Interior of WeWork office/ Photo courtesy: WeWork
NEW YORK CITY—WeWork recently agreed to two leases for more than 45,000 square feet in Manhattan. The co-working office provider that now occupies more space than any private company in Manhattan has signed a deal with landlord Stellar Management for 34,500 square feet, taking the third, fifth and 12th floors at 50 W. 28th St. The Chelsea building that's between Fifth and Sixth streets, is close to Koreatown and the Garment District. WeWork expects a member to move in by March.
WeWork also inked a lease with ABC Management for 11,000 square feet at 599 Broadway, also known as the Ayer Building. The SoHo property is located between Prince and Houston streets. A WeWork member is anticipated to move into the 12-story building by early December.
Both locations will be used for the HQ by WeWork program, which focuses on medium-sized businesses having 11 to 250 employees. “These are the 10th and 11th locations dedicated to the offer that was launched in August, and for which we continue to see exceptional demand, as reflected by the fact that each of the locations is opening at full occupancy,” says WeWork's chief development officer Granit Gjonbalaj.
The company states that with these leases, they have closed on deals for approximately 700,000 square feet dedicated to HQ by WeWork, and are “well on track” to meet their target of one million square feet for this program by summer 2019. Arash Gohari, EVP of global real estate at WeWork is leading these efforts.
In September, the co-working office behemoth leased the entire building at 35 E. 21st St. from Centaur Properties to house HQ by WeWork.
The co-working and flexible office trend has attracted industry attention. CBRE just launched a subsidiary, Hana, to operate flexible office spaces for larger corporations. Hana Meet will arrange conference and office spaces, while Hana Share will provide co-working spaces.
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Betsy Kim
Betsy Kim was the bureau chief, East Coast, and New York City reporter for Real Estate Forum and GlobeSt.com. As a lawyer and journalist, Betsy has worked as the director of editorial and content for LexisNexis Lawyers.com, a TV/multi-media journalist for NBC and CBS affiliated TV stations in the Midwest, and an associate producer at Court TV.
