The Real Deal New York

Boston Properties scores 200,000 sf lease renewal at 125 West 55th Street

March 31, 2010 09:34AM

Katz Media Group is taking over more than one-third of the office space at Boston Properties’ 125 West 55th Street under a lease renewal that extends until mid-2027, with an option to stay an additional five years after that. Katz, a division of radio company Clear Channel Communications, already occupies the third through seventh floors and will take over the 11th and 12th floors, plus some basement space, for roughly 200,000 square feet in total. Boston purchased the 591,000-square-foot building for $444 million from Macklowe Properties in 2008 in a deal that included the GM Building, 2 Grand Central Tower and 540 Madison Avenue. Asking rents were estimated in the $50s per square foot, sources told the Post. The Katz deal, along with leases with other tenants like Macquarie Holdings and Air France, helped Boston Properties get a new $207 million mortgage on the property through MetLife. [Post]

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