Another tech company moving into 229 West 43rd Street

Former NYT building turning into a hot spot for IT outfits

TRD New York /
Feb.February 12, 2014 07:45 AM

Blackstone Group’s Equity Office will add yet another so-called TAMI (technology, advertising, media and information) tenant to 229 West 43rd Street, The Real Deal has learned. Online advertising network Collective is taking the entire eighth floor – nearly 58,000 square feet – at the property, according to sources familiar with the deal.

Collective will pay rents starting in the mid-$60s per square foot over a ten-year term, according to CompStak data, and will get about a year’s worth of free rent in the building, the former home of the New York Times. The firm currently pays about $40 per square foot for its 31,615-square-foot space at 99 Park Avenue, according to CompStak. The 99 Park Avenue fifth-floor space has now been put up for a sublease, according to office space search site 42Floors.

Newmark Grubb Knight Frank’s Brian Waterman, Brent Ozarowski, Jonathan Tootell and Lance Korman handle leasing at the 767,000-square-foot West 43rd Street building, according to its website. The brokers couldn’t immediately be reached for comment. Cassidy Turley’s Richard Bernstein, Harry Krausman and Daniel Thompson represented Collective. A spokesperson for Cassidy Turley declined comment, and representatives for Collective couldn’t be reached for comment by press time.

Blackstone paid Lev Leviev’s Africa Israel USA and private equity firm Five Mile Capital $160 million for the top 12 floors of the 15-story building in August 2011, as TRD reported. The private equity giant has since invested at least $105 million in a drive to reposition the building as a tech-friendly oasis in the heart of Times Square. A number of leasing deals with high-profile TAMI tenants such as Yahoo suggest that the bet appears to be paying off.


Related Article

arrow_forward_ios
65 East 55th Street and EQ Office CEO Lisa Picard (Credit: Park Avenue Tower and VTS)

Blackstone looks to sell Park Ave Tower for more than $800M

(Illustration by Tim Peacock)

The e-commerce industrial revolution

Blackstone president Jonathan Gray and 145-07 156th Street in Queens (Credit: Getty Images and Google Maps)

Fresh off $18B industrial buy, Blackstone in talks for collection of warehouses near JFK

Blackstone is already selling pieces of the $18B GLP industrial portfolio

Blackstone’s Q2 earnings decline as real estate segment tumbles

Blackstone CEO Jonathan Gray and Stuy Town (Credit: Getty Images and Wikipedia)

Rent-regulation laws prompt Blackstone to halt improvements at Stuy Town

Blackstone-backed mortgage lender Stearns files for bankruptcy

266 East 78th Street

Here’s what the $10M-$20M NYC investment sales market looked like last week

arrow_forward_ios