(New York) — Right now, in New York City, many powerful developers are in works to make some of the biggest real estate deals in the history of New York. This is because a few key developers in the city are proposing to build new towers in some of the most coveted areas of the city, and they are looking for some very powerful tenants to occupy those buildings.
These ideal tenants include major corporations like L’Oreal, and Credit Suisse. Although different in their business structure, these companies all have one thing in common; they are each facing lease expirations in the next few years. This is making these organizations ideal tenants to occupy some of the largest and most significant new buildings to appear in New York.
Developers are trying to create buildings that will greatly impact the current structure of New York by creating towers to be corporate headquarters in some of the most coveted areas of the city. Locations include platforms near Penn Station, in Hudson Yard, and the most coveted of locations; the World Trade Center site, where three new office towers are set to be built.
Developers are eager to create many of these new buildings and negotiate deals for new occupants. There are some major companies, such as Coach, that have already agreed to occupy these new constructions once their current leases have expired. The global fashion house Coach has already made arrangements to move into a new tower set to go up in Hudson Yards.
While Coach was quick to jump on the opportunity to occupy one of these luxurious new towers in the city, there are other major companies who are deciding to renew their current leases instead. This includes companies like Morgan Stanley who have decided to renew their lease at 1 New York Plaza instead of making the move to a new location.
While Morgan Stanley and Coach have made their definite decisions on their upcoming lease expirations, there are still a number of companies who are up in the air and who developers are looking towards to occupy their new towers. This is what has left organizations like Time Warner Cable and Viacom, among others, as targets for developers and brokers to make some multi-million dollar deals.
While some of these potential tenants are expected to stay put due to the high cost of moving, developers still have hope that other companies will decide to move locations. No matter which companies decide to move headquarters into these new structures, it is safe to say that the next few years will hold big things for the New York City skyline.
First Published: CRAINS