Credit Suisse has renewed its mammoth lease at the Sapir Organization’s 11 Madison Avenue. The bank will, however, downsize from its current 1.96 million square feet to about 1.2 million square feet, paving the way for Sony to take about 520,000 square feet on the upper floors of the building.
In a deal worth about $1.8 billion, Credit Suisse signed a 20-year deal for the space, which had asking rents of $70 per square foot.
The bank notified its employees of the renewal on Monday, according to the New York Post, and Sony’s deal for the 19th through 28th floors is likely to be signed next week.
Sapir president Alex Sapir and CEO Rotem Rosen confirmed the deal to the Post, but declined to discuss financial terms, saying only that “this could be the biggest deal this year.”
CBRE’s Lewis Miller represented the bank, while his colleague Howard Fiddle represented Sapir. Newmark Grubb Knight Frank’s Barry Gosin and Anthony Orso of lender CCRE advised Sapir on the lease, according to the paper. CBRE’s Mary Ann Tighe is representing Sony in its relocation from the Sony Building at 550 Madison Avenue, which the Chetrit Group bought last year for $1.1 billion. [NYP] – Hiten Samtani
Correction: A previous version of this story incorrectly listed the asking rent. The asking rent in the story was $70 per square foot.