Crains New York - March 25, 2013 - (Page 5)

REAL ESTATE DEALS Law firm doubles its space on Sixth W hile many landlords on Sixth Avenue in midtown are trolling for jumbo-size tenants to fill gaping vacancies in their properties, Silverstein Properties and CalSTRS have found success focusing on just the opposite at their jointly owned tower at 1177 Sixth Ave.,at West 46th Street. The landlords just inked a lease for 15,375 square feet, the 47-story tower’s entire 38th floor, with law firm Drinker Biddle & Reath. The deal will double the tenant’s space at the property.Two years ago, the firm signed on for the building’s entire 41st floor. Unlike the large floor plates of many of Sixth Avenue’s behemoth office properties, 1177 Sixth Ave.’s tapering profile offers floors that slim down from its nearly 30,000square-foot base to less than half that on its upper stories. Those spaces cater to an abundant population of small and midsize companies. They are far more active in the leasing market right now than big-block tenants. With spectacular views, those units also command far higher rents. Under its new 10-year lease, Drinker Biddle & Reath will pay in the upper $70s per square foot. As part of the transaction, the firm also extended its lease for the 41st floor. “One of the challenges on Sixth Avenue is that if you’re a small tenant, it’s very hard to find space,” said Jeremy Moss, an executive at Silverstein Properties who handles leasing and represented the landlords. “We have a unique peg in the market, and because of that,leasing is starting to get fast and furious for us.” Mr. Moss said that he is in the process of closing another roughly 15,000-square-foot deal for one of five other tower floors that are available. Jane Roundell and Jeffrey Baker, brokers at Cresa, represented Drinker Biddle & Reath. —daniel geiger 401 PARK AVE. SO. 519 EIGHTH AVE. 30 BROAD ST. ASKING RENT; TERM: $53-$60 per square foot; 10 years ASKING RENT; TERM: $40 per square foot; 11 years ASKING RENT; TERM: $34 per square foot; 10 years SQUARE FEET: 42,200 SQUARE FEET: 9,000 SQUARE FEET: 8,600 TENANT; REP: Vitech Corp.; Dennis Someck of Lee & Associates TENANT; REP: Legacy Builders; Michael Frantz of Newmark Grubb Knight Frank LANDLORD; REPS: Meringoff Properties; in-house representation by Mark S. Stein and Jason Vacker LANDLORD; REPS: Kaufman Organization; in-house representation by Steve Kaufman and Barbara Raskob BACK STORY: The systems-engineering and architectural-software solutions provider renewed and extended its lease for its global headquarters. BACK STORY: The general contracting firm will craft its own space at its new home in the 26-story building, which reached full occupancy with this deal. TENANT; REPS: First Chinese Presbyterian Community Affairs; Marc Shapses and Nancy Weinstein of Studley LANDLORD; REPS: Gotham Realty Holdings; Richard Doolittle and John P. Howard of Murray Hill Properties BACK STORY: Nonprofit will move to the Art Deco building from Hudson Square, according to The Commercial Observer. BUSINESS OWNERS join the thousands of New Yorkers who have reduced their energy use, gotten millions of dollars in incentives, and helped the environment. 1-877-870-6118 conEd.com/GreenTeam Gluten-free baker is on a roll MAKE ©2013 Consolidated Edison Company of New York, Inc. Ad: Arnell Group Gluten-free bakery Pip’s Place will open a second Manhattan outpost in June. The Upper East Side-based baker has signed a 10-year lease for 700 square feet at 127 E. 39th St. All the products will be baked at the original location on First Avenue, between East 89th and 90th streets. Jordan Lerner and Howard Aaron of Square Foot Realty represented building owner H&M (NY) Realty, while Mary Hall Mayer of Halstead Property represented Pip’s Place.The space has been vacant for a few years. Gluten-free foods have become hot commodities in recent years. Because the foods at Pip’s Place are safe for people with any level of gluten intolerance, the Upper East Side bakery has become something of a destination. Owner Denise Cumming “wanted a more central location so people who need her products don’t have to go to the Upper East Side,” Mr. Lerner said. —ali elkin BARE BONES ENERGY EFFICIENCY A WAY OF LIFE BUSINESS OWNERS, GET ENERGY FIT TODAY. March 25, 2013 | Crain’s New York Business | 5 http://www.conEd.com/GreenTeam http://www.conEd.com/GreenTeam

Table of Contents for the Digital Edition of Crains New York - March 25, 2013

In the Boroughs
In the Markets
Real Estate Deals
The Insider
Business People
Opinion
Alair Townsend
Greg David
40 Under 40
Classifieds
For the Record
Small Business
New York, New York
Source Lunch
Out and About
Snaps

Crains New York - March 25, 2013