Posted Dec 12, 2012, 3:29 AM
|
 |
New Yorker for life
|
|
Join Date: Jul 2001
Location: Borough of Jersey
Posts: 51,869
|
|
http://www.crainsnewyork.com/article...TATE/121209956
Google angles for more of Chelsea Market
Unable to grow in its own West Side building a block away, the Internet giant is hoping to expand its footprint in the market to nearly 300,000 square feet.
By Daniel Geiger
December 5, 2012
Quote:
Unable to stretch out as quickly as it may have initially hoped at its own building on 111 8th Ave., space-hungry Internet giant Google is taking another bit out of its neighbor's building.
The California-based company is in talks to take about 75,000 square feet at Chelsea Market, adding to the roughly 95,000 square feet the company leased at the building less than two months ago.
There are currently no sizeable vacancies at Chelsea Market, which is just one block west of 111 8th Ave. at 95 9th Ave., but a source familiar with the negotiations said opportunities may exist to create space for Google.
"There are a few tenants in Chelsea Market that can be moved around to open up the space," said the source, who commented anonymously because the transaction was still being arranged and none of the parties involved had authorization to speak.
Google headquarters its New York operations at 111 8th Ave., where it currently occupies about 650,000 square feet. It purchased the property early last year for nearly $2 billion. The company wanted control so that it could grow into the property's nearly three million square feet of space over time. Executing that strategy, however, has been more difficult than it may have initially expected, however.
Several tenants at the property, including Nike, have refused buyout offers to leave their space early. Other tenants, such as the advertising firm Deutsch Inc., have opted to exercise renewal rights in their leases that will allow them to tack on several years to their occupancy. Deutsch, for instance, has the option to extend its lease by five years and asked Google to pay it $20 million, according to sources not to use it and relocate elsewhere. Google refused the offer and has instead expanded at Chelsea Market.
|
__________________
NEW YORK is Back!
“Office buildings are our factories – whether for tech, creative or traditional industries we must continue to grow our modern factories to create new jobs,” said United States Senator Chuck Schumer.
|