The Real Deal New York

NYPD in talks for large spread downtown

Department negotiating to lease three floors at 375 Pearl Street
August 27, 2018 08:15AM

Police Commissioner James P. O’Neill and 375 Pearl Street (Credit: Getty Images and Tectonic via Yimby)

UPDATED, Aug. 29, 12:58 p.m.: The New York Police Department plans on taking 106,000 square feet of office space at 375 Pearl Street in Lower Manhattan.

The NYPD is close to signing a 20-year lease for the entire 15th through 17th floors at the 32-story building owned by Seattle-based Sabey Data Center Properties and Youngwoo & Associates, Commercial Observer reported.

Rent will start out at $41 per square foot for the first five years of the lease and escalate to $52 per square foot for the final five years of the deal. The first 270 days of rent will be abated, and the NYPD has a pair of five-year renewal options, according to CO.

The police department also recently signed a roughly 18,800-square-foot lease on part of the building’s 20th floor, which the department plans to occupy this fall.

A CBRE team of Gerry Miovski, Gregg Rothkin and Zak Snider represent the building’s ownership.

City Hall will make the final determination on the lease after the Mayor’s Office of Contract Services holds a public hearing on Sept. 5.

Sabey & Young Woo bought the 1.1 million-square-foot building in 2011 for $120 million. They repositioned the top 15 floors as office space and replaced the largely windowless façade with glass curtain wall.

Rafael Viñoly Architects in July signed a lease for 36,550 square feet in the building. Other tenants include the city’s Human Resources Administration, which last year signed on for nearly 200,000 square feet. [CO] – Rich Bockmann

Correction: Due to an error in the source article, this post incorrectly stated the city agency that will hold a meeting on the NYPD’s lease, and the date of that meeting.