The Real Deal New York

Discovery, Scripps to consolidate offices at TF Cornerstone’s 230 PAS

Consolidated companies plan to lease 250K sf
March 12, 2018 09:00AM

Discovery Communications CEO David Zaslav and 230 Park Avenue South

Discovery Communications and Scripps Networks will consolidate their New York City offices at TF Cornerstone’s  230 Park Avenue South.

Discovery, which just completed a $12 billion takeover over Scripps, plans to move the companies’ combined operations into 250,000 square feet in the building at 19th Street just north of Union Square, the New York Post reported.

Discovery and Scripps had earlier narrowed their search to 441 Ninth Avenue on the West Side and 1250 Broadway in Koreatown, but ultimately decided they’d rather be in the growing tech-centric hub around Union Square.

“It’s in the same ballpark as at the other buildings they looked at,” an insider told the Post. “The decision wasn’t about rent — they just really wanted to be on Park Avenue South which is teeming with creative and entertainment companies.”

No lease is signed, but tenants such as divisions of WPP Group have already begun to move out.

“While something crazy can always go wrong, it’s unlikely,” a source told the newspaper.

Asking rents are in the range of the high $70s to the low $80s per square foot.

Discovery currently leases roughly 160,000 square feet at 850 Third Avenue and owns a 550,000-square-foot building in Silver Springs, Maryland, which it plans to sell.

Scripps, meanwhile, keeps offices at 1180 Sixth Avenue and the Chelsea Market building at 75 Ninth Avenue, which Google is buying for roughly $2.4 billion.

It wasn’t clear how much if any space the company will keep in its New York City locations.

Discovery Communications boss David Zaslav was at Food Network’s studio Wednesday morning before he gave an interview to CNN, saying the new company will be “the leader in real-life entertainment around the world.” [NYP]Rich Bockmann