Brokers struggle to find Dewey replacement and land $10M commission
Those 470,000 square feet of office space Dewey & LeBoeuf vacated after its bankruptcy last month are looking increasingly difficult to fill, the Wall Street Journal reported, even as brokers work to secure the potential $10 million commission.
The space, at 1301 Sixth Avenue, could command rents of $80 to $90 per square foot, and has already drawn the attention of law firms Chadbourne & Parke, through broker Newmar Grubb Knight Frank, and Kaye Scholer, through CBRE Group. Millbank, Tweed, Hadley & McCloy also toured the space before renewing at 1 Chase Manhattan Plaza.
But Dewey’s space, which is built out with luxurious detailing, might not appeal to a sector that now factors efficiency, light and brightness, according to CBRE broker John Maher. In addition, to the combination of a declining financial sector and a host of vacancies along the Fortune 500 thoroughfare, those design elements will make it difficult for Paramount to find a tenant. Dewey rejected the lease in bankruptcy rather than trying to profit by subletting the office for more than it paid. [WSJ]