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

Jul.July 09, 2013 09:00 AM

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.

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

Related Articles

Silverstein Properties CEO Marty Burger (Photo by Ilya S. Savenok/Getty Images)

Silverstein’s Marty Burger recovers from coronavirus

Silverstein Properties' Tal Kerret, Dino Fusco, Marty Burger and 7 WTC (Credit: Joe Woolhead)

Former Goldman exec will be new COO at Silverstein Properties

Governor Andrew Cuomo (Credit: Getty Images)

Cuomo rakes in real estate cash — but not from LLCs

120 Broadway and Thornton Tomasetti’s Peter DiMaggio, Tom Scarangello and Michael Squarzini (Credit: Google Maps)

Thornton Tomasetti takes 100K sf at 120 Broadway

Moinian Group CEO Joseph Moinian, and a street view of the new Best Buy location (535 Fifth Avenue, at left) and the old one (529 Fifth Avenue, at right) 

Best Buy signs lease for new store at 535 Fifth

Larry Silverstein (Credit: Getty Images, iStock)

Silverstein’s lending biz could get a boost from the weak luxury condo market

Larry Silverstein and the Tel Aviv Stock Exchange (Credit: Getty Images)

Institutional investors swarm Silverstein’s new TASE bonds

3 World Trade Center

WATCH: Inside the nearly completed 3 WTC