The firm is shifting operations in June of 2018 to 70,000 square feet of space on the seventh floor of Building 19 in Industry City, one floor below the Hospital for Special Surgery Training Center where the firm's Brooklyn Nets NBA franchise practices.

The 36-story, 317,600-square-foot office building was purchased by SL Green 10 years ago through a joint venture in 2007 for $107.5 million.

The East Midtown rezoning plan does have some detractors in the business community that say it does not go far enough to provide incentives for redevelopment in the area except for a few buildings in the short term. The plan has the potential to spark 6.5 million square feet of new development in the next 20 years.

"I do think that some of these (NY suburban) cities are not dead, but you have to provide the amenities. Talent is not going to be there if you don't have great amenities for them and within that area great reasons for families to be there—great schools, fair taxes and reasonably priced real estate."

At the press conference staged at LaGuardia Airport, Gov. Cuomo also reported that construction on the Moynihan Train Hall project, part of the $1.6-billion Penn-Farley complex aimed at upgrading Penn Station, would start in the next two weeks.

The 10-year 10,323-square-foot lease with the global fitness brand at the eight-story, 213,000-square-foot building is the latest significant lease transaction at the property

Lower Manhattan's office vacancy rate has fallen to 8.9%, the lowest level since the beginning of 2013, according to a report released by the Alliance for Downtown New York.

50 Varick St. was part of the collateral for New York REIT's $760-million cross collateralized and secured loan provided by Credit Suisse in December 2016.