Apple is in talks for a lease at Vornado’s 11 Penn Plaza

It comes after the tech giant lost a bid against Facebook to lease the Farley Building

TRD New York /
Jan.January 22, 2020 08:44 AM
11 Penn Plaza and Apple CEO Tim Cook (Credit: Vornado, Getty Images)

11 Penn Plaza and Apple CEO Tim Cook (Credit: Vornado, Getty Images)

The big tech takeover of Penn Plaza continues.

Apple is in talks with Vornado Realty Trust to take space at the 1.15 million-square-foot 11 Penn Plaza, according to the New York Post. The iPhone-maker is reportedly considering taking a 200,000-square-foot space that is currently leased to Macy’s.

It comes after Apple lost out to Facebook for office space at Vornado’s redevelopment of the James A. Farley Post Office building. Apple was reportedly looking to take only a portion of its space, while Facebook committed to the entire 740,000 square feet.

Facebook’s victory at the Farley Building will make it one of the largest tenants in the city, and follows a 1.5 million-square-foot lease it signed at Hudson Yards late last year.

Apple has been in the market for several hundred thousand square feet of office space as it seeks to expand on its current 50,000-square-foot office at 100-104 Fifth Avenue in the Flatiron District, where it houses its marketing division and software engineers.

Asking rent in 11 Penn Plaza is reportedly priced at mid-$60 a square foot. It’s unclear if Vornado will approve Apple as a sublessor, or replace the Macy’s lease with an agreement with Apple.

Vornado, led by CEO and founder Steve Roth, purchased 11 Penn Plaza and 2 Penn Plaza in a $437 million portfolio deal with Bernard Mendik in 1997. The building’s lobby and facade was last renovated in 1982. [NYP] — David Jeans 


Related Articles

arrow_forward_ios
Eric Gordon

Eric Gordon on the evolution of the residential data game — and how to stay competitive in the new world

Eric Gordon on the evolution of the residential data game — and how to stay competitive in the new world
Big Tech locations in NYC

MAP: Here’s a look at all the Big Tech locations in NYC

MAP: Here’s a look at all the Big Tech locations in NYC
Vornado's Steve Roth and 220 Central Park South (Credit: Getty Images, iStock)

Free and clear: Vornado pays off debt at 220 CPS

Free and clear: Vornado pays off debt at 220 CPS
731 Lexington Avenue and 410 East 61st Street (inset) with Vornado's Steve Roth (Googel Maps; VNO)

Home Depot eyes former Bed Bath & Beyond space on First Ave

Home Depot eyes former Bed Bath & Beyond space on First Ave
(iStock)

Is winter coming? Real estate stocks dragged down by 4th week of market decline

Is winter coming? Real estate stocks dragged down by 4th week of market decline
220 Central Park South and Steve Roth (Google Maps, Getty)

Another 220 Central Park South condo sells for $61.6M

Another 220 Central Park South condo sells for $61.6M
(iStock)

Remote work threatens cash flows for office REITs

Remote work threatens cash flows for office REITs
Vornado CEO Steven Roth and TheMART (Getty, VNO)

What tenants are paying at Vornado’s theMART in Chicago

What tenants are paying at Vornado’s theMART in Chicago
arrow_forward_ios

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

Loading...