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NEW YORK CITY-The Segal Co., a human resources and benefits consulting firm, has signed a 15-year lease for 144,296 sf of office at 333 W. 34th St. The company is scheduled to move into the building in January 2010, leaving its present location at One Park Ave.

SL Green purchased the 350,000-sf property in 2007 for $183 million or about $530 per sf from Smith Barney, which will be vacating the building some time in 2009. This allows SL Green time to make building-wide improvements, including completely renovating and expanding the footprint of the building’s lobby, the release noted.

The Segal Co. was represented by CBRE’s Michael Geoghegan, Michael R. Laginestra, Douglas Lehman, Casey Hirschhorn, James Robbins and Harley Stevens. According to a prepared release, the deal reunites a former tenant and landlord, as SL Green was previously the owner of One Park Ave.

The future delivery of the space was a critical component of the deal, as Smith Barney leased back the entire building from SL Green through 2009 as part of the sale. “This is a uniquely forward-looking transaction, and the timing works exceptionally well for Segal, as it helps them avoid a costly double-rent situation,” Laginestra explains.

Geoghegan adds that “333 W. 34th St. fulfills the long-term space needs of the Segal Co. within a location poised for the next significant wave of Manhattan office development. One of Segal’s priorities was to cause the least disruption possible for its work force and we were able to uncover an opportunity that is attractive from both an economic and commuting perspective.” The SL Green property was represented by Alex Chudnoff and Paul Glickman, of Cushman & Wakefield.

CBRE sources were unable to provide an aggregate lease value or further lease details. Online sources put asking rent at $58 per sf.

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