A 145K sf question mark: City pulls back $10M incentive for Aetna to move to Aurora and Vornado building

It's unclear what will happen with the space

TRD New York /
Jan.January 10, 2018 05:20 PM

From left: Mark Bertolini, 61 Ninth Avenue, Jared Epstein and Steve Roth (Credit: Aetna, Vornado and LinkedIn)

The city has rescinded the $9.6 million it offered Aetna to move its headquarters to Aurora Capital Associates and Vornado Realty Trust’s 61 Ninth Avenue because, according to officials, the relocation isn’t happening.

The city’s Economic Development Corp. canceled the incentives — which were part of a larger package with state funds that would’ve totaled $34 million over a decade — because the insurance giant isn’t moving to the Meatpacking District, Crain’s reported. The $24 million in tax breaks offered by the state hinged on the company meeting certain milestones.

Last year, Aetna agreed to lease the entire office portion of Aurora and Vornado’s 165,000-square-foot commercial building. Aetna planned to move 250 employees from its Hartford, Connecticut, headquarters to the Meatpacking building. But in December, the company was acquired by CVS, and Aetna executives said that all real estate would be evaluated as a result.

It’s unclear what Aetna will do with the Meatpacking space since the company already signed a lease for 145,000 square feet in the building. Asking rent for the space was $150 per square foot. [Crain’s] — Kathryn Brenzel 

Related Articles

Vornado's Steve Roth and 220 Central Park South (Credit: Getty Images, iStock)

Free and clear: Vornado pays off debt at 220 CPS

Vornado chairman and CEO Steven Roth, and 608 Fifth Avenue (Credit: Getty Images)

“Negative surprises”: Vornado execs talk retail struggles on Q2 earnings call

Steven Roth, CEO of Vornado and 640 Fifth Avenue (Credit: Getty Images and Vornado Realty Trust)

Bank of China issues $500M to Vornado in refi of 640 Fifth Avenue

Facebook CEO Mark Zuckerberg and Apple CEO Tim Cook with a rendering of the Farley development (Credit: Getty Images, SOM iStock)

Facebook facing off with Apple over space in Vornado’s Farley Building conversion

An example of roll-off waste management (Credit: YouTube, iStock)

Big building owners prevent city from dumping container-pickup in trash-collection reform

Alexandria Ocasio-Cortez, Bernie Sanders and Elizabeth Warren

By the numbers: Breaking down national housing agendas from the far left

“I can talk about erections all day”: NAR tech consultant’s bizarre fireside chat

Nuveen CEO Vijay Advani, Blackstone President & COO Jonathan Gray and one of the Texas properties

Blackstone just sold off a 29M sf national industrial portfolio