SL Green purchased the 350,000-sf property in 2007 for $183 million or about $530 per sf from Smith Barney, which will be vacating the building some time in 2009. This allows SL Green time to make building-wide improvements, including completely renovating and expanding the footprint of the building's lobby, the release noted.
The Segal Co. was represented by CBRE's Michael Geoghegan, Michael R. Laginestra, Douglas Lehman, Casey Hirschhorn, James Robbins and Harley Stevens. According to a prepared release, the deal reunites a former tenant and landlord, as SL Green was previously the owner of One Park Ave.
The future delivery of the space was a critical component of the deal, as Smith Barney leased back the entire building from SL Green through 2009 as part of the sale. "This is a uniquely forward-looking transaction, and the timing works exceptionally well for Segal, as it helps them avoid a costly double-rent situation," Laginestra explains.
Geoghegan adds that "333 W. 34th St. fulfills the long-term space needs of the Segal Co. within a location poised for the next significant wave of Manhattan office development. One of Segal's priorities was to cause the least disruption possible for its work force and we were able to uncover an opportunity that is attractive from both an economic and commuting perspective." The SL Green property was represented by Alex Chudnoff and Paul Glickman, of Cushman & Wakefield.
CBRE sources were unable to provide an aggregate lease value or further lease details. Online sources put asking rent at $58 per sf.
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
