The county's Department of Social Services Medical Assistance Division has signed a seven-year deal for the space, which it will use for a Medicaid claim-processing center. According to a release from Metropolitan Realty Associates, owner of the Sunrise Business Center, the lease will bring 112 jobs to the complex.
A Newmark Knight Frank team including Brian Lee and Dan Oliver represented the county in lease negotiations. In a release, Lee says the landlord's willingness to provide immediate space for the Medicaid facility while permanent offices are built was another plus. "They had to get up and running," Lee says of the Medicaid operation. He adds that ample parking and building amenities also were factors, along with "the aggressive financial terms the landlord was willing to put on the table to make the deal."
A CB Richard Ellis including Raymond Ruiz, Marianne Dugan, Brian Cruz and Ryan Blaney represented Metropolitan. Terms of the deal were not disclosed; asking rents at the property are in the low $20s per square foot.
When Metropolitan acquired the two-building, 227,000-square-foot property at 3500 Sunrise Hwy., formerly known as the Long Island Business and Technology Center, in September 2006, it was 50% vacant. Since then, Metropolitan has signed more than 90,000 square feet of new leases, including the Suffolk County deal.
For the complex's third building, a vacant former Grumman Corp. warehouse enclosed in corrugated metal is being converted into a contemporary office building with a two-story glass curtain wall and architectural metal and glass panels. A 25,000-square-foot second floor and two-story atrium entrance have been added. When the property opens, it will add 161,500 square feet to the complex.
Along with the Suffolk County Medicaid Division, other tenants at Sunrise Business Center's existing buildings include Netsmart Technologies, T-Mobile, Verizon, Metro Door, Aetna Life Insurance Co., A-C Tel, Diodes Corp., Hearst Business Media, Lessings Inc., Citizen's Bank and Schoenfeld Securities.
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Paul Bubny
Paul Bubny is managing editor of Real Estate Forum and GlobeSt.com. He has been reporting on business since 1988 and on commercial real estate since 2007. He is based at ALM Real Estate Media Group's offices in New York City.
