have had an undeniable impact on the office market," observes Peggy Garcia, an office specialist with Prime Commercial Inc.
The surrender provision is invoked when a bankrupt sublessor
fails to assume or reject a lease within sixty days after filing for bankruptcy.(17) If, as a matter of federal law, sublessees' rights are terminated pursuant to the surrender provision, their rights are forfeited without the opportunity for a court to address their interests.
Grant Greenspan, principal at the Kaufman Organization, said that in a tight market for commercial office space, some sublessors
may be willing to discount monthly rents and fill the space quickly, while others will choose to keep the space open until the market recovers.
Think of a triangular dinner table with landlord, sublessor
(tenant) and sublessee (subtenant) seated on each side.
* CBRE's Hugh McDonald and John Nugent represented sublessor
K&L Gates in a 17,627 s/f sublease at 599 Lexington Avenue with Navios Corporation for the entire 35th floor.
* Adam Leshowitz, Lawrence Mazzeo and Michael Rizzo represented sublessor
CIM Group in an 11,242 s/f lease at 10 Hudson Square with WNYC for part of the second floor.
* Brad Auerbach and David Hollander represented sublessor
Pitney Bowes in an 11,113 s/f lease at 292 Madison Avenue with Spark44 for the entire third floor.
Cushman and Wakefield's Molly Sandza & Steven Soutendijk represented the sublessor
Creation of a leasehold condominium for Open Society Institute n/k/a The Open Society Foundations, and the subsequent conveyance of units to the sublessor
* John Nugent, Scott Sloves and Robert Wizenberg represented sublessor
Aon in an 8,068 s/f sublet with law firm Havkins Rosenfeld Ritzert & Varriale at 1 Battery Park Plaza for the partial sixth floor.
John Maher and Alex Benisatto, of CBRE, represented the sublessor
, Deep Focus.
, Citigroup, was represented in-house.