NEW YORK CITY-Turning up the volume on what had been a tentative deal, Sony Corp. of America has inked an approximately 525,000-square-foot lease at 11 Madison Ave. for 15 years. Sony will occupy the top 10 floors of the building, as well as the rooftop, and will have a dedicated entrance at the corner of Madison avenue and 25th street with the address of 25 Madison Ave.
The space will serve not only as the US headquarters of Tokyo-based Sony Corp., but also as the global headquarters of both Sony Music Entertainment and Sony/ATV Music Publishing. New York-based employees of Sony Pictures Entertainment and Sony DADC will also move to 25 Madison Avenue. The company will occupy the building's top 10 floors and the rooftop, while its Sony Store will take the ground-floor retail space on Madison avenue, adjacent to the company's dedicated building entrance.
Both the tenant and the landlord—the Sapir Organization and CIM Group—were represented by CBRE in the deal. For Sony, the deal was brokered by Greg Tosko, vice chairman; Lauren Crowley Corrinet, VP; Brendan Herlihy, senior associate and Mary Ann Tighe, CEO, New York tri-state region. The building owners were aided by Howard Fiddle, vice chairman; Brad Gerla, EVP; Zachary Freeman, SVP; and Zakery Snider, senior associate.
Sony liked the location because of the Southern migration—within Manhattan, of many companies over the last year or so, says a company spokeswoman. "The new location felt appropriate for us, as it puts us among the city's leading, cutting-edge technology and entertainment companies."
Variably called NoMAD, the Flatiron District or Midtown South, Sony's new stomping grounds have become a major hot spot for the technology sector. Other types of companies are in the market too: Credit Suisse, another headquarter tenant at 11 Madison Ave., has agreed to consolidate into = 1.5 million square feet at the base of the tower, leaving the top of the building for Sony.
The company previously had signed a term sheet for the space. The giant entertainment firm has been looking for a new home after it sold its current offices, at 550 Fifth Ave., last year. That project is slated to become condominiums.
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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.
