Hudson Street, sources told The Real Deal.

Pearson signed a lease for about 300,000 square feet in the 19-story Midtown South building back in 2011, and has been subletting space to tenants like TED Conferences, the jeweler John Hardy and the Financial Times.

So far, the publisher has sublet some 257,000 square feet, and has another 52,000 square feet left.

“This is the area where young creatives want to be,” said Richard Berzine of Richard Berzine & Company, which advises the London-based Pearson on real estate matters and negotiated its sublease deals. “If one wants to retain the Digerati, this is where you want to put down your stake.”

Pearson sublet 37,358 square feet to Deloitte for the entire ninth floor and part of the 10th floor. The asking rent was $85 per square foot and 12 years remain on the lease.

Deloitte will retain its office at 140 Broadway in the Financial District and use the Hudson Square space to expand its business.

CBRE brokers Mark Ravesloot and Freddie Fackelmayer represented Deloitte. They declined to comment on the deal.

Callahan Capital along with its partner Ivanhoe Cambridge paid $317.8 million in June to buy Beacon Capital Partners’ 51 percent stake in the 467,000-square-foot building, giving them full control of the property.

The two partners had previously purchased a 49 percent stake in 2014 for $148.5 million.

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