Major tenant deal will allow Silverstein’s 3 WTC to rise

Advertising giant GroupM set to take 500K sf, paving the way for construction financing

Larry Silverstein and 3 World Trade Center renderings
Larry Silverstein and 3 World Trade Center renderings

Larry Silverstein has reached a tentative deal with advertising firm GroupM for office space at 3 World Trade Center, paving the way for construction of the 80-story Lower Manhattan skyscraper, the New York Post reported.

GroupM – a division of advertising giant WPP — will take more than 500,000 square feet at the 2.5 million-square-foot tower in a 20-year deal, sources familiar with the transaction told the Post. The two sides signed a term sheet Monday, and are expected to have a completed lease by year-end, according to the Post.

The major deal will allow Silverstein Properties to move ahead with securing $1.3 billion in Liberty Bond financing, backed by the Port Authority, to build the tower, the third set to rise at the site of the former World Trade Center.

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GroupM is currently based at 498 Seventh Avenue and a few other uptown locations. It intends to consolidate its offices in 9 lower floors at 3 World Trade Centre by late 2016.

All parties involved in the deal – including CBRE’s Gregory Tosko and Mary Ann Tighe for GroupM and Jeremy Moss for Silverstein Properties – either declined or did not respond to the Post’s requests for comment. [NYP]Hiten Samtani