From left: Silverstein Properties President Larry Silverstein and a rendering of 4 World Trade CenterThe previously reported deal for the city’s Human Resources Administration to take more than half of a million square feet at 4 World Trade Center could be upended by a private-sector tenant, according to the New York Post.
The developer of the 2.2 million-square-foot building, Silverstein Properties President Larry Silverstein, had previously said that if a private tenant takes the space the city’s commitment “may not be necessary.” He and the Port Authority of New York & New Jersey, which owns the site, would prefer private tenants to fill the space, in part because they would pay more. The HRA lease starts at $56.50 per foot for its 582,000-square-foot space, about $10 to $15 less than tenants have paid in recent deals for space in nearby 7 World Trade Center.
But if Silverstein were to court a private-sector tenant, he’d need to act fast. The city will need to solidify its plans for the administration soon, the Post said. The building’s other signed tenant is the Port Authority, which is moving its headquarters into 800,000 square feet in the building.
Meanwhile, Silverstein continues to try to work out a deal to issue bonds to finance the rest of construction on the site, which is still at least two years from completion. [Post, 1st item]