The Real Deal New York

RXR taps Convene to manage invite-only penthouse club at 75 Rock

"Club 75" will open on the building's 32nd floor Thursday
October 24, 2018 10:40AM

Club 75, Convene CEO Ryan Simonetti, and RXR Realty CEO Scott Rechler (Credit: Convene, Getty Images, and Twitter)

An exclusive, invite-only club atop 75 Rockefeller Plaza is set to be operated and managed by flexible working company Convene, a sign of a shift towards property management for the co-working industry.

The new gathering spot for New York’s movers and shakers, Club 75, will open Thursday on the 32nd floor penthouse of 75 Rockefeller, the New York Post reported.

Owner Scott Rechler, chief executive and chairman of RXR Realty, partnered with the co-working company design and manage the 14,000-square-foot space.

“We have a beautiful library, dining space, a lounge, flex space and also large meeting and event spaces,” Ryan Simonetti, chief executive of Convene, told the outlet.

The announcement comes a month after Convene, a startup backed by the Durst Organization and Brookfield, signed its largest office lease in New York City, a 116,000-square-foot space at 530 Fifth Avenue owned by RXR Realty.

RXR is also an investor in Convene and was part of a $152 million funding round led in July, bringing the startup’s valuation to $500 million. Unlike traditional models of co-working, which appeal to freelancers and small startups, Convene has targeted mid-sized companies to manage office space on their behalf and act as a property manager.

RXR controls the 32-story office building through a 99-year, triple-net lease it signed in 2013 with billionaire Mohamed al-Fayed. It recently completed a $150 million renovation and scored a $300 refinancing package from TIAA. Convene, which leases 28,000 square feet at 75 Rock, also operates at RXR’s 32 Old Slip and 237 Park Avenue.

Club 75 will open with close to 150 founding members and new members will be charged $4,800, though tenants will reportedly have a reduced rate. [NYP] — David Jeans