SL Green Snares 347K SF Lease for One Madison Avenue

Investment management firm Franklin Templeton has agreed to occupy the 11^th through the 22^nd floors at One Madison Avenue in a lease deal with SL Green.

The 15-year, 347K SF lease is the third in a series of big-ticket leases for the new skyscraper, which is scheduled for completion in 2023. IBM has signed a lease to occupy 328K SF at One Madison, and Chelsea Piers Fitness has inked a deal for 56K SF in the building.

Paul Glickman, Alex Chudnoff, Diana Biasotti and Ben Bass of JLL represented the landlord.

Franklin Templeton was represented by Rob Lowe, Jeff Cushman, John Cushman, Peyton Horn and Paige Engeldrum of Cushman & Wakefield.

According to SL Green, One Madison is now 55% leased. The building is combining an existing limestone building with more than 500K SF of new, virtually column-free construction.

Amenities in the 27-floor tower will include a 13K SF restaurant, a 10K SF artisanal dining market and a 7K SF tenant-exclusive lounge with direct elevator access to a 10K SF rooftop deck.

The lease deals with Franklin Templeton and IBM are the second- and third- largest office leases to be signed in NYC this year, behind only KPMG’s deal to occupy 450K SF of Two Manhattan West.

Two Manhattan West, the 58-story, 2M SF south tower in Brookfield Asset Management’s twin-tower development on Manhattan’s far West Side at the corner of West 31 St. and Ninth Avenue, inked another big-ticket lease this week.

Hedge fund giant D.E. Shaw & Co. signed a lease to occupy eight floors at Two Manhattan West, a footprint encompassing about 283K SF.

Shaw announced that it will be relocating its offices from 1166 Avenue of the Americas—where it has a smaller footprint, estimated at 200K SF—and move into the new skyscraper in 2024.

The deal with Shaw is the third large pre-lease announced in recent weeks for Two Manhattan West, which is now 76% leased.

KPMG, which published a survey during the pandemic which revealed that nearly 70% of CEOs expected to downsize their office footprints, joined the trend with its office relocation, which is part of the company’s transition to hybrid work.

KPMG has been working out of three offices encompassing 800K SF in Manhattan, so its move will result in a downsizing of 350K SF for the global accounting firm. KPMG’s 20-year lease will span offices on floors 13 through 24 at Two Manhattan West, with the firm moving into the space in 2025.

The law firm Cravath Swaine & Moore has signed a lease to occupy 350,000K SF at Two Manhattan West.