Healthcare Tech Co. Leases 252,452 SF at One SoHo Square

NEW YORK CITY—Flatiron Health renewed and expanded its space totaling 252,452 square feet, signing a 10-year lease with Stellar Management and Imperium Capital at One SoHo Square.

The building owners had newly renovated the office complex that’s located where SoHo meets Hudson Square.

The tenant signed onto an additional 122,068 square feet in addition to renewing the 130,384 square feet that it currently occupies, to take up nine full floors. With the new deal Flatiron is nearly doubling its occupancy in Manhattan and the company has plans for continued growth. Since its founding in 2012, Flatiron has grown to approximately 800 full-time employees, with plans to increase to 1,000 by the end of the year. In 2018, Roche acquired Flatiron which has continued to expand its headcount.

A Savills team led by Zev Holzman, along with Brad Wolk and Herman Dodson, worked with Roswell Hobbs, Flatiron’s head of office and real estate, to advise the company in the long-term agreement. In 2017, Savills first secured Flatiron’s headquarters at One SoHo Square and was re-hired for this recent expansion. Newmark Knight Frank’s Brent Ozarowski, David Malawer, Andy Peretz and Brian Waterman represented the building ownership in the transaction.

“The Savills and Flatiron Health team came to us in need of more space and we worked with them to provide a flexible solution tailored to their growth needs,” says Ryan S. Jackson, a principal at Stellar Management. “We are humbled that Flatiron has chosen One SoHo Square as their HQ and wish them tremendous amounts of success as they continue to grow.”

Restructuring and renewing the lease at One SoHo Square prevents the company from having to relocate hundreds of employees elsewhere, according to Holzman. “Securing a pathway to expansion within the building was always the preferred solution for Flatiron,” he says. “Finding large blocks of space in SoHo/Hudson Square is nearly impossible because the area is in high demand. Through careful planning and diligence, we were able to identify the only large block expansion opportunity in the neighborhood and craft a transaction that will deliver space on the tenant’s timeline and meet Flatiron’s needs for years to come.”

One SoHo Square East, a 15-story tower, and One SoHo Square West, a 13-story tower, are connected by a glass-cube lobby and new central core that overlooks Spring Street Park. The core houses the buildings new nine-passenger elevators, mechanical systems and new bathrooms, allowing the spaces to work in efficient and diverse configurations. The complex is almost completely leased up, with only one floor remaining at 30,000 square feet.

“We are thrilled to support Flatiron’s growth by continuing to expand our space at One SoHo Square,” says Carol Jensen, chief people officer at Flatiron Health. “Since relocating our headquarters last June, we’ve grown from 500 employees to over 800 — with 200 more expected by year’s end. We’re thankful to have the opportunity to nearly double our current capacity and call One SoHo Square home for many years to come.”