Silverstein Properties announced today that GroupM, the world's leading media investment management group, has signed a 20-year lease at 3 World Trade Center. The firm will occupy approximately 516,000 square feet on nine floors at the base of the 80-story tower, currently under construction in Lower Manhattan.
GroupM, which becomes the first tenant to lease space in the building, will consolidate its 2,400 employees from several Midtown locations to 3 World Trade Center when it moves into the building, which will open in 2017. With this lease, developer Silverstein Properties will now move forward to complete the financing and construction of the tower at 175 Greenwich Street.
With the GroupM lease, a total of five million square feet of office space has now been leased at the new World Trade Center. Companies that have moved or committed to space include Condé Nast, BMI, Omnicom, Moody's, WilmerHale, Fast Company and Inc. magazines.
"GroupM is looking forward to becoming part of one of the most vibrant and important neighborhoods in New York City," said Kelly Clark, CEO of GroupM North America. "I want to thank and congratulate everyone who helped us reach this exciting, historic agreement - especially Governor Cuomo, Mayor Bloomberg, and all of their associates at the state and city levels."
"Our agreement with GroupM to be the first tenant for 3 World Trade Center is another in a string of huge milestones at the World Trade Center," said Larry A. Silverstein, President & CEO of Silverstein Properties Inc. "Our firm recently opened 4 World Trade Center, the first tower to be completed at the 16-acre site. In addition, 2014 will see the completion of One World Trade Center and the 9/11 Museum. I congratulate GroupM and thank our government partners at the World Trade Center for helping ensure continued momentum in Lower Manhattan."
According to the Downtown Alliance, 455 firms have moved to Lower Manhattan since 2005, leasing a total of 10 million square feet. 211 of those companies have been in creative or professional services, taking 51% of the space leased.
"GroupM's move to 3 WTC is another testament to the ongoing transformation of Lower Manhattan. $30 billion in public and private investment is manifesting itself in state of the art buildings, unsurpassed regional transit options, cutting edge telecom, exciting retail and dynamic open space," said William Bernstein, acting President of the Alliance for Downtown New York. "Leaders in the worlds of media, technology and creative services are making Lower Manhattan their home in increasing numbers. They are joining pillars of Downtown - like finance and law - to help realize the full promise of this district and animate the spectacular buildings at the Trade Center."
Lease negotiations for GroupM were handled by the CBRE team led by Mary Ann Tighe, Gregory Tosko, Lauren Crowley Corrinet and Brendan Herlihy. Jeremy Moss, Director of World Trade Center leasing for Silverstein Properties, together with the CBRE WTC agency team, handled lease negotiations for the landlord.
Designed by Pritzker-prize winning architect Richard Rogers and his firm Rogers Stirk Harbor + Partners, 3 WTC will enliven and seamlessly integrate into Downtown's streetscape, with a major concentration of retail - both at the street-level and in underground pedestrian concourses that lead directly to 11 subway lines and the PATH trains.
"Congratulations to GroupM and Silverstein Properties on this important milestone," said Catherine McVay Hughes, Chair of Community Board One. "The ability to get the financing in place now is important so that the build out of 3 WTC continues to completion. The community cares about this because it means that the sidewalks on Dey & Cortland Streets and Greenwich & Church Streets will be restored and open. In addition, there will finally be access to the major transportation hub which has the PATH and subway lines as well as fine shopping along the way."
According to a study published by the Downtown Alliance last year, "the high-value knowledge workers who drive the region's economy - the people companies want to hire - increasingly live within a 30-minute commute of Lower Manhattan."
The "Brain Gain" report stated: "Extensive residential development and dramatic neighborhood revitalization in Manhattan, Brooklyn, and New Jersey's Hudson River waterfront cities have attracted huge numbers of young, educated people, workers in the professional and creative fields that drive leasing in New York City - who prefer apartment living and shorter commutes via subway, PATH, ferry, bike and foot to suburban life and lengthy commutes via heavy rail or car...Nine of the region's ten fastest growing communities are within a 30-minute subway or PATH ride of Lower Manhattan."
3 World Trade Center is a model of transparency and sustainability. The tower consists of a reinforced concrete core with steel structure outside the core, and is clad in an external structural steel frame. The building features floor to ceiling glass, and all four corners and each floor plate of the tower are column-free to create an open workspace environment - key for cutting-edge companies in brainpower driven businesses like technology, advertising and branding, as well as law and financial service firms. 3 World Trade Center will be a LEED-certified Gold office tower.
The 1,170 foot (357 meter) building contains 2.5 million square feet (232,258 square meters) of light-filled, green and high-tech office space spread over 58 office floors. GroupM will occupy five 68,000 square feet (6,317 square meter) office floors at the base of the building and four 44,000 square feet (4,087 square meter) floors just above the base. The building also contains 183,000 square feet (17,000 square meters) of destination retail.
