The Real Deal New York

Co-working company Spaces takes 100K sf in Flatiron District

CL Investment Group scrapped plans to convert 287 PAS to condos
July 17, 2018 03:30PM

Spaces’ Martijn Roordink and 287 Park Avenue South (Credit: Coworking Europe and 287 Park Avenue South)

Co-working company Spaces, IWG Plc’s answer to WeWork, signed a lease for 100,000 square feet in the Flatiron District.

The company took the seventh through ninth floors at CL Investment Group’s 287 Park Avenue South, Commercial Observer reported. Terms of the deal weren’t disclosed, but average asking rents in the area are around $70 to $80 per square foot.

CL Investment bought the property, formerly known as the United Charities Building, for $128 million in 2014 with intentions to convert it to residential condominiums. The Beijing-based developer later pulled the plug on those plans and instead opted to renovate the building for commercial tenants.

Spaces last year signed a lease for 100,000 square feet at Manhattan West, and has locations at Lighthouse Point on Staten Island, 31-00 47th Avenue in Long Island City, 1740 Broadway and the Helmsley Building at 230 Park Avenue.

There is currently 6.6 million square feet of co-working space in Manhattan, according to a recent report by Savills Studley. That total could reach 10 million square feet by the end of next year. [CO] — Rich Bockmann