Arch Chemicals Signs 60,000-SF Lease

Albert D. Phelps, Inc., the managing and leasing agent of the 1.4 million-sf complex, says the ownership agreed to restructure Arch Chemical's lease and has signed a new deal with the specialty chemical company for 60,268 sf of space at 501 Merritt 7. Jo Ann Brennan-McGrath, director of leasing at the park, explains that the ownership decided to be proactive and secure an agreement so that Arch Chemicals would not move out of the complex.

McGrath says that last year, prior to its December 2005 lease expiration, the ownership agreed to a one-year lease extension for 84,000 sf of space so Arch could decide its long-term space requirements. Prior to the lease extension, the firm, which had been a subtenant at the property for the past 10 years, had occupied 95,000 sf.

McGrath says the new deal is retroactive to January 2006 and at a lower rate than what Arch Chemicals was paying under its lease extension agreement. "We just wanted to keep them here. Tenant retention is high on the priority list at Merritt 7."

With the transaction, the Merritt 7 Corporate Park is now 96% occupied. Thomas E. Pulie, senior vice president of USI Real Estate Brokerage in Stamford, CT, represented Arch Chemicals. There is currently approximately 80,000 sf of space available immediately and another 125,000 sf becoming available over the next year at Merritt 7 Corporate Park.

Merritt 7 Venture LLC, a joint venture between New York State Teachers' Retirement System and Fairfield Investors Inc., is the owner of the property. ING Clarion Partners, LLC is the asset manager. Other tenants at the six-building complex include General Electric Capital Corp., FactSet Research, Financial Accounting Foundation, Kodak, LaSalle Bank and Marsh USA.