Morgan Stanley Smith Barney LLC has signed lease deals totaling 1.2 million square feet of office space at One New York Plaza in Lower Manhattan, including more than 330,000 square feet of expansion space, in what building owner Brookfield Office Properties (NYSE: BPO
) is touting as the largest single-asset office lease in New York City since 2008.
Under an existing sublease with Wells Fargo for roughly 782,000 square feet and a direct lease with Brookfield for 34,000 square feet, Morgan Stanley currently occupies approximately 816,000 square feet in the building. Under the terms of a new direct lease with Brookfield, the tenant will expand by approximately 337,000 square feet in 2013, for a total of 1,153,000 square feet at the tower through 2029.
One New York Plaza is a 2.5 million-square-foot, 50-story, class A office building in the Financial District, set on 2.8 acres bordered by Whitehall, South, Water and Broad Streets adjacent to Battery Park. It was built in 1970 with renovations in 1994. Other tenants include law firm Fried Frank Harris Shriver & Jacobson LLP, and financial giants AIG, Wells Fargo and Jane Street Capital.
"Re-letting this large block of space at One New York Plaza was a major strategic priority for Brookfield and we are thrilled that Morgan Stanley will remain in the building and be taking additional space," said Jerry Larkin, senior vice president and director of leasing of U.S. commercial operations at Brookfield. "This lease commitment is another example of the appeal and long-term viability of Lower Manhattan as a coveted market in which to do business."
Barry Gosin, Brian Waterman and Romel Canete from Newmark Knight Frank represented Morgan Stanley in lease negotiations. Jerry Larkin and Duncan McCuaig represented Brookfield in-house.