Having been bumped from Boston Properties’ under-construction 250 West 55th Street, Microsoft now has the option of renewing its deal at the Vornado-owned, 2.1-million-square-foot 1290 Avenue of the Americas or relocating to 11 Times Square, the New York Observer reported.
The reason for being bumped from 250 West 55th Street? Law firm Kaye Scholer signed a letter of intent to take 260,000 square feet in the tower, as previously reported. This and another deal with the law firm Morrison Foerster on the tower’s lower floors leaves Microsoft with the top floors, which are too pricey.
Microsoft has been on the hunt for roughly 250,000 square feet of space and had narrowed its options down to 1290 Avenue of the Americas or 250 West 55th Street. Vornado has reportedly offered Microsoft deals to stay in its place and has already begun a bit of a facelift in the building with lobby renovations.
SJP Properties has reached out to Microsoft to restart talks about taking space at 11 Times Square, sources told the Observer. Microsoft previously left talks because company representatives felt the building’s rents were high.
As previously reported, Microsoft’s lease expires in 2014. [NYO] — Zachary Kussin