One WTC Construction and Leasing Update
The 2.6 million square foot, 104-story office tower that will anchor the World Trade Center site, originally called the Freedom Tower, then rebranded as One World Trade Center has reached 36 stories and is adding roughly one floor per week and provided the construction project stays on schedule will be ready for occupancy in 2013. The 1,776-foot, $3.2 billion building will be the tallest in New York City when it opens.
The tower project got a major boost to the leasing effort earlier this month when it inked a letter of intent with magazine publisher Conde Nast who reportedly agreed to take as much as one million square feet of space. Letters of Intent are not definitive agreements and Cushman and Wakefield the projects leasing agent continues its marketing effort to prospective tenants around the world.
In March, China-based Vantone Industrial Co. became the first private firm to sign a lease for any of the buildings planned for the site when it inked a deal for about 191,000 square feet at One World Trade. Two government agencies have committed to lease a total of one million square feet at the tower. If the Condé Nast deal is completed, One World Trade, which many had feared would sit primarily vacant for some time, will have leases or commitments for about 85% of its 2.6 million square feet. However, sources have speculated that the government deals might not be completed if more private companies commit to lease space in the project. Rumors have circulated recently that Bank of America might also be considering One World Trade Center.
While my expertise is the Texas office sector and I am basically an interested observer of the Manhattan office market from a professional standpoint, I think we would all like to see One World Trade Center be a huge success.