Forced to look beyond its headquarters, Google set to expand at Chelsea Market

New York /
Dec.December 05, 2012 02:30 PM

Google is looking across the street to the Chelsea Market building for more office space, after some attempts to soak up additional space at its headquarters at 111 Eighth Avenue were thwarted, Crain’s reported.

The Internet and advertising giant is in talks to take about 75,000 square feet at 95 Ninth Avenue, the space across the street from 111 Eighth (where offices are in at least one instance connected via slide). The company leased 95,000 square feet at 95 Ninth, already an expansion from their previous space, about two months ago. If the pending lease is signed, Google’s total square footage at the space will be around 300,000.

Tenants at 111 Eighth have been reluctant to move, perhaps due to rising rents across the Midtown South submarket. Both Nike and advertising firm Deutsch have resisted Google’s offers to buy out their leases or demanded more than Google was willing to pay, according to reports.

“There are a few tenants in Chelsea Market that can be moved around to open up the space,” a source told Crain’s. Rents were said to be in the $70s per square foot. [Crain’s] –Guelda Voien


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