L&L Holding Signs Lease Extensions in Manhattan

February 21, 2025

Office Brokerage New York News More Northeast

Two law firms maintain their office space at this Midtown property.

600 Third Ave. is a 42-story Midtown East office tower. *Image courtesy of L&L Holding Co.*

Aaronson Rappaport Feinstein & Deutsch LLP has decided to have its headquarters remain at the Grand Central district tower through at least 2042, having signed a 15-year lease extension with L&L Holding Co.

The space totals 55,269 square feet at 600 Third Ave., the firm’s contemporary 42-story Midtown East office tower, where it has been a tenant since 2010. The law firm will maintain the 42,764 square feet it occupies on the fifth and sixth floors.

Another law firm, Bond Schoeneck & King, signed a seven-year lease extension at 600 Third Ave. It has occupied space there since 2014. It will maintain the 12,505 square feet it occupies over the whole 22nd floor through at least 2033.

The property at 600 Third Ave., built in 1970, carries 575,254 square feet over the entire western blockfront between East 39th and East 40th Streets. It was recently renovated, including lobby upgrades and building system improvements.

L&L Holding was represented by an in-house team of Jonathan Tootell, Tanya Grimaldo and Giannina Brancato. Mark Weiss and David Mainthow of Cushman & Wakefield, and Larry Bank of Matador Capital Management represented Aaronson Rappaport.

Bond Schoeneck & King was represented by Jeffrey Peck and Daniel Horowitz of Savills.

Peck told Commercial Property Executive that pockets of the NYC real estate market are tightening.

“However, there are still many value opportunities available,” Peck said. Most landlords are willing to negotiate beneficial deals for tenants that include building space with no out-of-pocket costs—including furniture and wiring, he added.

“It’s still a favorable time to be a tenant, especially when partnering with a real estate advisor who knows which landlords are ready, willing and able to compete for high-credit occupiers.”

Flight to quality as the new standard

Some Midtown NYC corridors are seeing premium office rents approach pre-pandemic levels while lease activity is booming, according to Lisa Flicker, senior managing partner & head of real estate at Jackson Lucas. In these areas, availability has dropped to its lowest point since 2021, signaling a robust recovery in prime office space.

“Reflecting the momentum in executive hiring within the office asset class, the premium sector is experiencing a notable rebound,” Flicker said.

The flight to quality is no longer a trend but the new standard, driven by companies reassessing remote work and increasing demand for high-quality, centrally located office spaces, she explained.

As firms push for more in-office time from their executives and team members, they raise the bar by investing in workplaces with top-tier amenities like fitness centers, cafes, conference rooms, outdoor spaces and childcare facilities. “Beyond perks, I see in-office factors like air quality and lighting becoming factors in attracting top talent,” Flicker added.

Leasing activity in Midtown saw remarkable growth in the fourth quarter of 2024, a strong sign of a continued rebound for the sector, according to AmTrust RE President Jonathan Bennett.

“Primely located office buildings with access to numerous transportation options and quality retail and restaurant offerings continue to see strong tenant demand,” Bennett told CPE.

The upward trajectory for these assets led to AmTrust RE’s acquiring 360 Lexington Ave., a 24-story office tower steps from Grand Central, late last year. “With a positive outlook on the future of Midtown’s market, we expect modern, tenant-focused office properties to continue seeing strong leasing activity,” Bennett said.

Given the “return to office” mindset in many industries across the city and the U.S., many people want to live near work.

For example, at The Perrie condo development on 234 East 46th St., more than 50 percent of buyers and prospective buyers work just blocks away at an office ideally located like 600 Lexington, according to Nick Riback of Corcoran.

Nearby 520 Fifth Ave. is set to offer over 200,000 square feet of boutique office space and residences, with over 90 percent sold. This property, on the same street as the Empire State Building, will be the second-tallest building on Fifth Avenue and a 10-minute walk from the 600 Third Ave. property. JLL is the leasing company for the building’s commercial office space.

Two years ago, law firm Polsinelli extended and expanded its lease at L&L Holding Co.’s 600 Third Ave., signing a 10-year extension through 2036 at the 42-story skyscraper, adding 13,129 square feet on the 33rd floor.