MTA renews 50K sf at Forest City’s
1 Pierrepont Plaza in Brooklyn

Lease is worth $2.4M a year to start

New York /
Dec.December 17, 2018 09:30 AM

MTA acting chairman Fernando Ferrer and 1 Pierrepont Plaza in Brooklyn (Credit: Getty Images)

The Metropolitan Transportation Authority renewed its nearly 50,000-square-foot space in Brooklyn Heights.

The MTA signed a 10-year lease for the 47,042 square feet it occupies on the full sixth floor of Forest City New York’s 1 Pierrepont Plaza, Commercial Observer reported.

The agency will pay a starting rent of $50 per square foot, which will increase at a rate of 1.25 percent annually, according to MTA board documents. And as a sweetener, Forest City will give New York City Transit a tenant-improvement allowance to build out its space of $1.95 million, or $41.50 per square foot. The new lease begins in March 2019.

The MTA originally leased the offices in 2013 for staff working on projects related to Superstorm Sandy, which the agency plans to keep working on through 2022. At that point, employees will be transferred to other New York City Transit programs like “Fast Forward,” which includes spending $60 billion over 10 years to repair the aging subway system and upgrade signals.

The Fire Department of New York earlier this year signed a lease for 40,000 square feet in the building.

This month, Brookfield Asset Management officially closed on its $6.8 billion buy of Forest City. Brookfield is set to takeover 4.8 million square feet of office space and 2,500 apartments from the former real estate investment trust. [CO] – Rich Bockmann


Related Articles

arrow_forward_ios
Apollo Global Management will take over craft retailer Michaels in a deal that values the company at $3.3 billion. (Wikipedia Commons, iStock)
Craft retailer Michaels to go private in $5B deal
Craft retailer Michaels to go private in $5B deal
 JLL CEO of capital markets Richard Bloxam and Roofstock CEO Gary Beasley (JLL, Roofstock, iStock)
JLL gets in rental home business
JLL gets in rental home business
Mack-Cali Realty CEO Mahbod Nia and MaryAnne Gilmartin (Photos via Mack-Cali Realty)
Mack-Cali Realty names Mahbod Nia as CEO
Mack-Cali Realty names Mahbod Nia as CEO
The comedy club argues that if SNL can operate, then they should be allowed to operate too. (Getty)
Manhattan comedy club sues Cuomo over pandemic closures
Manhattan comedy club sues Cuomo over pandemic closures
(iStock)
These were Manhattan’s best office submarkets in Q4
These were Manhattan’s best office submarkets in Q4
(iStock/Illustration by Alexis Manrodt for The Real Deal)
Order up: Real estate investors line up to buy drive-throughs
Order up: Real estate investors line up to buy drive-throughs
Mayor Bill de Blasio (Getty, iStock)
NYC to revive $17B in public construction projects
NYC to revive $17B in public construction projects
Houston House at 298 East 2nd Street and Matt Lee (Houston House, LinkedIn)
Developer Matt Lee to auction off East Village condo
Developer Matt Lee to auction off East Village condo
arrow_forward_ios

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

Loading...