Brookfield Signs 450 KSF Tenant at Manhattan Tower

Two Manhattan West. Image courtesy of KPMG

U.S. audit, tax and advisory firm KPMG is relocating its NYC headquarters at 345 Park Ave., as well as its offices at 560 Lexington Ave. and 1350 Sixth Ave., to Two Manhattan West, a 2 million-square-foot tower in Midtown Manhattan. The 58-story tower is slated for completion in 2023.

KPMG has signed a 450,000-square-foot lease with landlord Brookfield Properties. This transaction marks the largest office deal of its kind in New York City in 2022.

KMPG was represented by Michael Geoghegan, Lewis Miller, Joseph Cabrera, Douglas Lehman and Cara Chayet of CBRE. Brookfield Properties was represented in-house by Jeremiah Larkin, Duncan McCuaig, Mikael Nahmias, PJ Massey and Dave Caperna, as well as a Cushman & Wakefield team which included Bruce Mosler, Josh Kuriloff, Rob Lowe, Ethan Silverstein, Matthias Li and Nicholas Dysenchuk.

A new office high-rise in Midtown Manhattan

According to CommercialEdge data, the tower is subject to a $140 million loan originated by Manufactures and Traders Trust Co., and to a 36-year PILOT ground lease held by New York City Industrial Development Agency, expiring in 2056.

Designed by Skidmore, Owings & Merrill, the office high-rise topped out in early 2022. Two Manhattan West is targeting LEED Gold designation and features energy-efficient design, sustainable materials and stormwater harvesting and recycling, among others. Floorplates range between 31,901 and 38,482 square feet. Other tenants in the building include Cravath, Swaine & Moore, its anchor tenant since 2019, with 481,000 square feet, and Clifford Chance, which signed in 2022 for 144,000 square feet. Currently, Two Manhattan West is 56 percent leased.

Located at 389 9th Ave., the office tower is part of a 7 million-square-foot mixed-used development which includes One Manhattan, Five Manhattan and Manhattan West retail. The location provides easy access to Moynihan Train Hall, Penn Station, High Line, as well as The Shed and Madison Square Garden.

Brookfield Properties inked another lease in Manhattan in the last few months, apart from Clifford Chance, which signed in June to occupy floors 39 through 42. Macquarie Group signed as anchor tenant to 660 Fifth Ave., where it will occupy 221,764 square feet across six floors.