NEW YORK CITY-In a rare confluence of good fortune, Kushner Companies and Extell Development have secured an anchor tenant for 80 West End Ave., the Upper West Side property they jointly purchased just this past summer.

The new occupant—United Cerebral Palsy of New York City—will take 218,000 square feet of space at the Lincoln Center area building for 30 years under a lease that starts out as a triple-net-lease agreement with room for owners to implement rent escalations along the way. UCP is making the move following the $135 million sale of its headquarter building, 122 E. 23rd St., which it has owned for 40 years. That property was purchased by the Toll Brothers, national homebuilders who secured 180,000 square feet of development rights in the deal.

Representing UCP of NYC for the sale of 122 E. 23rd St. is Jon Epstein, principal, Avison Young, who also identified the purchaser, Toll Brothers, and represented that firm as well. In the lease transaction for 80 West End Ave., Colliers International's Michael Berger, senior managing director, and Robert Getreu, EVP is representing UCP of NYC while the landlord is negotiating directly.

Says Jared Kushner, CEO of Kushner Companies, “When we purchased 80 West End Ave. with Extell this summer, we knew it was a unique structure that had a lot of potential uses. This building will make a great home for UCP for many years to come."

80 West End Ave.—a former military Sherman tank factory—is well-suited to UCP of NYC's future plans. In addition to its high ceilings and natural light, it also has space for a basement garage for its vans and a rooftop play area. Its configuration will allow the school to occupy the full first floor with its own entrance, while a second entrance for adult day programs will eliminate a current source of conflict at arrival and departure times.

Hailing the move as a “once-in-a-lifetime opportunity,” UCP of NYC CEO Edward Matthews says, “We will have a modern school, enhanced assistive technology and additional adult and children's programs in the arts while also providing a community center. At the same time we will also add resources to our supporting foundation--both investing in and securing our mission, now and in the years ahead.”

In weighing its options, the UCP of NYC Board determined that remaining in place would require a capital investment of more than $20 million—a daunting prospect to raise in the current environment—and even that investment would not solve the structural constraints of the 23rd street building nor ease traffic conflicts on a main Manhattan thoroughfare.

The sale will fund program expansions and enhancements, as well as the transfer, build-out and operating costs associated with the relocation to 80 West End Ave. UCP of NYC will seek to establish partnerships with area community groups and will install an on-site public art gallery.

In addition to relocating its present, state-funded preschool, UCP has plans to establish a 21st century model diploma-based school, beginning with K-5 students that will fully integrate children with disabilities with children of typical development. UCP of NYC also envisions the establishment of an Assistive Technology Center, including an expansion of its existing Tech Works center and tech van program, at 80 West End Ave. that will be open to the general public, especially seniors.

UCP of NYC initially plans to occupy 125,000 square feet on the building's first, fourth, sixth and seventh floors, along with the building's rooftop. The rooftop outdoor playground will be a key component that was missing at 122 East 23rd Street. A smaller, indoor gym using specialized equipment is also planned. Two existing tenants, The Metropolitan Opera call center and cable provider RCN currently occupy the second floor.

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Rayna Katz

Rayna Katz is a seasoned business journalist whose extensive experience includes coverage of the lodging sector, travel and the culinary space. She was most recently content director for a business-to-business publisher, overseeing four publications. While at Meeting News, a travel trade publication, she received a Best Reporting award for a story on meeting cancellations in New Orleans during Hurricane Katrina.