By Dan Orlando
Savills Studley has negotiated and closed a lease extension and space restructuring that will keep the law firm of Kirkland & Ellis LLP headquartered in over 400,000 s/f at 601 Lexington Avenue until 2039.
The new 20-year extension, which commences when Kirkland & Ellis’ current lease expires in 2019, provides the law firm with greater efficiency and a modern workplace environment, while also providing future flexibility to meet their changing space requirements.
“After an extensive study of all possible relocation alternatives, including new development, an early extension at this signature Manhattan tower was clearly Kirkland’s best option,” said Savills Studley chairman and CEO Mitchell Steir, who headed a team comprised of executive vice president Matthew Barlow, executive managing director Greg Taubin, executive vice president David Goldstein and senior managing director Jason Perla, in brokering the transaction.
According to Barlow, when the lease extension for 13 full floors comprising a total of 403,000 s/f commences in 2019, Kirkland & Ellis will have swapped several of its lower floors (32 – 34) for higher floors (45, 46 and 51) and all of its restacked space (35 – 45,50 and 51) will be remodeled.
Built in 1977,the 59-story building at 601 Lexington Avenue is owned by Boston Properties. John Powers and Andrew Levin of Boston Properties represented the building’s ownership in deal.