JLL completes two new deals totalling 42,378-SFas stand-out tower bucks downward trend along Third Avenue corridor
JLL has announced two new transactions totalling 42,378 square feet at Global Holdings Management Group’s 875 Third Ave., a Class A office tower located between 52nd and 53rd streets in Manhattan.
New York Compensation Insurance Rating Board (NYCIRB),a non-profit association of insurance carriers that underwrites the state’s workers’ compensation insurance coverage, will relocate from 733 Third Ave. to occupy 30,166 square feet across the entire eighth floor of the Class-A tower under a 20-year lease.
In the second deal, alternative investment manager Aetos Capital has signed aneight-year expansion and renewal at the property for 12,212 square feet of space. A tenant since 2018, previously occupying 4,377 square feet, Aetos will expand by 7,835 square feetto a new prebuilt on the 22nd floor.
The transactions bring 875 Third Ave. to 98% occupancy, distinguishing the tower as a stand-out in the Third Avenue corridor, which has underperformed the rest of the market. Its roster of high-profile tenants includesglobal investment companies Cerberus and DWS, and the law firms of Troutman Pepper, Epstein Becker & Green,and Kaufman Borgeest& Ryan, which relocated to the property last year following a renovation of the building’s three-story lobby atrium. It is also home toScotland-based global investment company Abrdn, which relocated its New York office to the Forum at 875 Third, a unique-to-market facility on the fourth floor that provides fully furnished and wired space at flexible terms.
A JLL team led by vice chairman Paul N. Glickman, senior vice presidents Diana L. Biasotti and Kristen E. Morgan, and associate vice president Harrison G. Potter, represented ownership in the transactions. The associationwas represented by a Savills team that included vice chairmen Jeffrey Peck and Daniel Horowitz, executive managing director Roi Shleifer, and managing director Jacob Stern.Horowitz also represented Aetos Capital in its renewal. Asking rents in the building range from $65 to $75 psf.
According to Glickman: “NYCIRB’s arrival and Aetos Capital’s expansion at 875 Third bring the building to 98percent occupancy and highlights ownership’s commitment to maintaining the property as a best-in-class office tower that supports leading corporate occupants seeking to attract and retain skilled employees.”
Originally developed in 1982 by Robert Gladstone, 875 Third Ave. is a 14-sided, 29-story, 750,000-square-foot, glass-clad office tower. The property boasts a unique design that creates double-height ceilings on some floors. Global Holdings recently welcomed creative salad company Chopt as a tenant within its renovated lobby atrium, joining the likes of I Tavolo and Nare Sushi. The atrium also offers direct connection to multiple subway lines, allowing for direct transit to Grand Central, Penn Station and Port Authority.
Jeremy Attie, president and CEO of NYCIRB, commented, “Global Holdings Management Group stood out to us as a discerning owner from the very first tour;they haveworked hard to ensure 875 Third remains a premier address in New York’s corporate heart, and we look forward to having many successful years ahead in our new HQ.”
Craig Panzirer, senior vice president and director of leasing, Global Holdings Management Group, said: “We are delighted NYCIRB has chosen to relocate to a turnkey space in this strategically located tower where the association will flourish within a modern, new headquarters – and we are also so glad that Aetos, in today’s competitive market, chose to expand and extend its relationship with us.”
JLL continues to market space within Forum at 875 Third, which offers flexible leases for fully furnished and wired pre-built officesranging in size from 4,800 to 6,800 square feet square feet, all opening into a 6,000-square-foot central amenity space available only to tenants on the floor. The amenity space, which creates a dynamic addition to the individual offices, features lounge seating, conference facilities, huddle rooms, recreation areas, and a pantry. Forum’s office suites come move-in ready with ergonomic furniture, abundant natural light, high-speed internet and HID Access that allows tenants to use their smartphone to interact with the building.
About Global Holdings Management Group
Global Holdings Management Group exclusively develops, advises and manages the real estate assets of EyalOfer’s Global Holdings Group, a private real estate holding conglomerate that specializes – directly and with strategic partners – in large scale iconic office buildings, hotels and luxury residential developments, as well as investment and development assets in prime locations across North America, the United Kingdom and Europe. Global’s current portfolio consists of over 10 million square feet of real estate, comprising over 100 properties and 2,500 hotel rooms. Global’s New York City properties include Class A office buildings such as 120 Park Avenue, 99 Park Avenue, 410 Park Avenue and Nomad Tower (1250 Broadway), 875 Third Avenue, and iconic residential developments such as 15 Central Park West, the Greenwich Lane, 520 Park Avenue, 18 Gramercy Park and 50 United Nations Plaza. For further information, visit www.globalholdings-mgmt.com
About New York Compensation Insurance Rating Board (NYCIRB)
The New York Compensation Insurance Rating Board (“NYCIRB”) is a non-profit, unincorporated association of insurance carriers.In conjunction with the New York Workers’ Compensation Law, the New York State Insurance Law provides for the Superintendent of Financial Services to designate a rate service organization to collect the loss, premium and payroll data from each carrier, summarize this information and develop an adequate rate structure. Since the enactment of the Workers’ Compensation Law in 1914, the NYCIRB has been licensed as the official organization for this purpose. As the New York rate service organization with a single dedication and focus, NYCIRB has more than 100 years of experience in understanding the workers’ compensation insurance coverage and underwriting of the New York market.
About Aetos Capital
The Aetos Capital brand was established to provide an institutional framework to alternatives opportunities. The firm is led by CEO, Chris Allwin. The Aetos Capital organization was established in 1999 by Chris’ father, the late James Allwin. Aetos Capital strives to bring its clients a robust platform with niche ideas focused on diversifying portfolios. It is led by a team of dedicated professionals with deep experience in a variety of asset management roles.
About JLL
For over 200 years, JLL (NYSE: JLL), a leading global commercial real estate and investment management company, has helped clients buy, build, occupy, manage and invest in a variety of commercial, industrial, hotel, residential and retail properties. A Fortune 500 company with annual revenue of $20.9 billion and operations in over 80 countries around the world, our more than 103,000 employees bring the power of a global platform combined with local expertise. Driven by our purpose to shape the future of real estate for a better world, we help our clients, people and communities SEE A BRIGHTER WAY. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com
