We’ve written about 568 Broadway previously here at gbNYC: the historic, George Post-designed tower has turned into destination commercial real estate for New York City’s startup technology industry. Foursquare,Thrillist, ZocDoc, and 10gen had, together, leased a collective 110,000 square feet at the historic, 12-story tower, attracted by its high ceilings and 28,000-square-foot floor plates. But one of those tenants – 10gen – has outgrown its digs and, although its preference was to remain in SoHo, the software company recently announced that it’s relocating to the New York Times’ former headquarters building at 229 West 43rd Street into a space that’s nearly twice as large.
For 10gen, its new landlord’s flexibility was key. The company is taking 25,000 square feet and Blackstone – whose affiliate owns the tower – gave 10gen the option of expanding into the rest of the fifth floor’s 30,000 square feet during the 5-year term of the lease. It also provided a “generous” fit-out allowance. “Most tech companies need to limit capital expenditures,” as a 10gen representative noted for Crain’s. The deal is for five years and rumored to be between $70 and $80 per square foot. 10gen will make its move sometime in April.
The 18-story, 767,000-square-foot former New York Times building has been making a strong push over the past year for tech sector tenants. In addition to renovating the entire space, ownership also added a basketball court to try and attract tenants similar to 10gen. The building – with its high ceilings and large, open floor plates – is prime for creative industry tenants – much like 568 Broadway, in fact.
Back in 2004, the New York Times Company sold the building to Tishman Speyer for $175 million. Tishman sold it to Africa Israel Investments in 2007 for $525 million. The building was built in three stages between 1912 and 1937. It was originally designed by Buchman & Fox and features a 5-story, French Renaissance-style setback attic level with a Mansard roof.
On the other hand, 568 Broadway stands on the former site of Niblo’s Garden, which was once one of New York City’s oldest theaters. Built in 1827 as the Sans Souci theater, the building was rebuilt several times after fires until it was razed for good in 1895. Beginning in 1852, the theater itself was part of the Metropolitan Hotel – one of the city’s highest end hotels during the 19th century – and where the Japanese Crown Prince stayed during a visit to New York in 1860.