MetLife might now not personal its namesake constructing in Midtown Manhattan, however its infatuation with the property stays as robust as ever.
The insurance coverage agency signed a 10-year lease growth at 200 Park Avenue — the MetLife Constructing — spanning practically 48,000 sq. ft, in keeping with the Commercial Observer. The growth was initially disclosed by CBRE.
The growth brings MetLife’s footprint on the Irvine Firm property to roughly 500,000 sq. ft in whole. An asking hire wasn’t disclosed, however the common workplace asking hire within the neighborhood final month was $86.49 per sq. foot, in keeping with CBRE.
MetLife renewed roughly 400,000 sq. ft within the constructing in 2023, however expanded at the least as soon as within the interim.
JLL’s Patrick Murphy represented the tenant, whereas a CBRE group together with Mary Ann Tighe, Howard Fiddle and Peter Turchin represented Irvine.
Earlier this yr, the Carlyle Group picked up 52,000 sq. ft on the constructing, the place it shares a part of the fourth ground with MetLife.
Final yr, Irvine refinanced the MetLife Constructing with a $1.5 billion loan at a 6.25 p.c rate of interest. The rate of interest was considerably greater than the earlier 3.6 p.c and can double debt-servicing prices to $100 million per yr.
On the time, the constructing was 94 p.c occupied and producing $170 million in internet working earnings; Irvine and its former accomplice, Tishman Speyer, invested $180 million within the property since 2019; Irvine and Tishman acquired the constructing in 2005 from MetLife for $1.7 billion.
Manhattan’s overall average asking rent reached $79.47 per sq. foot in October, matching pre-pandemic March 2020 ranges and rising 5.7 p.c year-over-year, in keeping with Colliers.
Leasing quantity surged to 4.54 million sq. ft in October — a 54.1 p.c month-to-month improve — holding 2026 on monitor for its strongest leasing yr since 2000.
Learn extra
Carlyle expands Midtown footprint with 202K sf across Park Avenue towers
Irvine Co. closing in on $1.5B refi of MetLife Building
Manhattan office rents turn pre-pandemic corner
