Private equity firm relocating from Lever House to Third Avenue

Wellspring Capital Management inks lease for 15K sf at Fisher Brothers’ 605 Third Ave

New York /
Feb.February 04, 2019 12:00 PM

From left: Winston Fisher, 605 Third Avenue, Aby Rosen and the Lever House at 390 Park Avenue (Credit: YMWREA, FIsher Brothers, Getty Images, and Wikipedia)

In the latest development out of the Lever House, one of the tenants at the challenged property is relocating.

Private equity firm Wellspring Capital Management is relocating from RFR’s iconic Park Avenue building to the top-floor penthouse at Fisher Brothers’ 605 Third Avenue.

Wellspring signed a 15-year lease for just shy of 15,000 square feet on the office tower’s entire penthouse floor, the landlord told The Real Deal.

Fisher Brothers Partner Winston Fisher said the space’s “abundant natural light and striking panoramic views” were strong selling points.

Fisher Brothers declined to comment on the asking rent for the space, but a source with knowledge of the property said it was in the $80s per square foot.

Michael Geoghegan and Paul Stimpfle of CBRE represented the tenant. An Cushman & Wakefield agency team of Bruce Mosler, Louis D’Avanzo, Andrew Ross, Michael Baraldi and Maria Travlos negotiated the deal on behalf of Fisher Brothers alongside an in-house team of Marc Packman and Clark Briffel.

It wasn’t clear whether Wellspring was on a direct lease with RFR at the Lever House or on a sublease, or how much term it had left at the property. A source said Wellspring occupies about 10,000 square feet.

Wellspring’s departure could be indicative of troubles at the landmarked property at 390 Park Avenue, or could present an opportunity for RFR to steady the ship.

RFR owns the building but not the land underneath, and is facing a rent reset in 2023. Its rent is set to jump from $6.15 million to a figure that has been estimated at more than $20 million.

In July, Brookfield Properties and Waterman Interests announced that they took over the ground lease at the Lever House, though no further details were revealed.


Related Articles

arrow_forward_ios
CoStar CEO Andy Florance
CoStar comes home to play
CoStar comes home to play
Big Silicon Valley firm grabs 34K sf in Soho
Big Silicon Valley firm grabs 34K sf in Soho
Big Silicon Valley firm grabs 34K sf in Soho
Behind the Vale: Conflict dogs Zelig Weiss and his hip hotel
Behind the Vale: Conflict dogs Zelig Weiss and his hip hotel
Behind the Vale: Conflict dogs Zelig Weiss and his hip hotel
Stephen Ross and Charles Kushner (Getty)
Stephen Ross, Charles Kushner, other titans paid no federal taxes for years
Stephen Ross, Charles Kushner, other titans paid no federal taxes for years
Last call? Cipriani facing possible foreclosure after mortgage default
Last call? Cipriani facing possible foreclosure after mortgage default
Last call? Cipriani facing possible foreclosure after mortgage default
Northpath Investments nabs Milford Plaza for $11M
Northpath Investments nabs Milford Plaza for $11M
Northpath Investments nabs Milford Plaza for $11M
Miki Naftali makes $73M dev play on Upper East Side
Miki Naftali makes $73M dev play on Upper East Side
Miki Naftali makes $73M dev play on Upper East Side
Bloomberg nabs 191K sf expansion with SL Green
Bloomberg nabs 191K sf expansion with SL Green
Bloomberg nabs 191K sf expansion with SL Green
arrow_forward_ios

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

Loading...