Alternative investment firm 26 North is moving its New York offices to LeFrak's Midtown office tower at 40 West 57th Street, Commercial Observer has learned. The company has signed a lease for 84,000 square feet (approx. 7,800 square metres) in the 36-storey property, where it will occupy four full floors after relocating from 600 Madison Avenue, according to leasing broker CBRE.
26 North's agreement has a term of 13 years. The asking rent was not disclosed; however, the average asking rent for office space in Midtown was $84.68 per square foot in August, according to Colliers' latest monthly office snapshot. 26 North, which did not immediately respond to a request for comment from Commercial Observer, is not the only new tenant moving into 40 West 57th Street.
Mack Real Estate Group, a New York City-based real estate investment, development and financing company, has leased 20,750 square feet on part of the building's 17th floor. This space was previously built out for A&E Real Estate, which is moving to another floor in the property. Mack will relocate from its current office at 60 Columbus Circle. Mack Real Estate Group also did not provide immediate comment. The asking rent and lease term were not disclosed. It is currently unclear when both firms will move into 40 West 57th Street.
LeFrak was represented in both transactions by an in-house team comprising Adam Silfen, Meredith Jackness, and Stephanie Allan, as well as by Howard Fiddle, Evan Fiddle, Ben Joseph, Arkady Smolyansky, and Sam Seiler from CBRE. Jared Horowitz and Howard Hersch of Newmark represented 26 North in their deal, while Brian Waterman and David Waterman of Newmark represented Mack Real Estate Group. Newmark declined to comment.
Howard Fiddle of CBRE commented that 40 West 57th Street, in combination with LeFrak's stable ownership, a strategic location in one of the city's most coveted business districts, and ongoing capital improvements, continues to attract premier tenants seeking an outstanding office experience.
40 West 57th Street, spanning over 750,000 square feet (approx. 69,700 square metres) of space, is a Class A office building with a range of amenities. These include a lounge, a café, conference rooms, an outdoor terrace, and a wellness centre. A fitness centre is expected to be completed in 2027. Tenants in the building include Italian luxury retailer Loro Piana, private equity firms Lee Equity Partners and MHR Fund Management, investment firm Two Creeks Capital Management, media investment and advisory firm Andalusian Sports Advisors, and alternative credit capital solutions provider HPS Investment Partners.
