UPDATED, June 21, 10:00 a.m.: A pair of real estate-focused tenants signed deals for nearly 100,000 square feet at SL Green Realty’s 1185 Sixth Avenue.
Emerge212, SL Green’s short-term workspace subsidiary, signed a lease for 55,292 square feet on the second and third floors of the 1 million-square-foot building.
The company, launched in 1999, already has locations at two other SL Green buildings at 3 Columbus Circle and 125 Park Avenue, as well as one at 28 West 44th Street, which the landlord previously owned.
Emerge212 director James Kleeman said that – aside from the obvious synergies of leasing space in the parent company’s building – the company’s short-term clients are looking for space in the kind of Class A office properties that make up most of SL Green’s office portfolio.
“Our greatest competition is direct space,” Kleeman said. “The prospects that are touring us are considering a five- or 10-year lease or a sublet.”
Asking rents in the 42-story building range from $70 to $90 per square foot, according to SL Green.
Reis is subleasing 44,278 square feet on 30th and 31st floors through 2025 from the law firm King & Spalding, which is retaining a portion of its footprint on the 31st floor.
The company was attracted to the turn-key space in part because it comes fully furnished, a source said.
Dan Horowitz, Jeffrey Peck and Gary Kerper at Savills Studley represented Reis in the deal. Adam Ardise, Richard Bernstein and Bryan Boisi of Cushman & Wakefield handled the transaction on King & Spalding’s behalf.
“Reis was seeking new space in Manhattan to serve its growing footprint,” Horowitz said. “The advantages offered by this long term sublease included a functional space that had tremendous value already embedded, coupled with a full concession package that allowed Reis to refine the workplace to its exact requirements.”
This post was updated to include a statement from Horowitz.