Colony Northstar Signs Record Deal at Manhattan Skyscraper
With a reported rent of $130 per square foot, CBRE inked a 40,000-square-foot office lease at 590 Madison Ave. The property is jointly owned by State Teachers Retirement System of Ohio and Edward J. Minskoff Equities.
By Corina Stef
Real estate investment trust Colony Northstar Inc. centralized its recently merged businesses into one main office at 590 Madison Ave. The company will occupy roughly 40,000 square feet, spreading throughout part of the 33rd and the entire 34th floors, leaving behind their locations at 712 Fifth Ave. and 399 Park Ave. The owner, a joint venture between State Teachers Retirement System of Ohio and Edward J. Minskoff Equities was represented by CBRE’s Chairman Stephen Siegel, Senior Vice President Evan Haskell, Senior Vice President James Ackerson, Senior Associates Taylor Scheinman and Brett Shannon, with further assistance from Edward J. Minskoff’s Jeffrey Sussman. JLL Vice Chairmen Alexander Chudnoff and Robert Martin and Travers Realty’s James Travers acted on behalf of the tenant, which is expected to move by the end of the fall.
According to Yardi Matrix, the dark green skyscraper encompasses 1,030,000 square feet encapsulating 42,193 square feet of retail space on the first and second floors. The 41-floor, Class A office tower was built in 1981 and was renovated in 2014, further data shows. It features 9-foot ceiling heights, a new lobby designed by MdeAS Architects, 78 private parking spaces and the Atrium, a 3-story landscaped glass tunnel with a full-service restaurant that connects 590 Madison Ave. with the Trump Tower.
The building is situated in the midst of Manhattan’s Plaza District, minutes away from Central Park, retailers, restaurants, hotels, art galleries and landmarks. Transportation is facilitated by multiple subway and bus stations.
The average rent is $130 per square foot and the lease is the district’s largest +25,000 square feet deal with a rent surpassing $100 per square foot since 2014. The former IBM headquarters is still anchored by the technology company, with other notable tenants including Berkshire Hathaway Home Services, Aspen Insurance and Bain Capital. “This deal further reinforces 590 Madison Avenue as one of the premier office buildings and addresses in both the Plaza District and all of Manhattan,” Siegel said in prepared remarks.
Images via building’s website
