WeMove: WeWork leaves Lincoln Road, consolidates Miami Beach operations to Lenox Ave

Co-working firm reached a deal with its landlord at 429 Lenox Avenue in Miami Beach

Miami /
Aug.August 03, 2020 02:45 PM
WeWork Lenox Avenue, WeWork Lincoln Road and CEO Sandeep Mathrani (Lenox location by Katherine Kallergis, WeWork, iStock)

WeWork Lenox Avenue, WeWork Lincoln Road and CEO Sandeep Mathrani (Lenox location by Katherine Kallergis, WeWork, iStock)

UPDATED, Aug. 3, 4:55 p.m.: WeWork is leaving Lincoln Road after allegedly owing more than $650,000 in unpaid rent at Lenox Avenue, and is consolidating its two Miami Beach locations into one, The Real Deal has learned.

The embattled coworking giant notified its members at 350 Lincoln Road in Miami Beach that it was closing the space effective Aug. 14, according to a letter obtained by TRD. Members were offered a move to 429 Lenox Avenue in Miami Beach, which WeWork is now calling its flagship Miami Beach location, or downtown Miami at the Southeast Financial Center at 200 South Biscayne Boulevard.

WeWork opened its Lincoln Road location – on four floors totaling 40,000 square feet – in 2015. A company controlled by Shaul Levy and Meir Levy owns the building.

The announcement comes as WeWork looks to shrink its portfolio around the world amid the coronavirus pandemic. The move follows WeWork’s failed IPO attempt last year.

A month ago, WeWork’s landlord at 429 Lenox Avenue posted a three-day notice to the front door of the building, allegedly seeking more than $650,000 in unpaid rent.

On July 13, WeWork and Robert Goddard’s Goddard Investment Group, the landlord at 429 Lenox Avenue, sent a letter to members. It said the landlord and tenant were working together “in good faith” and were confident a resolution would be finalized in the coming days. WeWork is the sole tenant of the 43,500-square-foot building.

WeWork and Goddard Investment Group finalized their agreement on Monday, according to a source.

Meanwhile, members of WeWork on Lincoln Road were stunned by the closure notice.

Jay Rodgers, of Stryder Eyewear, a member at 350 Lincoln Road, wrote that several members are “scrambling for a new place” and that WeWork is not paying to relocate its members or reprint marketing materials. Rodgers called it an “awful experience.”

WeWork declined to comment. In the letter sent to members of 350 Lincoln Road, WeWork said it would work with them to move to “another WeWork location for no additional membership or relocation cost.”

The company has locations in downtown Miami, Brickell and Coral Gables.

In New York, the co-working firm decided to shut down its first-ever location on Grand Street. It recently hired JLL and CBRE to help fill millions of square feet now vacant, in New York City and Los Angeles, and has been shopping for brokerages to help lease spaces in major markets, including Miami.

Write to Katherine Kallergis at [email protected]


Related Articles

arrow_forward_ios
Ophir Sternberg with the Ritz-Carlton Residences, Miami Beach and the land for the villas (Lionheart Capital)
GFI buys land for second phase of Ritz-Carlton Residences Miami Beach
GFI buys land for second phase of Ritz-Carlton Residences Miami Beach
(iStock)
South Florida resi sales jump in Q4: Elliman
South Florida resi sales jump in Q4: Elliman
Richard Bressler and Lisa Gersh with 1425 West 25th Street, Miami Beach (Getty, Google Maps)
Media titans buy Sunset Islands home for $5M
Media titans buy Sunset Islands home for $5M
Ruthie and Ethan Assouline lead Compass’ Assouline Team. (The Assouline Team, iStock)
Compass’ Assouline Team expands to Miami Beach
Compass’ Assouline Team expands to Miami Beach
Images of Arte, Ritz-Carlton Residences Miami Beach, Ritz-Carlton Residences Miami Beach and One Thousand Museum (One Thousand Museum via One Sotheby's)
Buyers shift to condos as waterfront single-family luxury inventory dwindles in South Florida
Buyers shift to condos as waterfront single-family luxury inventory dwindles in South Florida
Chris Bosh and his North Bay Road home, 6396 North Bay Road (Getty, One Sotheby’s International Realty)
Chris Bosh sells waterfront Miami Beach mansion for $15M
Chris Bosh sells waterfront Miami Beach mansion for $15M
Miami-Dade condo sales and the Ritz-Carlton Residences, Miami Beach (Google Maps)
Miami-Dade condo sales and closed dollar volume jump after slow start to year
Miami-Dade condo sales and closed dollar volume jump after slow start to year
Pierre Pomerleau and Eighty Seven Park (8701 Collins Avenue, Miami Beach)
Canadian construction mogul buys another condo at Eighty Seven Park
Canadian construction mogul buys another condo at Eighty Seven Park
arrow_forward_ios

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

Loading...