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Hedge fund jumps ship to Boston Properties’ 510 Madison Ave.

From left: 529 Fifth Avenue, 510 Madison Avenue and Reza Ali (inset)
From left: 529 Fifth Avenue, 510 Madison Avenue and Reza Ali (inset)

Fledgling hedge fund Prosiris Capital Management has signed an 11,500-square-foot lease at Boston Properties’ 510 Madison Avenue and will leave its current space at Silverstein Properties’ 529 Fifth Avenue, according to data from CompStak provided to The Real Deal.

Over the course of the 10-year deal, Prosiris will pay average rents of around $120 per square foot at the 350,000-square-foot, 30-story building in The Pricey Plaza District, according to CompStak. That’s over twice what it currently pays for its eighth-floor space at 529 Fifth in the Grand Central submarket, where average asking rents are in the mid-$50s per square foot. Silverstein Properties did not respond to requests for comment.

Prosiris — which trades in several financial instruments including commercial mortgage-backed securities — was founded in 2012 by Reza Ali, who previously led Goldman Sachs’ Americas principal funding and investments group. Ali did not respond to requests for comment.

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A slew of financial firms, including billionaire Steven Cohen’s SAC Capital, occupy 510 Madison Avenue. Top CBRE executives Paul Amrich and John Powers, who oversee leasing at the building, did not respond to requests for comment.

Representatives from Boston Properties did not respond to requests for comment. The real estate investment trust recently put its 48-story Times Square Tower on the market, and analysts say that it could pocket more than $1 billion from the sale.

In May, Brazilian bank Banco Itaú smashed post-boom price records with a Plaza District lease deal for just shy of $200 per square foot at the GM Building at 767 Fifth Avenue, in which Boston Properties holds a majority stake.

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