Brookfield’s Far West Side leasing juggernaut snatched another marquee tenant from central Midtown. In the latest coup, law firm Crowell & Moring just signed for 71,000 square feet at Two Manhattan West, where it will move next year from a slightly smaller space at 590 Madison Ave.
The deal reaffirms the phenomenon of companies ankling to newly constructed buildings from older ones — including from those that opened as recently as the 1980s, such as still desirable 590 Madison Ave.
Corporate relocations cost a bundle even when landlords give concessions and they disrupt operations. The fact that so many tenants are willing to do it shows how powerful the trend is.
Two Manhattan West’s 1.9 million square feet are already 76% spoken for. Cravath, Swaine & Moore signed on as anchor tenant a few years ago when the site was a hole in the ground, and was later joined by Clifford Chance and KPMG.
The tower will open in the spring when, coincidentally, the new High Line Moynihan Connector is to be completed that will link the elevated park to Manhattan West’s public plaza.
The move west is “not simply about moving to a bigger space, but to a better space,” said Crowell’s New York managing partner Glen McGorty. “We can operate more efficiently. Rather than fill our corner offices with partners, we have designed cutting-edge, multi-purpose space where lawyers and staff can connect” to better serve clients.
Two Manhattan West is the final jewel in the crown of Brookfield’s eight-acre complex, just east of Related’s Hudson Yards. It also includes One Manhattan West (nearly 100% leased to EY, the NHL and Accenture), the Pendry Hotel and apartment tower The Eugene.
Brookfield can boast of scoring three of the year’s five largest Manhattan leases and five of the largest 10 deals to date. KPMG’s was the largest at 450,000 square feet.
Credit: Source link