“Big four” ad agency inks major Garment District lease in Malkin-owned 1400 Broadway

An advertising agency has signed a major new lease in Anthony Malkin’s 1400 Broadway in the Garment District, helping to position the area as a happening hub for the creative class, the Wall Street Journal reported.

Interpublic Group of Cos., one of the advertising industry’s “big four,” inked a 86,000-square-foot deal on the lower floors of the building, and will move from its current offices on 23rd Street in the Flatiron District and in Soho on Sixth Avenue. A team headed by Jones Lang LaSalle’s Scott Panzer represented Interpublic. 

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Malkin, who is one of the neighborhood’s largest landlords, has invested upwards of $100 per square foot in transforming the Garment District building into one that is attractive to big-ticket corporate tenants such as technology firm Verifone and the offices of department store Kohl’s. Malkin’s efforts represent a trend where the area’s landlords are rebranding the neighborhood, though this has met with resistance from the garment industry.

Indeed, these landlords have had a fair amount of success, with over 100 digital agencies and tech startups now based in the area, according to information the Journal received from the Business Improvement District. A big draw for these companies is the $41 per square foot average rent in the area, which compares favorably with the over $60 per square foot that tech tenants would pay in nearby Midtown South. [WSJ]  —Hiten Samtani

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“Big four” ad agency inks major Garment District lease in Malkin-owned 1400 Broadway

An advertising agency has signed a major new lease in Anthony Malkin’s 1400 Broadway in the Garment District, helping to position the area as a happening hub for the creative class, the Wall Street Journal reported.

Interpublic Group of Cos., one of the advertising industry’s “big four,” inked a 86,000-square-foot deal on the lower floors of the building, and will move from its current offices on 23rd Street in the Flatiron District and in Soho on Sixth Avenue. A team headed by Jones Lang LaSalle’s Scott Panzer represented Interpublic. 

Sign Up for the undefined Newsletter

By signing up, you agree to TheRealDeal Terms of Use and acknowledge the data practices in our Privacy Policy.

Malkin, who is one of the neighborhood’s largest landlords, has invested upwards of $100 per square foot in transforming the Garment District building into one that is attractive to big-ticket corporate tenants such as technology firm Verifone and the offices of department store Kohl’s. Malkin’s efforts represent a trend where the area’s landlords are rebranding the neighborhood, though this has met with resistance from the garment industry.

Indeed, these landlords have had a fair amount of success, with over 100 digital agencies and tech startups now based in the area, according to information the Journal received from the Business Improvement District. A big draw for these companies is the $41 per square foot average rent in the area, which compares favorably with the over $60 per square foot that tech tenants would pay in nearby Midtown South. [WSJ]  —Hiten Samtani

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