The Real Deal New York

Spotify expands to roughly 478K sf at 4 WTC

Deal brings Silverstein Properties' building to full occupancy
July 06, 2017 10:30AM

From left: Larry Silverstein, 4 World Trade Center and Spotify’s Daniel Ek

Spotify exercised an option to lease another 100,000 square feet at 4 World Trade Center, bringing Silverstein Properties’ building to full occupancy.

The music-streaming company originally signed a lease for 378,000 square feet in February, and is now taking an additional three floors in the 72-story tower, Crain’s reported.

Gov. Andrew Cuomo’s administration offered $11 million in rent subsidies over 15 years to Spotify, which pledged to create 1,000 new jobs and retain another 832 existing positions.

Spotify will also keep its 100,000-square-foot office at RXR Realty’s 620 Sixth Avenue in Chelsea, but operations will most likely be focused in Lower Manhattan. Asking rents in Silverstein’s building have climbed into the $80s per square foot, among the priciest downtown.

The Port Authority of New York and New Jersey and city agencies anchor the tower. With the building all leased up, Silverstein is turning its attention to leasing 3 World Trade Center, where media agency GroupM has already agreed to take 685,000 square feet.

A leasing team at JLL represented Spotify in the deal, and Silverstein was represented by in-house executives and a team from CBRE. [Crain’s]Rich Bockmann