H.I.G. Capital Leases 60,000 SF at 1271 Ave. of the Americas
Rockefeller Group anticipates fully completing its renovation of the building by the end of the year.
NEW YORK CITY—Rockefeller Group has reached 77% occupancy of 1271 Avenue of the Americas with H.I.G. Capital’s leasing 57,829 square feet. The global private equity and alternative assets investment firm will move from 600 Fifth Ave. to occupy the entire 23rd floor and a portion of the 22nd floor in their new offices. The iconic skyscraper was the first building to be developed in the modern expansion of Rockefeller Center to the west side of Sixth Avenue.
Although additional terms of the lease were not disclosed, a source close to the deal tells GlobeSt.com that H.I.G.’s move is scheduled for Q4 2019 and asking rents in the building have ranged from $90 to $125 per square foot. In addition, the source notes that H.I.G. is substantially expanding its space, leasing approximately 32,000 square feet at its current Fifth Avenue location. Deals of this nature typically range 10 years or longer.
“The building offers outstanding office space, an impressive lobby, a prominent location, ease of access for employees and clients, desirable amenities, and a world-class reputation that will serve as a strong fit with our global platform,” says Ira Weidhorn, managing director at H.I.G. The investment firm has over $30 billion in equity capital under management.
“Rockefeller Group made a major commitment to redevelop and reintroduce 1271 to the New York business and real estate communities, and it is extremely rewarding to see companies like H.I.G. Capital respond to the opportunity and choose to relocate to the building,” says Bill Edwards, EVP and head of core holdings for Rockefeller Group.
In 2016, Rockefeller Group began its $600 million renovations at the property also known as 1271 Sixth Ave. This has involved creating a new glass curtain wall, lobby and breezeway, and upgrading the plazas, elevator, HVAC system and other infrastructure. The development firm expects to complete the project by the end of this year.
The firm notes its capital improvements have resulted in significant leasing activity including signing on tenants for approximately 1.5 million square feet since 2016. It reports that in 2018, three of the 50 largest Manhattan signed office leases were for space at the Rockefeller Center tower. Companies moving to the building include Blank Rome, Mizuho Americas, Bessemer Trust, Latham & Watkins and Major League Baseball. The first tenants are expected to move in beginning in May.
The iconic 48-story, 2.1 million square-foot structure standing between 50th and 51st streets first opened in 1959. Harrison & Abramovitz & Harris, the architects for all of Rockefeller Center, designed the property. Rockefeller Group and Time Inc., the original anchor tenant, developed the skyscraper. Thus, it originally opened as the Time-Life Building. George A. Fuller Company, who constructed the building, had also erected several other New York landmarks including the U.N. headquarters, the Seagram Building and Lever House.