Tech tenants finalized
sublease agreements an average of 8.
The most frequent users of tower
sublease space, according to Jones Lang LaSalle, are boutique hedge funds.
Problem
subleases create issues for the sublessor; causing a domino effect for the landlord.
The Avenue of the Americas space also came on and off the market in a matter of months, Turchin said, an unusually quick turn-around for
sublease space.
If the
sublease term could extend beyond the then-current term of the ground lease, the Subtenant should insist upon verification that all options have been exercised and/or require the Fee Owner to accept an early exercise of such renewal rights.
Rapp represented Aon in its downtown move and is handling the roughly 91,372 s/f of remaining space at 55 East 52nd Street that Aon is seeking to
sublease.
Heading into 2000, the ratio of
sublease space to overall vacant space ranged from seven to nine percent, and during the first quarter of 2000 the ratio climbed to ten percent, which was still considered an indicator of a healthy office market.
Vivendi's
subleases in the building are good until 2010, but Renaissance has committed past then, meaning it will have to pay direct rents eventually.
Three companies inked
sublease deals with ABN AMRO for space on the 16th floor.
