The battle for Flatiron: The Office Group and WeWork are facing off at the iconic building

The 2 flexible-office companies are vying for the iconic 180K sf building

New York /
Jul.July 20, 2018 10:30 AM

From left: WeWork’s Adam Neumann, the Flatiron Building at 175 5th Avenue, and The Office Group’s Olly Olsen (Credit: Getty, CityRealty, and Twitter)

The Flatiron Building, one of New York City’s oldest and most iconic skyscrapers, is available for leasing, and two of the world’s largest flexible-office companies are bidding to move in.

WeWork and London-based The Office Group will go head-to-head in their advance on the 180,000-square-foot building, which would serve as an enticing location for co-working spaces. The negotiations with building owner Sorgente Group were first reported by the Financial Times.

A move to the Flatiron Building will mark The Office Group’s first overseas location, and signal another rival for WeWork in New York’s crowded flexible office market. Blackstone bought a majority stake in The Office Group in June 2017, when the company was valued at $655 million. The company now has 39 locations that cover over 1.3 million square feet.

But it will face an uphill battle in trying to gain ground against WeWork. The flexible workspace giant had a Manhattan footprint of 4.1 million square feet in the first quarter, and from April to June it closed an additional 190,000 square feet in leases at 214 West 29th Street, 130 Fifth Avenue and 408 Broadway.

Last July, MacMillan Publishing announced it would be leaving the Flatiron Building to occupy 261,000 square feet at Silverstein Properties120 Broadway. The company is set to move out next year. [Financial Times] — David Jeans 


Related Articles

arrow_forward_ios
Wendy Silverstein (Credit: Getty Images)
Wendy Silverstein, co-head of WeWork’s real-estate fund, is out
Wendy Silverstein, co-head of WeWork’s real-estate fund, is out
WeWork CEO Adam Neumann (Credit: Getty Images and iStock)
WeWork’s side businesses are fizzling
WeWork’s side businesses are fizzling
Sarah Pontius (Credit: Union College)
Another head rolls at WeWork
Another head rolls at WeWork
Hamptons businesses desperate for workers
Hamptons businesses desperate for workers
Hamptons businesses desperate for workers
(iStock)
Job recovery sputters, but hospitality & leisure add hiring
Job recovery sputters, but hospitality & leisure add hiring
Cushman & Wakefield CEO Brett White (Cushman)
Cushman eyeing M&A opportunities post-pandemic
Cushman eyeing M&A opportunities post-pandemic
Andrew Yang (Getty, iStock)
Yang targets vacant lots with $900 million tax plan
Yang targets vacant lots with $900 million tax plan
Ron Burkle and Andrew Zobler with The NoMad New York. (Google Maps, Getty)
NoMad Hotel heads back to the auction block
NoMad Hotel heads back to the auction block
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...