Housing agency nabs two floors at Silverstein’s 120 Broadway

Housing financer to occupy 109K sf at property

Larry Silverstein with 120 Broadway
Larry Silverstein with 120 Broadway (Loopnet, Getty)

The New York City Housing Development Corporation will relocate from 110 William Street to a Silverstein Properties building just five minutes away.

The city agency inked a lease for 109,000 square feet at 120 Broadway in the Financial District, the real estate development firm said Monday. HDC, which helps finance affordable housing in the city, will occupy the 40-story building’s second and third floors.

The length and value of the lease were not disclosed, nor was when HDC will relocate.

Silverstein’s internal leasing team of Joseph Artusa and Keith Cody, as well as a Newmark team including Erik Harris and Scott Lau, represented Silverstein in the transaction. Newmark’s Kevin Sullivan and Lance Korman represented the housing agency.

The HDC will join the likes of Capital Grille, Macmillan Publishers, the pet supply subscription company Bark and engineering firm Thornton Tomasetti among notable tenants at 120 Broadway. As of two years ago, annual asking rents in the tower ranged from $62 to $74 per square foot.

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However, the law firm Kaufman Borgeest & Ryan is departing the building for Eyal Ofer’s 875 Third Avenue in Midtown in March.

The tower, known historically as the Equitable Building, recently underwent a $50 million renovation to restore its original architectural features and construct a rooftop space. Silverstein is also building out meeting spaces, a fitness center and a speakeasy on the tower’s 10th floor.

HDC’s lease at 120 Broadway comes at an unsteady time for the Manhattan office market. Leasing volume in Manhattan dropped by 4 percent in the second quarter to 7.3 million square feet, according to a report by Colliers.

The vacancy rate in Manhattan for the quarter was 17.2 percent, virtually unchanged from February’s record 17.4 percent. Office supply has surged by more than 72 percent since the start of the pandemic. But the Adams administration has required city employees to come to the office five days a week, making the city an attractive tenant.