Manhattan office landlords aren’t a charity case, but at least one building owner is likely grateful to receive a boost from a local nonprofit.
Catholic Charities of New York signed a 30-year, 77,000-square-foot lease at 80 Maiden Lane in the Financial District, Crain’s reported. The poverty-focused nonprofit was already occupying 27,000 square feet at the property — space it will keep — meaning it is expanding by roughly 50,000 square feet.
When looking solely at the 77,000-square-foot lease, however, it’s a highlight of the year for Manhattan’s downtown office market. The deal represents the fifth-largest lease of the year in the submarket, according to Colliers.
Cannon Hill Capital Partners and Paul Wasserman’s A.M. Property Holding own 80 Maiden Lane, as Meadow Partners has shed its minority stake, according to Cannon Hill chief operating officer Melissa Donohoe.
Three years ago, the owners landed a $258.9 million CMBS loan from JPMorgan Chase for 80-90 Maiden Lane, retiring about $250 million of debt from Invesco Real Estate that came from a refinancing in 2018. The property is 86.3 percent leased, according to CoStar.
The building owners are converting Catholic Charities’ expanded space into office condos. For a tax-exempt nonprofit, that’s a big advantage as leasehold condos allow a tenant to be considered as owning their office space.
It’s unclear what Catholic Charities is paying the landlord; asking rents at the building range from $40 to $49 per square foot, according to CoStar. JLL’s Matt Astrachan and Greg Wang were among those representing the tenant, while CBRE’s Paul Amrich and Neil King were part of the landlord’s team.
Read more
Commercial
New York
Manhattan office leasing ticks toward 30M SF mark
Commercial
New York
Meadow Partners scores $259M CMBS loan at 80-90 Maiden Lane
Commercial
New York
Manhattan office leasing soars 60% in July
Monthly leasing volume fell by nearly a third from July to August, but was up 3.5 percent year-over-year, according to a Colliers report. Manhattan’s year-to-date activity reached nearly 21 million square feet in August. If leasing continues apace, the borough is on track to surpass 30 million square feet in volume for the first time in five years.
Correction: Meadow Partners no longer holds an ownership interest in 80 Maiden Lane.